Cost and Freight (CIF) is a delivery term used in international trade, specifically for sea and inland waterway transport, where the seller bears the cost of the goods and freight. The seller bears all costs and risks and delivers the goods to the port of shipment, meaning they are delivered to the ship in a customs-cleared state for export. The risk of damage or loss of the goods passes to the buyer when the goods are loaded onto the ship, while the transfer of costs to the buyer occurs at the port of destination.