Incoterms are standard delivery terms published by the International Chamber of Commerce. The current version is Incoterms 2020. They define where the seller hands goods over to the buyer, who pays which costs and when the risk passes.
EXW, Ex Works
The seller makes goods available at its premises. The buyer arranges everything else: loading, export clearance, transport and import. It looks cheap but leaves the most work and risk with the buyer.
FOB, Free on Board
The seller delivers goods on board the ship at the port of export and handles export clearance. From that point the buyer pays freight and carries the risk. Used for sea transport.
CIF, Cost, Insurance and Freight
The seller pays freight and minimum insurance to the port of destination. The risk still passes to the buyer when goods are loaded at the port of export, which many buyers do not expect.
DAP, Delivered at Place
The seller delivers to the named place, for example your warehouse, ready for unloading. The buyer handles import clearance and pays duties and taxes.
DDP, Delivered Duty Paid
The seller delivers to your door and also pays import duties and taxes. Easiest for the buyer, but not always possible, because the seller has to be able to clear goods in your country.
Which one to choose
If you have no forwarder or customs broker, DAP or DDP keep things simple. If you already have a logistics partner, FOB often gives the best total cost. In every Nectus quote the delivery term is stated, so you can compare offers on the same basis.