Question
Delivered ex-ship (DES): is a confined to contracts which involve carriage through the sea or inland waterway. It often requires sellers to deliver the goods to a specific agreed port. The specific goods in this type of transaction are supposed to be placed by the seller at the buyer’s disposal particularly on the ship. The seller delivers his part of obligation at the port; therefore he is supposed to contract for carriage. The buyer is responsible for importing clearance.
Delivered ex-quay (DEQ): Delivered ex-quay (DEQ) is a term which is used only where the main carriage is to be transported through inland waterway or a ship. DEQ is comparable to DES, but it has to specific points of differences—it imposes more obligations on the seller. For instance, the seller is expected to make the goods available at the specified destination. Besides, the seller is supposed to organize and pay for import clearances. The obligation of the buyer to take delivery comes up when the goods are delivered on the specified destination.
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How should he choose? Why?
Choosing between Delivered ex-ship and Delivered ex-quay (DEQ) should be based on the one with more advantage. Since the initial shipment is very important, it would seem appropriate that N.A.M has more authority over the general process. Even though the second option delivered, ex-quay (DEQ) seems expensive because it imposes more obligations on the seller; the seller is expected to ensure the goods available at the specified destination, it can grant N.A.M. more authority later in the shipment process. Furthermore, the eagerness by N.A.M. to be in effective control of the costs related to DEQ can be advantageous form the consumers’ perspective.