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Showing posts from May, 2019

Difference between Demurrage and Detention

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Demurrage and detention are two terms that often confuse ship suppliers Cape Town based or otherwise, people in global trade, shipping, freight and logistics. The Link Ship Chandlers team always tries to keep all ship chandlers in-the-know. Demurrage and detention have also lead to several financial losses many a time. Is there a difference between demurrage and detention? Demurrage and Detention in the context of container shipments. Demurrage relates to cargo (while the cargo is in the container) Detention relates to equipment (while the container is empty after unpacking or before packing) Let's see how it works. Imports – A container is discharged off a ship on the 2nd July – Consignee approaches the shipping line to take delivery of the cargo around 12th July. Working off a standard 7 free days from date of discharge, the line free days (different to port free days) expires on the 8th July. So, the line will charge the consignee DEMURRAGE for 4 days from 9th to 12