What is Delivered at Place (DAP) and how does it differ from Delivered Duty Paid (DDP)?

• A. DAP requires the seller to deliver to the named place ready for unloading; DDP requires the seller to clear for import and pay duties.
• B. DAP requires import clearance and duties; DDP delivers to named place.
• C. DAP transfers title to the buyer; DDP does not.
• D. DAP includes duties paid; DDP excludes duties.

Answer: (A)

Delivered at Place focuses on where the seller’s responsibility ends and who handles import formalities. Under this term, the seller delivers the goods to the named destination, ready for unloading, and the risk transfers at that point. The buyer is responsible for unloading and for import clearance and any import duties/taxes. In contrast, Delivered Duty Paid places responsibility on the seller for almost everything up to delivery at the named place, including import clearance and payment of duties and taxes; the buyer’s obligation is simply to unload.

That means the statement describing DAP as delivering to the named place ready for unloading, with DDP requiring the seller to clear for import and pay duties, matches the actual duties and risk allocations for each term. The other options mix up who handles import clearance or who bears duties, which isn’t correct for these Incoterms.