DAP and FCA, a comparative study

Difference between FCA and DAP under Inco terms 2020

How to differentiate DAP with FCA under delivery rules of incoterms 2020?

As you know, DAP means Delivered at a named place goods unloaded and  FCA means Free carriage of cost and risk to a named location.   

As name indicates, under DAP, the exporter delivers goods to Importer’s  named place by  undertaking  pre carriage, main carriage, export customs clearance, on carriage and unloading of goods.  Where as under FCA, the exporters transfers his risks and costs of movement of goods to importer immediately upon goods are gone onboard the main carrier, either on the vessel, aircraft or other means. 

Under FCA terms, the seller’s risks and costs transfer to buyer at seller’s country.  But the costs and risks transfers from seller to buyer in buyer’s country under DAP delivery rules as per Incoterms 2020

Under DAP, main carriage is undertaken by Importer, but under FCA the said main carriage is under the risk of Buyer.

*FCA diagram shown above is meant for movement of goods for exports,  wherein named place is Port of loading.   FCA delivery term means loading goods to the means of transport provided by the buyer or placing them at the disposal of the buyer’s carrier.  Read the separate post about FCA in this website for better understanding.

The meaning and complete explanation about DAP and FCA are explained separately in this website and you may click below to read in detail:

DAP  Delivered at Place

FCA  Free Carrier

Hope the above information about FCA and DAP helped you to understand the difference between DAP and FCA.  Would you like to add more information about this subject on FCA and DAP, share below your thoughts and experience in handling FCA and DAP.

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 Is it necessary to use trade mark of Incoterms under Sale contract     Mention year of Inco Terms under Sale contract     Inco Terms and Sale Contract between buyer and seller     Inco Terms 2020 Rules for Delivery of Goods         Buyer or Seller? Who pays Insurance under DAP Inco terms?         Under FCA Inco terms, Insurance is paid by buyer or seller?     Under EXW Ex works, who arranges Insurance?     04 Categories of Inco Terms 2020     D Category of Delivery terms under Incoterms 2020     CIP terms of movement, Unloading goods by Buyer or Seller?        C Rules of Delivery terms under Incoterms 2020       F Rules of Inco Terms 2020E Category of Incoterms 2020     Omni Model Inco Terms of Delivery 2020     FOB and CFR under Inco terms 2020