Delivered-at-Place (DAP) - Definition§
Delivered-at-Place (DAP) is an international trade term defined in the Incoterms published by the International Chamber of Commerce, where the seller takes full responsibility for transporting goods to a designated location. The seller bears all costs and risks until the goods reach that location, while the buyer is responsible for import duties and any further costs incurred after delivery.
Comparison with Other Trade Terms§
| Delivered-at-Place (DAP) | Cost, Insurance, Freight (CIF) |
|---|---|
| Seller bears the risk until goods are delivered. | Seller bears risks and costs until the goods are loaded on the vessel. |
| Buyer is responsible for import clearance and duties. | Seller covers costs to the destination port, including insurance. |
| Applicable for any mode of transport or combination of modes. | Primarily used for maritime transport. |
How DAP Works§
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Seller Responsibilities:
- Packing and transporting goods to agreed location.
- Paying for all costs related to delivery (freight, handling, etc.).
- Risk remains with the seller until goods are delivered.
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Buyer Responsibilities:
- Paying applicable import duties once the goods arrive.
- Assuming all responsibilities and risks after delivery.
Related Terms§
- Cost, Insurance, Freight (CIF): Seller arranges and pays for shipping and insurance costs, reaching only to the destination port.
- Free on Board (FOB): Seller’s responsibility ends once goods are loaded onto the ship.
Humorous Insights§
- Why do ships never get lost? Because they navigate with ‘good sense’ rather than ‘bad routes.’
- Remember, under DAP, the seller handles the heavy lifting, not just the boxes but all the responsibilities! 📦😅
Fun Fact§
Did you know that the DAP term was included in the 2010 revision of Incoterms? It’s like the upgrade for international selling; everyone was like, “Finally, a simpler way to understand responsibilities!”
FAQ§
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Q: Does the seller cover costs for damages during transportation?
A: Yes, the seller shoulders all risks and costs until you’ve got your shiny new goods in your hands. -
Q: Can DAP be used for all modes of transportation?
A: Absolutely! Whether by road, rail, air, or sea, DAP’s got your back! -
Q: What if the goods do not arrive?
A: Oh dear! In that case, the seller is responsible until delivery, so they better check their GPS! 🚚
Recommended Reading and Resources§
- International Chamber of Commerce - Incoterms
- Incoterms 2020: Explained and Applied by Abraham C. P. and Alfred E. K.
Take the Plunge: Delivering Knowledge on DAP Quiz!§
Thank you for gaining valuable insights on Delivered-at-Place (DAP) and turning your international shipping ventures from chaotic to crystal clear. Remember, in the world of trade, knowledge is as good as gold! Keep smiling and shipping! 🌍🚚😄
