What is a Deliver at Place (DAP Incoterms)?
Deliver at Place (DAP) meaning
Deliver at Place (DAP) is an Incoterms rule where a seller is responsible for delivering goods to the buyer’s specified location.
The seller bears responsibility for all risks and costs associated with shipping the goods until they reach the designated location.
When the goods are ready to be unloaded at the buyer's designated place, the buyer assumes responsibility for associated costs, risks, and import clearance procedures.
Main responsibilities of buyers and sellers under DAP
Buyers and sellers have distinct roles under the Delivered at Place (DAP) incoterm. Here’s a brief overview of their primary responsibilities:
Seller responsibilities under DAP: | Buyer responsibilities under DAP: |
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For buyers: if you want to lower the risk of loss during shipment transport, consider DDP as the sellers will bear risks until your shipment reaches its final destinations.
What’s the difference between Deliver at Place (DAP) and Delivered Duty Paid (DDP)?
Scenarios | DAP | DDP |
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Who is responsible for transporting the goods to its destination? | The seller is responsible for delivering goods to a mutually agreed location. | The seller ensures goods reach the destination (e.g. warehouse or store). |
Who is responsible for shipment risks during transportation? | The risk shifts to the buyer upon reaching the agreed location. The buyer is then responsible for any added shipment risks such as damage to the goods. | The seller assumes all shipment risks, including damages or losses, and covers all extra costs until shipments reach the final destination. |
Who manages import duties and taxes? | The buyer manages import customs clearance, duties, and taxes, while the seller manages export customs clearance, duties and taxes, depending on the buyer-seller agreement. | The seller manages all import / export customs clearance, duties, and taxes. The buyer incurs no additional expenses upon arrival. |
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