"Delivered At Place" (DAP) is an Incoterm where the seller delivers the goods ready for unloading at the named destination specified in the sales contract. This term applies to any mode of transport. It requires the seller to assume all risks and costs of delivering the goods to the agreed destination, excluding duties, taxes, and other official charges payable upon import.

DAP Definition and Scope

Under DAP, the seller is responsible for arranging carriage and delivering the goods at a named place, ready for unloading at the destination. The buyer is responsible for unloading the goods and handling all costs and risks from that point onwards, including import duties and other taxes.

Seller’s Obligations

  • Arrange and pay for all transportation costs to bring the goods to the specified destination.
  • Assume all risks of loss or damage to the goods until delivered.
  • Provide the buyer with the necessary documentation to receive the goods.

Buyer’s Obligations

  • Pay to unload the goods at the destination.
  • Handle import customs clearance and pay all duties, taxes, and other charges associated with importing the goods.
  • Take over the risk and responsibility for the goods once they are ready for unloading.

Risk and Cost Transfer Points

The risk transfers from the seller to the buyer when the goods are available for unloading at the named destination. The seller does not cover unloading costs, which are the buyer's responsibility.

Benefits and Considerations

  • Benefits: Useful for buyers who wish to control the import clearance and related costs. It simplifies the seller’s responsibilities by requiring them to manage only up to the destination delivery point.
  • Considerations: The buyer should be prepared to manage import procedures and potential delays at the destination, which requires a good understanding of local customs regulations.

Common Scenarios

  • Ideal for transactions where the seller can arrange transport to a specific location but does not want to handle import clearance.
  • Often used in scenarios where the buyer prefers to take control of the goods upon arrival and manage further distribution or use directly.