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There’s no use gambling with your delivery schedule – between inclement weather and backlogs at the port, there’s simply no way for you to guarantee that everything goes according to plan. The key takeaway here is that these fees can add up. According to the tariff, the shipping carrier is entitled to a USD 245 demurrage fee. You don’t want your bill to spiral out of control so it’s important to do whatever you can to ensure the shipment goes smoothly. A little time buffer can go a long way in keeping extraneous fees at bay. To calculate the detention charges, we take the difference between the time the container gate-out of port (4 th February) to the time the container is returned to the depot (7 th February). Demurrage is without a doubt one of the most frustrating aspects of working in trade and transportation. Demurrage exists to incentivize shippers to stay on schedule. If
They’re more likely to be flexible if you prepare them ahead of time rather than try to rush through the unloading process and then beg for forgiveness when you run behind schedule. starts the following day (Day2), 3. If for some reason your cargo gets held up at the terminal for more than a week, chances are the daily fees will increase. Despite the similarities, they are still very different fees. applicable tariff rule. local information. In practice, this means that even after you’ve moved your cargo out of the terminal, you need to be prompt in returning the empty containers. On that note, a contingency plan is always a solid investment.
For demurrage, negotiating extra time can be a little bit trickier.
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You may be trying to access this site from a secured browser on the server. In other words, how much time do you have to move your cargo before demurrage kicks in?
This can work on both demurrage and detention. And although by now you may be thinking demurrage and detention are inevitable, that’s not always the case.
Not to mention, different countries could apply definitions differently and leave more or less room for negotiation, so be sure to read the fine print! Detention charges are applied for the storage or holding of containers whilst in our customers’ care outside a port, rail terminal, feeder terminal, inland depot or container yard.
Who pays for that labor and the other companies’ detention? The same goes for export – drivers will wait for a few hours to bring the cargo to the vessel for onboarding, but if the clock keeps ticking, detention kicks in.
This could be when import shipments are taken to a warehouse to unload or an export shipment is being loaded into the containers.
While detention costs ($50-$100 per day on average) are typically less than demurrage fees, they’ll still put a dent in your bottom line over time. Detention may refer to multiple situations, and shippers often confuse detention with demurrage. 2 0 obj
There are many effective ways to minimise your risk. starts the following day (Day2).
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