The word INCOTERMS commonly used in international procurement refers to International Commercial Terms that were developed by the International Chamber of Commerce , London , in the year 1936. The purpose of Incoterms is to assist in avoiding disputes among buyers and sellers in the affreightment of goods in international trade .

What are the obligations of buyers and sellers under the Incoterms spelt out hereunder?

(i) Free on Board ( FOB )

(ii) Cost Insurance Freight ( CIF )

(iii) Deliver Duty Paid ( DDP )