Okuzeka
Maritime & Shipping vocabulary · Chartering & Shipping Documents

Demurrage

Meaning in maritime & shipping, with examples

/dɪˈmɜːrɪdʒ/nounCommon term

In maritime & shipping, demurrage means: Money that the charterer pays the shipowner when loading or discharging takes longer than the laytime agreed in the charter party. It is usually a fixed daily rate.

In Turkish: sürastarya, sürastarya ücreti

How it is used

Used in claims and laytime calculations: 'the vessel is on demurrage', 'demurrage USD 15,000 per day pro rata'. Money paid for finishing early is called despatch. In container shipping, demurrage also means charges for leaving containers too long at the terminal.

Example sentences

  1. The vessel has been on demurrage since Monday because of congestion at the port.

  2. The owners sent a demurrage claim of USD 48,000 to the charterers.

Common collocations

  • on demurrage
  • demurrage rate
  • demurrage claim
  • despatch
  • laytime and demurrage
  • laytimeThe period of time agreed in a charter party for loading or discharging cargo without any extra payment to the shipowner.
  • charter partyThe contract between a shipowner and a charterer for hiring a ship, either for a voyage or for a period of time. It sets out the freight or hire, the cargo, the ports and the laytime.
  • notice of readinessA formal notice from the master to the charterer or receiver stating that the ship has arrived and is ready in all respects to load or discharge. It is shortened to NOR.
  • chartererThe person or company that hires a ship from the shipowner under a charter party, either to carry its own cargo or to trade the ship.

This word in other fields

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

More terms: Chartering & Shipping Documents

Practise with graded reading

Reading at the right level is the fastest way to make new words stick. Pick free English books by level: