Welcome to China Sunshine Shipping Agency Shantou !

Logistics Knowledge

The Meaning of Free Demurrage & Free Detention

Resource:The SiteDate:2019/2/19 Click:0

When the container volume is large or the destination is far away from the unloading port, the customer usually requests a sufficiently long non-container and non-stacking period at the time of booking. Only know that it's easier to avoid cabinet and heap. What's the difference? Let's share it with you here.

DEMURRAGE: Container overdue (overdue) usage fee under the control of the carrier or its agent, usually refers to the overdue usage fee of the container at the destination terminal or yard before the consignee clears the customs and picks up the goods.

DETENTION: The overdue (overdue) usage fee for containers under the control of the consignee, that is, after the consignee clears the customs, the container is put forward to the yard or wharf without returning the empty container within the prescribed time.

Free Demurrage and free detention refer to overdue charges. The difference between them is:

Free Demurrage: The calculation starts from the unloading of containers to the wharf until the container is put forward to the wharf;

Free Detention: Containers are calculated from the proposed terminal until empty containers return to the terminal.

There is also a Free Storage (no storage period): This is the storage fee at the wharf, which starts from the unloading of containers to the wharf and settles the accounts until the containers are withdrawn.

Free demurrage & detention is charged by the shipping company because of the delay charges. Normally, it is about 7 days. Some ports can apply for 10-14 days because of transit or other reasons, and longer can apply for 21 days.

Free Storage is the storage fee charged by the wharf, usually 5-7 days, which is usually difficult to apply for.

Differences between FREE TIME, FREE DEMURRAGE and FREE DETENTION

1. Free Demurrage for container in Wharf after arrival of goods;

2. Free Detention Period for Containers Delivered Outside the Wharf after Goods Arrive at the Port; Free Detention Period; Free Detention Period; Free Detention Period; Free Detention Period; Free Detention Period

3. Free Storage Period for Container Pushing to Wharf.

Two of them are decided by the shipping company, so they can apply to the shipping company. In general, the Free time = Free Demurrage + Free Detention for the application and approval. Normally, the free time at the destination port is 7 days, and the application for 14 days is usually approved by the shipping company. 21 days is a little difficult, unless there are more cabinets in the port to stabilize the customers or the shipping company. Many people don't understand the difference between Demurrage and Detention. Storage is the container storage fee charged to the shipping company by the wharf. Free storage time depends on the wharf, not the shipping company.

Demurrage and Detention

The demurrage period is calculated form the date of discharge of full container up until the date of the full container is cleared out of port, after deducting the standard free time.

The detention period is calculated from the date the full container is cleared out of port up until the date the container is returned empty by the consignee to the carriers stack in port.

D&D (Demurrage & Detention) delay fee, its related term is Free Time (free period).

Demurrage's free period begins on the date of arrival of the goods at the destination.

Detention free period begins on the date when the consignee carries the heavy box.

Over the corresponding free period,

If the consignee has not yet delivered the goods, he shall deliver Demurrage in accordance with the regulations of the shipping company.

If the consignee has not returned the empty container, he shall deliver it to Detention in accordance with the regulations of the shipping company.

Whether Demurrage free 7 days is enough depends mainly on the speed of customs clearance procedures.

Whether Detention Free 7 days is enough depends mainly on the speed of emptying the box.

They are not two choices. They should be fought for at the same time.

Freedention and free demurrage refer to the on-site and off-site cabinet rental. The cabinet is a shipping company, so you can apply for it. Both terms are related to cabinet rent, but not to cabin rent. They are charged for the carrier. The difference is:

FREE DETENTION, which is more demanded by ordinary passengers in Indian ports, is due to the fact that the passengers have to ship containers to inland locations.

More boxes are needed; this does not mean that it is impossible to apply for FREE DEMURRAGE in India.

How to express the cabin rent (overdue dock storage fee) in English? If the container is overdue at the destination port or yard, how to apply for it?

Apply for "free storage" or "FREE TIME"= "FREE STORAGE"+ "FREE DEMURRAGE", but the general shipping company will not, because "STORAGE" is to be paid to the wharf, if exempted, the shipping company will have to pay for itself.

NEWS CENTER

CONTACT

Home
Tel
Message
Contact