Definition: Free on board price
The free on board price (f.o.b. price) of exports and imports of goods is the market value of the goods at the point of uniform valuation, (the customs frontier of the economy from which they are exported); it is equal to the c.i.f. price less the costs of transportation and insurance charges, between the customs frontier of the exporting (importing) country and that of the importing (exporting) country.
United Nations, "System of National Accounts (SNA) 1993", United Nations, New York, 1993, § 14.36 and 14.40 [15.36]