You are a freight forwarder advising a customer in their sales contract negotiations. This customer is negotiating a sales contract for a containerized shipment of peas to a buyer in Spain. The buyer is requesting DDP Barcelona delivery terms. The seller's DDP Barcelona price is $20,000.00 CAD. The buyer has requested that the seller issue an invoice for 30-day terms and send all documents to his office within 3 days of vessel sailing. Your customer (seller) is unsure whether to agree to all of these terms and seeks your advice.

Is the DDP incoterm proper for this type of shipment and mode of transport?

Would you recommend that your customer proceed with this incoterm? Other suggestions?

What method of payment is the buyer requesting?

Would you recommend that your customer proceed with this method of payment?

Why or why not? Other suggestions?

If the seller agrees to this method of payment, can they somehow have constructive control?

If they proceed with this shipment DDP and the goods are damaged on the way to the port of departure, who would have risk?

If they proceed with DDP terms, who should insure this shipment? Must they?

T/F The seller must provide export clearance for this shipment.