Demurrage fees are charged if your container has not been picked up from the port before the Last Free Day.
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What is demurrage?
Demurrage is the fee assessed by the terminal if your cargo remains at port after the Last Free Day.
How much will I be charged for demurrage?
Demurrage is charged per container, per day, until the cargo is picked up. The specific charges will vary depending on the port and terminal, but they can be steep, especially when combined with per diem/detention fees — anywhere from $75 - $200 per container, per day, is typical. Some terminals will increase the daily fee amount after a certain number of days.
How can I avoid demurrage?
Communicate with your Flexport team. They will let you know if a delay at destination could incur demurrage: for example, the warehouse could be unable to accept the cargo until after the Last Free Day. Your Flexport team will discuss your options with you, which may be a pre-pull. With a pre-pull, the container will be picked up from the port and stored at the trucker’s yard, where the storage fees are less expensive.
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FOB (Free on Board)
FCA (Free Carrier)
EXW (Ex Works)