Information International rules and organizations Incoterms 2000 [iNKOTERMS 2000] Term D

Term "D" - INCOTERMS

DES|DAF|DEQ|DDU|DDP

"D"- terms are different in nature from the "C" - terms, since under the "D" - terms the seller is responsible for the arrival of the goods at the agreed place or destination at the border or in the country of importation. The seller must bear all risks and costs of bringing the goods to this place.
Thus, "D" terms mean arrival contracts, while "C" terms refer to shipment contracts.
In accordance with "D" - terms, exceptDDP, the seller is under no obligation to deliver the goods cleared for import in the country of destination.
Traditionally, according to the termDEQthe seller was under an obligation to clear the goods, as the goods had to be unloaded at the wharf and thus brought into the country of import. But due to changes in customs clearance procedures in most countries, it is now more appropriate for the party domiciled in the country concerned to clear and pay duties and other fees. So the change in the termDEQwas made for the same reason as the change in the termFAS, which was mentioned earlier. As in the termFAS, change in termDEQalso highlighted in capital letters in the introduction.

In many countries, trade terms not included in theIncoterms, are used mainly for rail transport ("free border"). However, under such conditions it is not usually understood that the seller assumes the risk of loss or damage to the goods during carriage to the border. In these circumstances, it would be preferable to use the termCPTindicating the border. On the other hand, if the parties expect the seller to bear the risk during carriage, the termDAFindicating the border.
TermDDUwas added in versionIncotermsfrom 1990. The term has an important function in cases where the seller is willing to deliver the goods to the country of destination without clearing the goods for import and paying duties. In countries where customs clearance can be difficult and time-consuming, it may be risky for the seller to take on the obligation to deliver the goods outside the customs clearance point. Although in accordance with Articles B.5. and B.6. termDDUthe buyer must bear the additional risks and costs that may result from his inability to fulfill his obligations to clear the goods for import, the seller is advised not to use the termDDUin countries where difficulties can be expected in clearing goods for import.


 
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