21 April 2008

Trade terms: Point of delivery in the country of the buyer

As mentioned in the earlier post, there are various methods and ways of making a delivery. Besides making a delivery in the country of the seller, it can also be made in the country of the buyer. Generally speaking, the responsibility and obligation of the seller increased when delivery is to be made in the country of the buyer. The seller is not only obligated to arrange and contract for the carriage but also to ensure safety of the goods while in transit. The points of delivery vary in accordance with the trade terms agreed upon by the contracting parties.

Similar to the delivery that take place in the country of the seller, the delivery in the country of the buyer may take place either at the seaport, airport, country border or at any named place where goods are customarily being loaded and unloaded. When this is done, buyer is said to haven taken the delivery and the obligation of the seller in making a delivery is completed.

The responsibility and obligation of the buyer becoming lesser if delivery is agreed to take place in the country of the buyer. To accommodate this advantage to the buyer, the appropriate term to be incorporated in the sales contract is either DAF, DES, DEQ, DDU or DDP.

Under these terms delivery is made by placing the goods at the buyer’s disposal on the arriving vehicle.

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