Delivered at Place Unloaded" (DPU) is an Incoterm where the seller delivers and unloads the goods at the named destination. This term places significant responsibility on the seller, including handling the unloading of the goods at the destination. DPU is unique because it is the only Incoterm that requires the seller to unload the goods as part of the delivery process.
DPU Definition and Scope
Under DPU, the seller is responsible for all costs and risks in delivering and unloading the goods at a named place, typically a buyer’s premises or another specified location. It applies to all modes of transportation. It is especially useful when the buyer wishes the goods to be delivered directly to a specific site ready for use or resale.
Seller’s Obligations
- Transport the goods to the agreed destination and handle all costs and risks until unloading.
- Manage the unloading of the goods at the named place.
- Clear the goods for export, ensuring all documentation is for the journey and delivery.
Buyer’s Obligations
- Handle the import customs clearance and pay any applicable duties and taxes.
- Take over the risk and responsibility for the goods once they have been unloaded at the specified destination.
- Coordinate with the seller on specifics of the delivery site to ensure unloading can be conducted smoothly.
Risk and Cost Transfer Points
Risk transfers from the seller to the buyer once the goods have been unloaded at the designated destination. The seller's responsibility includes ensuring that the goods are delivered and successfully unloaded at the agreed location.
Benefits and Considerations
- Benefits: Provides clarity and ease for the buyer, as the seller handles transportation and unloading. It is particularly useful for heavy or bulky goods that require specialized unloading equipment or expertise.
- Considerations: The seller needs to know the detailed requirements and conditions at the destination to manage unloading successfully. Additional costs or logistical challenges might be associated with unloading goods at the designated site.
Common Scenarios
- Suitable for large machinery or equipment that must be installed immediately upon delivery.
- Beneficial when the buyer needs the capability or means to handle the unloading of the goods.