Incoterm where the exporter's responsibility ends when goods are loaded onto the vessel at the port of loading. The FOB value is what most Indian shipping bills declare.
FOB — Free On Board — is an International Chamber of Commerce Incoterm defining the point where risk and cost transfer from seller (exporter) to buyer. Under FOB, the exporter is responsible for the goods only until they are loaded onto the shipping vessel at the port of loading. Insurance and ocean freight thereafter are the buyer's responsibility.
The FOB value is the value of the goods at the point they cross the ship's rail. It excludes ocean freight and marine insurance. On an Indian shipping bill, the declared value is typically the FOB value in a specified currency.
An FBA seller shipping to Amazon warehouses might negotiate CIF for door-to-warehouse convenience, but for customs declaration purposes, the FOB-equivalent value is what matters for scheme benefits.
Amazon settlements are your realization against the FOB value declared. Because Amazon's platform fees eat into gross proceeds, realized FX is typically 60-75% of FOB — a normal pattern that most AD Banks now recognize but not all. See reasons AD Banks reject FBA closures for how to explain the gap defensibly.