Demurrage and detention for Container Exports and Imports

Below is the detailed description for understanding

•       Demurrage – It is charged for using the container inside the port and is billed by port.

•        Detention – It is charged for using the container outside the port and is billed by shipping line.

Imports -

• Imports demurrage free days starts from first day of container being offloaded from vessel to terminal and is calculated till stuffed container gate out from terminal.

•  Imports detention free days starts from the first day of stuffed container gate out from terminal till the empty container is returned at port/ container yard / CFS. If empty container is not returned within the given time-period then the detention charges are billed to importer.

Exports

•       Exports demurrage free days starts from the first day of container gate in at port till container is loaded on vessel.

•       Exports detention free days starts from empty container allotment date till the stuffed container is handed over to shipping line at port / container yard / CFS.

Example- Maersk gives 10 free days for exports and if container is handed over on 21st day then  the charges will be as per below slab

Exports detention slab

• 1st to 10th day free

• 11th to 20th day – 30 USD per day

• 21st to 25th day – 60 USD per day

• 26th day and above – 100 USD per day

o   If the container is used for exports - The detention charge will be 360 USD as per the above slab.

o   If the container is not used for exports - and returned back empty then detention will be applicable from the first day and total detention will be 1200 USD as per the above slab.