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International contracts also contain the international commercial term or the Incoterm. There are many main as well as secondary terms which help in denoting the responsibility and risk of the carrier, shipper, and consignee from the beginning to the end of the shipment. Earlier, there were about 13 such related nike terms in the Incoterms but the amended Incoterm 2010has reduced it to 11. These terms are globally recognized easing the business transactions which take place cross-board.Among all the terms framed by the International Chamber of Commerce, the FOB incoterms are the one which gets widely used. FOB indicates freight on board shoes zone or free on board .

This would facilitate better logistics management and control in the long run.?Knowing The Appropriate Incoterm For The Use Of Containers:Rather than misusing the term FOB in case of containers, companies must know which is the actual term related to them. Containers fall in the other part of the modes of transportation which are non-maritime. Whereas, as stated earlier in the discussion, FOB is exclusive related to the maritime transport. Thus, for containers, the term FCA meaning free-carrier is more applicable.

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