DPU, short for “Delivered at Place Unloaded”, means that the exporter is obligated to deliver the goods to the importer at the agreed delivery/destination point as unloaded.
DPU is used in any mode of transportation. Export clearance is the liability of the exporter, while import clearance and all related customs formalities are carried out by the importer.
How is DPU different from DAP?
We can say that DPU is almost the same as DAP with just a minor difference. While DAP requires the exporter to deliver the goods at the named place of delivery/destination without unloading from the means of transportation, DPU requires the exporter to unload the goods. All risks transfer to the importer when the goods are unloaded by the exporter’s carrier.
As similar to DAP, under Incoterms 2020 DPU rules, delivery and destination place or point are the same. That’s why the parties have to specify the place of delivery/destination precisely, because at that point it’s the importer that bears all the risks and costs.
DPU operation process
- The Exporter loads the goods on the means of transport. (Exporter contracts for the carriage of the goods from its premises to the delivery/destination point, which is an agreed place in importer’s country)
- The forwarder of the exporter transports the goods to the point of delivery/destination in the importer’s country. All the formalities between the pick up and delivery/destination point are carried by the exporter’s side with one exception: customs clearance in the transit countries and importer’s country is the importer’s job. The operation includes export clearance, THC in both countries and ,if any, organization of multi modal transportation.
- After the exporter’s forwarder carries out THC operation, it makes its way to the importer’s delivery/destination place. Upon arrival, the carrier unloads the goods from the vehicle and the exporter’s responsibility ends there.