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Freight Forwarding & Incoterms: Key Terms Explained in Detail

Discover the essential freight forwarding terms and Incoterms that define responsibilities, risks, and cost-sharing in global trade. This glossary provides clear, practical explanations to help you navigate documentation and operational decisions with confidence.

Delivered at Place (DAP)

Last updated: December 16, 2025
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Under Delivered at Place (DAP), the seller is responsible for delivering the goods to the named destination, ready for unloading. This means the seller covers all transportation costs, export formalities, and risks until the goods reach the agreed location. The buyer’s responsibility starts once the cargo arrives.

The buyer handles import clearance, duties, taxes, and any required customs documentation. This arrangement gives buyers clear control over the import process while allowing sellers to manage the transportation. It works well when buyers have strong local knowledge or specific customs brokers they prefer.

DAP is often chosen for door deliveries, inland destinations, or shipments needing a seamless end-to-end movement. It offers transparency in cost distribution: the seller manages the journey, and the buyer manages the border. To avoid delays, both parties must clearly agree on the exact delivery address.

Overall, DAP balances responsibilities, making it flexible and straightforward for international trade. It reduces risk for buyers during transit while ensuring sellers remain accountable until delivery. When both sides coordinate well, DAP ensures predictable and smooth cargo movement.

FAQ

Frequently Asked Questions about Delivered at Place (DAP)

Clear answers to the most common questions people have when learning about Delivered at Place (DAP).

The buyer handles all import duties, taxes, and customs clearance once the shipment arrives at the destination.

No. The seller delivers the goods ready for unloading, but the actual unloading is the buyer’s responsibility.

It offers a clear split of responsibilities: sellers manage transport to the destination, while buyers manage import procedures, making the process efficient and predictable.