Glossary of Trade Terms
D
Delivered at Frontier |
The exporter’s obligations are met when the goods arrive at the frontier but before they reach the "customs border" of the importing country named in the sales contract. The expression is commonly used when goods are carried by road or rail. |
Delivered Duty Paidr |
The exporter assumes the risk of damage/loss and paying duty. It is at the other extreme from delivered ex works under which the seller assumes the least responsibility. |
Delivered Ex Quay |
The exporter makes the goods available to the buyer on the quay or wharf at the destination named in the sales contract. There are two types of ex quay contracts in use: ex quay duty paid whereby the seller incurs the liability to clear the goods for import, and ex quay duties on buyer’s account whereby the buyer assumes the responsibility. |
Delivered Ex Ship |
The exporter makes the goods available to the buyer on board the ship at the location stipulated in the contract, assuming all responsibility and cost for bringing the goods up to this point. |
Delivered Ex Works |
The exporter is required only to make the goods available to the buyer at the exporter’s premises or factory. The buyer bears all responsibility for loading the goods on the vehicle provided by the buyer and transporting the goods from the exporter's place of business to their destination. |
Distributor (importer) |
A foreign company that agrees to purchase a Canadian exporter’s product(s) and then takes responsibility for storing, marketing and selling them. |
Dock receipt |
A receipt issued by an ocean carrier to acknowledge receipt of a shipment at the carrier's dock or warehouse facilities. (See also Warehouse Receipt.) |
Documentary discrepancy |
Occurs when one or more of the terms or conditions stipulated in a Letter of Credit have not been met. In the event of a discrepancy, the importer may either refuse the shipment or waive the discrepancy and proceed with the transaction. |
Draft (bill of exchange) |
A written, unconditional order for payment from one party (the drawer) to another (the drawee) that directs the drawee to pay an indicated amount to the drawer. |
Dumping |
The sale of an imported commodity at a price lower than that at which it is sold within the exporting country. Dumping is considered an actionable trade practice when it disrupts markets and injures producers of competitive products in the importing country. |
Duty |
A tax imposed on imports by the government of a country, typically based on the value of the goods or other factors such as weight or quantity. |