Freight glossary · Pricing and charges

Demurrage

Demurrage is the charge a shipping line makes when a full container stays in the port or terminal longer than the free time allowed before it is picked up.

What is demurrage?

After a container is discharged, the carrier allows a number of free days for the consignee to clear customs and collect it. From the first day after free time ends, the line bills demurrage per container per day, usually on a rising scale. The terminal may add its own storage charge on top.

Demurrage is often confused with detention. Demurrage runs while the box is still inside the port; detention runs once it has left the port and is not yet back as an empty. Some carriers combine both into a single “merged” free-time allowance, so always read the line's tariff for the port.

Common causes are late documents, a customs hold, an unpaid freight invoice or no truck available. Forwarders avoid it by tracking the discharge date against free time, chasing the original bill of lading or telex release early, and negotiating extra free days when booking.

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