Partial shipment is a common term in international cargo transportation. What does it involve, and what should the parties agree before using it? This article outlines the main considerations.
What is a partial shipment?
Partial shipment means dividing an order into separate deliveries made at different times.
It is often used where an order is too large to supply at once, for example because the seller cannot produce the entire quantity simultaneously.
The buyer and seller should agree on partial deliveries in the sales contract, including:
- The number of shipments.
- The delivery schedule and frequency.
- Consistent product quality across deliveries.
- Payment method and timing.
Remedies for breaches involving delivery timing, quality, or payment by either party.
Customs procedures for partial shipments
For customs declarations , the broad procedures resemble ordinary exports. The source describes submitting the required export documents for the first shipment and not resubmitting documents already accepted for later deliveries where the applicable arrangement allows.
Customs determines the form and extent of checks using actual circumstances and risk indicators. Different deliveries may therefore receive different inspection treatment.
Contract points to consider
Multiple deliveries extend the parties' ongoing responsibilities. The contract should clearly address:
Basic delivery terms
The delivery schedule and its relationship with payment.
- The specific delivery locations.
- An explicit agreement that partial shipments are permitted.
- Notice arrangements covering the timing and quantity of each delivery.
Shipment timing
The source recommends avoiding an inflexible delivery date where production and transport disruptions could make it impractical. Choose timing provisions that reflect the operational risks.
If the buyer allocates resources for a particular day and the goods arrive late, it can lose time and money. The seller may also face a contractual breach and agreed penalties.
Delivery locations
The parties may agree one or several delivery points, but these should be identified clearly, including relevant gateways:
- Port of loading (POL).
- Port of discharge (POD).
- Departure airport.
- Destination airport.
We hope this overview of partial shipments helps readers plan delivery arrangements more confidently. Explore our other articles for more trade and transport information, or contact us for advice on delivery and customs services.