B-6-11- Incoterms © 2000 ddp


DDP, Delevery Duty paid, is one of the 13 Incoterms © 2000.



Incoterms 2000 ©
 CFR   CIF   CIP   CPT   DAF   DDP   DDU   DEQ   DES   EXW   FAS   FCA   FOB  

The exporter is responsible for transport costs up until the final destination in the Incoterms © DDP 2000.

The Incoterms © DDP 2000 is a "sales on arrival" Incoterm ©.

The Incoterms © DDP 2000 is used for all modes of transport

Incoterms © DDP 2000 has some variants.

6-11-1- Summary

Here, the brunt of the responsibilities falls to the exporter. Upon delivery, risks and costs are transferred to the importer, who is responsible for unloading the goods. The goods is delivered "cleared" but not unloaded on arrival at the named destination place. The exporter is responsible for customs duties in addition to taxes and other charges.

6-11-2- From the viewpoint of the importer

The importer is not responsible for goods delivery. The importer is only responsible for unloading and associated costs. The importer must, however, assist the exporter from the logistics process through delivery.
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6-11-3- Advantages for the importer

The importer is not liable for loss or damage. In the event of a dispute, the exporter is held liable.

6-11-4- From the viewpoint of the exporter

From packaging up until the delivery of goods to the specified destination, the exporter is responsible for transport. The exporter is responsible for both import and export customs clearance. The risk transfer occurs at the importer’s chosen receiving destination. In order to recoup VAT, the importer will have to appeal to a tax representative that is accredited in the country of the transaction. This completes the process.

6-11-5- Advantages for the exporter

The singular benefit to the exporter using this Incoterm © is the development of expertise in end-to-end transport. This Incoterm © facilitates good commercial relations between the exporter and the importer. This Incoterm © grants the importer needed reassurance, especially if the exporter has extensive experience in international transactions.

6-11-6- The point of ownership transfer: the importer's processing facility.


Note the VAT refund



6-11-7- Incoterms © DDP 2000: Distribution of costs and risks

 Description

 Costs

Risks
 Packaging  Exporter  Exporter
 Choice of carrier  Exporter  Exporter
 Pre-transport  Exporter  Exporter
 Loading  Exporter  Exporter
 Costs of loading  Exporter  Exporter
 Unloading  Importer  Importer
 Costs of unloading  Importer  Exporter
 Transport payment  Exporter  Exporter
 Insurance payment  Exporter  Exporter
 Import customs fees  Exporter  Exporter
 Export customs fees  Exporter  Exporter
 Post-transport  Exporter  Exporter