This method of sale can be chosen regardless of the means of transportation chosen, especially for cases where more than one method of transportation is used.
“Delivery of the goods at the designated place at the destination with clearance and payment of customs duties and taxes” means that the seller has delivered the goods when he delivers them to the buyer at the place designated at the destination, ready for unloading. Up to this point, the responsibility of any risk is with the seller. In this term of sale, the place specified in the destination must be mentioned in the contract.
In this term, the seller, in addition to customs duties and taxes for the clearance of the goods at the origin, must pay all duties and customs duties for the clearance of the goods at the destination customs and any value-added tax or other taxes belong to the seller’s account. This sales term represents the maximum commitment for the seller.
There is a critical point in the DDP sales term. And that point is the point of delivery of the goods to the buyer or the carrier at the point of destination, where the responsibility and risk of the goods are transferred to the buyer. In the DDP shipping method, this is the point where the cost of the goods is transferred to the buyer. Until then, all costs except the value of the goods and the cost of additional insurance requested by the buyer are with the seller.
The parties of the transaction are advised not to use the DDP sales method if the seller is not directly or indirectly able to clear the goods for entry. In this case, it is better to use the DAP method.
Preparation of the goods and necessary certificates to match the goods with the goods agreed in the contract
If necessary, the seller must provide all the necessary licenses for export at his own expense and responsibility.
Concluding a contract of carriage
Delivery of the goods to the carrier at the agreed point at the destination
Payment for the goods
Take delivery of the goods