Person and individual both mean a single person.But the latter is used when there is an explicit or implicit comparison with a crowd or a body of men.
Sample Usage
Person
1. Any person could have seen this.
2. There's person outside who wants to speak to you.
Individual
1. Society does not tolerate the crimes of an individual,though there is none to punish its crimes.
2. Customers in shops should be given individual attention.
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