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Demurrage and Detention - How Does It Works?

Hello everybody! I hope you all enjoyed your summer holiday! In this episode I am trying to tackle the detention and demurrage topic and hopefully, by the end of this video you will manage to distinguish between them and most importantly how all works out! I've done a 2x2 matrix in which I've tried to explain how detention and demurrage works for both the import and export flows and basically, it goes like this: Demurrage for the import flow: usually, you have anywhere from 3 to 5 days free of charge after the container has been discharged from the vessel and if you fail to pick up the container from the terminal within those free days, you will pay demurrage for each additional day (per diem). Detention for the import flow: it refers to the time outside the port/terminal and if the consignee holds the container beyond the allowed free days, detention will be charged. Demurrage for the export flow: it occurs when the container is in the terminal but cannot be loaded onboard the vessel because of improper or lack of documentation or other non-carrier related errors and in this case the container won't be loaded on the scheduled vessel, it will have to wait in the terminal until the proper documentation is in place and catch the next vessel. In this case, demurrage is applied until the next schedule vessel departs, of course with the container on board ;) Detention for the export flow: it occurs when the empty container has been picked up for loading, but not returned within the free days. As for ways to prevent D&D (detention and demurrage) charges, I have a couple of ways that can help you prevent them: 1/ know your contract and responsibilities; 2/ if possible, try to pre-clear the customs; 3/ plan in advance and have a backup inland truck carrier; 4/ keep in mind the loading and unloading times and the cut off dates at the terminal. I hope that this video will help you better understand how D&D works and don't forget to hit the like and the subscribe buttons if you slightly find this video interesting ! ;) #import #export #detention #demurrage #shipping #theimportexporthub Other videos I recommend: The Imports And Exports of Spain in 2020 -    • The Imports And Exports of Spain in 2020   The Import Export News Of The Week (Week 48 - 2021) -    • The Import Export News Of The Week (W...   Exporting In 8 Easy Steps -    • Exporting In 8 Easy Steps   Five Products That Are Worth Importing From Vietnam -    • Five Products That Are Worth Importin...   The Imports And Exports of Vietnam in 2020 -    • The Imports And Exports of Vietnam in...   Five Products That Are Worth Exporting Towards Mexico -    • Five Products That Are Worth Exportin...