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DAP incoterms or “Delivered at Place” replaces the now outdated DDU “Delivery Duty Unpaid” which appeared in the previous Incoterms edition, Incoterms 2000. DAP means that the seller must make the goods available to the buyer at the buyers chosen location. However, the seller is not responsible for unloading goods from carrier at the destination location, or for the cost of any customs duties, tariffs or taxes that may apply during the delivery.
The buyer is there for responsible for all risks involved with processing the customs clearance for the goods to be imported, any and all duties, taxes and other charges that may be added during this stage.
The DAP incoterm is versatile as it can be used irrespective of the mode of transport.
BUYER’S OBLIGATIONS UNDER DAP
Delivery of goods and documents required
Packaging and wrapping
Inland transport in the country of origin
Customs at origin
Inland transport at the destination country
SELLER’S OBLIGATIONS UNDER DAP
Payment of the goods
Customs on arrival (depending on arrival location)
Payment of fees