DAP

What is included in the sender's area of ​​responsibility?

With DAP, the seller carries out:

cargo packaging, its labeling and preparation for export;
all expenses and loading and delivery operations to the port (terminal) of departure;
preparation of export documents, customs formalities, if necessary - export declarations, licenses, etc.;
transportation payment: sea route, road or rail delivery, port dues, terminal dues, freight, transit clearance, insurance (if provided for by the contract) and transportation to the agreed destination;
delivery assurance "Last mile" - this can be a port, warehouse, logistics center, or any pre-agreed recipient address.

It is important for the seller to note that responsibility for the cargo, insurance (unless otherwise provided for by the terms of the contract), and risks are all borne by the sender until the cargo is ready for unloading at the destination.

What remains on the buyer's side?

Once the goods have arrived at the designated location and are handed over to the buyer, i.e. ready for unloading, the recipient becomes responsible for:
unloading process: organization of work, search for equipment, payment;
import clearance in the country of destination: customs clearance, payment of all taxes, fees, duties, broker services (if required);
everything that associated with further movement (logistics) within the recipient's country;
risks, related to customs, legal and other conditions of the destination country, possible delays, organization and storage fees if the cargo is not cleared immediately.

That is, DAP is a kind of compromise: the seller takes on most of the freight transportation, and the buyer takes on everything that needs to be done after arrival at the designated place.

Organization of freight transportation according to DAP by a logistics company

Incoterms freight terms allow Mitridat clients to offer a clear division of responsibility. Our specialists are ready to provide the sender with the following services within the framework of "Delivery at Place":

reliable preparation of cargo for transportation, taking into account all requirements;
processing of all export formalities and documents;
selection of the optimal route: multimodal transport, combined transportation, connections;
delivery to an agreed point: be it a port, warehouse, distributor warehouse, buyer's warehouse or logistics center, with the ability to track and control.

In turn, the importer (recipient) receives:
minimal effort to organize logistics;
a clear understanding of what he is responsible for (customs clearance, unloading, registration);
the opportunity to pick up the goods at a location convenient for them and then work with the warehouse/distribution independently.

It is important to note that Mitridat specialists are ready to offer their assistance in organizing logistics for the recipient as well. This is convenient when transparency, reliability, and minimizing internal costs and risks are important, for example, when delivering from Asia, the USA, or Europe.

How to use DAP in practice

Delivery at Place terms of delivery are a convenient, understandable and flexible tool for international cargo transportation. They provide a clear division of responsibility: the seller organizes and implements the entire journey to the agreed point, and the buyer collects the cargo, clears customs, unloads and transports it further depending on their own needs.

For Mitridat, this is a way to offer customers a turnkey transport service with minimal hassle on the part of the buyer, with high flexibility of routes, multimodal transportation, and reliable logistics through the company's developed network of offices.

Some practical advice from our experts if you choose DAP:

1. the exact address or destination must be specified in the delivery contract or agreement: port, warehouse, terminal warehouse, address of the buyer's warehouse - everything must be clearly written, without lines;
2. discuss with the buyer who pays and organizes customs clearance, payment of taxes, brokerage, unloading, and delivery within the country of destination: these costs are often significant, and it is important for the buyer to know in advance what he is responsible for;
3. if necessary – use customs escort services, brokerage services, additional reloading, storage or warehousing, – Mitridat offers an additional service to cover all stages and needs for the client;
4. Write a clause about insurance in the contract (if provided): especially for expensive, fragile or sensitive cargo.