are a set of international rules, governed by the International Chamber of Commerce, which determine the extent of the commercial clauses included in international sales contract. Also called price clauses, since each term to determine the elements that make it up. The purpose of Incoterms is to provide a set of international rules for the interpretation of terms used in international trade. Incoterms determine: The scope of price At that time, which produces the transfer of risk in merchandise from the seller to the buyer The place of delivery of the merchandise Who hires and pays for transport Who hires and paysinsurance What documents are handled each part and its cost Incoterms are: CFR: Cost and Freight CIF: Cost Insurance and Freight CIP: Carriage and Insurance paid to the place of destination CPT: Carriage Paid To named place of destination