INCOTERMS is very important those who doing business in internationally. Incoterms were first developed by ICC (International Chamber of Commerce) in Paris France. Incoterms was first developed in 1939. It defines the trade contract, responsibilities and liabilities between buyer and seller. It is invaluable and cost saving tool. The importer and exporter need not go under lengthy negotiation about a condition of each transaction after that revised version published in 2000 and 2002.