How are container detention charges calculated?

How are container detention charges calculated?

In the calculation of Demurrage charges to the shipowner/port authority, the demurrage rate is multiplied by the number of days/part days over the agreed free days.

How many free days does Hapag Lloyd have?

Additional Freetime is available for our customers in every country in which Hapag-Lloyd operates. You can buy up to 10 extra days through this service.

What does Detention mean in shipping?

Detention: Costs incurred by a customer for using equipment beyond the given free time, typically outside of the terminal. Detention is charged when the carrier’s equipment is still in use by the shipper or consignee beyond the LFD, regardless if full or empty.

What is the difference between detention and demurrage charges?

Demurrage refers to the charge that the merchant pays for the use of the container within the terminal beyond the free time period. Detention refers to the charge that the merchant pays for the use of the container outside of the terminal or depot, beyond the free time period.

What is the meaning of demurrage charges?

Definition of demurrage 1 : the detention of a ship by the freighter beyond the time allowed for loading, unloading, or sailing. 2 : a charge for detaining a ship, freight car, or truck.

What are detention charges?

Demurrage and detention charges have been widely used in container shipping. Detention refers to the charge that the merchant pays for the use of the container outside of the terminal or depot, beyond the free time period.

What do you mean by detention charge?

Detention is billed per container and per day, and the charged amount will vary per location, carrier and container type. In these countries, “demurrage” refers to the time containers spend outside the port, while “detention” refers to the time spent on port grounds.

What is a detention charge?

What Are Detention Charges in Shipping? Within the shipping industry, the terms “detention charges” and “per-diem charges” (or, “per day charges”) are often used interchangeably. These charges are assessed to the cargo owner when a container is not returned within a set number of days (free days).

What does Detention mean in trucking?

When shipments aren’t ready to be loaded, even if a truck driver arrives on time, the trucker is “detained” and must wait for freight (and its paperwork) to be prepped.

What is the meaning of detention in shipping?

Detention refers to the charge that the merchant pays for the use of the container outside of the terminal or depot, beyond the free time period. The loading and delivery of the container for an export. The pick-up, unloading and return of the empty container for an import.

Is Hapag Lloyd revising the demurrage and detention tariff?

Hapag-Lloyd will revise the demurrage and detention tariff effective July 1, 2016. We would like to inform you that with effect from July 1, 2016 Hapag-Lloyd will be amending the Canadian Demurrage and Detention Tariff for longstanding containers on both imports and exports.

When does the demurrage and detention tariff change in Canada?

Canada – Demurrage and Detention Tariff Changes Hapag-Lloyd will revise the demurrage and detention tariff effective July 1, 2016. We would like to inform you that with effect from July 1, 2016 Hapag-Lloyd will be amending the Canadian Demurrage and Detention Tariff for longstanding containers on both imports and exports.

What is the new effective date for detention and demurrage charges?

Further and in reference to our recent publication of Detention and Demurrage charge updates in USA, kindly note that the new effective date for these changes is March 5, 2020.

What is the liner demurrage and detention freetime and charges?

The liner demurrage and detention freetime and charges will remain unchanged until dry containers exceed 12 calendar days and specials, reefers and tanks exceed 5 calendar days. Once those days have been exceeded the following increased charges will apply:

Begin typing your search term above and press enter to search. Press ESC to cancel.

Back To Top