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Understanding DDP: What You Need to Know About Delivered Duty Paid Transportation

Time : 2024-09-19 Hits :0

What Do You Understand by DDP?
DDP means Delivered Duty Paid. By the usage of this Incoterm, the seller must take the goods to an agreed place and undertake customs clearance of the goods and any costs incurred such as import tariffs, VAT and other taxes. DDP infers that the seller will take all the risks and costs until the buyer has the goods within the agreed place of destination.

Who Takes the Responsibilities under DDP Terms?
When consigning parcels under DDP terms, the seller has to take a number of obligations:
Customs Clearance: There is an obligation on the vendor that the goods must be exported from the country and also resent back to the country. Any duties and taxes likely to come from that particular transaction must be covered here.

Transportation Costs: All costs of transportation such as freight and unloading the goods from the truck as well as the buying of insurance for the goods are upon the seller.

Documentation: Copies of necessary documents like commercial invoices and packing lists including any limits or permission for export and import are the activities of the seller.

Advantages of DDP for Buyers
Predictability: Consumers can properly assess what the whole cost of the goods will be since all the levies and duties relative to the goods will be born by that seller one more time.

Convenience: The buyer has a better experience since the seller handles all the logistics and the buyer is tasked only with their business processes.

Risk Mitigation: The loss or damage of goods in the course of delivery is the seller’s problem and thus the buyer will get the delivery complete as promised.

How East Shipping Supports DDP Shipments
East Shipping has understood what communication and service quality means in DDP shipping. Thanks to we resources in logistics and customs East Shipping is willing to help sellers with international business. This means helping in compliance issues with relevant authorities, packing, shipping, and processing orders, etc.

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