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Logistics & Supply Chain vocabulary · Freight and Shipping

Demurrage

Meaning in logistics & supply chain, with examples

nounCommon term

In logistics & supply chain, demurrage means: A charge paid when a container stays at the port or terminal longer than the free time the carrier allows, or when a chartered ship is held beyond the agreed loading time.

In Turkish: demuraj, konteyner gecikme bedeli, sürastarya

How it is used

A frequent source of unexpected costs in container shipping. Demurrage applies while the container is inside the terminal; detention applies when the shipper or consignee keeps it outside too long. Charges are per container per day and rise over time.

Example sentences

  1. The customs delay cost us four days of demurrage on two containers.

  2. Ask the carrier for 14 days' free time so that we avoid demurrage.

Common collocations

  • demurrage charges
  • free time
  • incur demurrage
  • demurrage and detention
  • pay demurrage
  • containerA large steel box of standard size used to carry goods by ship, train and truck without unloading them when they move from one vehicle to another.
  • carrierA company that physically transports goods, such as a trucking company, a shipping line, an airline or a rail operator.
  • customs clearanceThe process of getting official approval from customs for goods to enter or leave a country, including declaring them, paying duties and passing any inspections.
  • ocean freightThe transport of goods by ship, mostly in containers; the cheapest way to move large volumes over long international distances.
  • bookingA reservation of space for a shipment on a specific vessel, flight or truck, made directly with a carrier or through a forwarder.

This word in other fields

The same English word can have a different meaning in another field:

More terms: Freight and Shipping

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