Containers and shipping
DAP meaning: Delivered at Place
Independent site, not a government service. General information, not customs advice.
Under DAP, the seller brings goods to the named place at its own risk. Check what the price means for customs value in India.
Does your invoice price cover freight and insurance?
Starting customs value
₹5,00,000
| Freight added | No, in the price |
| Insurance added | No, in the price |
| What to look at: The price runs to a place in India. Inland costs after the port of import may need taking out, if shown separately. | |
Our summary of how each rule splits costs, for customs value only. Check your contract.
DAP stands for Delivered at Place, a rule of the Incoterms® Rules for any mode of transport. HMRC, in its UK guidance, describes it this way: the seller delivers when the goods are placed at the buyer's disposal on the arriving means of transport, ready for unloading, at the named place of destination, and bears all risks in bringing them there. In that guidance, only DDP places import clearance and duty on the seller, so under DAP expect them to stay with you, unless your contract says otherwise. For an Indian importer, DAP raises a question about customs value. The invoice price can run all the way to your named place, but rule 10(2) counts transport only to the place of importation. Inland costs inside India may therefore fall outside the value, if they are shown separately and can be documented. HMRC's summary says nothing on that point and neither did any Indian text we read, so ask the seller for a split between freight to the port and inland delivery.
Tariff and rules read by Radif Partners · Editorial policy · Method and sources
Where each cost falls
| Cost | Under DAP | In customs value? |
|---|---|---|
| Carriage to India | Seller bears the risks | Yes, cost to the place of importation |
| Inland haulage after the port | Within the term, if your place is inland | May be left out if shown separately: ask |
| Unloading at your site | Not the seller, ready for unloading is delivery | Our reading: no |
| Import clearance, duty, IGST | Named for the seller only under DDP | No, duty is calculated on the value |
A note on the invoice
We read no Indian ruling on a lump-sum DAP invoice. A split between the goods, freight to the port and inland delivery gives you something to show under rule 10(2), and a contract is the place to agree on it, before the goods sail.
DAP and DPU side by side
| Point | DAP | DPU |
|---|---|---|
| Where delivered | Named place | Named place |
| State of the goods | On the arriving transport, ready for unloading | Unloaded, at the buyer's disposal |
| Seller bears | All risks in bringing them there | All risks in bringing and unloading them |
| Earlier name | DAP | Replaces DAT |
Your filing date does not move
A commercial shipment still needs a bill of entry, and the Customs Act sets its deadline by the arrival of the ship or aircraft, whoever arranged the freight. Parcels sent by courier have their own regime, covered in courier imports, and a personal order is covered in personal imports. Compare DDP if you are thinking of having the seller handle it all, and read our caution there. The rule comes from the HMRC guidance.