Demurrage vs Detention — what's the difference?
Both are late fees on shipping containers, and they’re easy to mix up. The simple rule: demurrage is charged when your container sits inside the port too long; detention is charged when you keep the container outside the port too long.
One is about the box waiting at the terminal; the other is about the box out at your yard.
Demurrage vs detention, side by side
|
|
Demurrage |
Detention |
|
Where the container is |
Inside the terminal/port |
Outside the port (at your yard) |
|
What it charges for |
Not picking up in time |
Not returning the empty in time |
|
Typical trigger |
Slow customs clearance |
Slow unloading / late empty return |
|
Memory hook |
Demurrage = Dock |
Detention = content held at your end |
Demurrage vs detention, side by side
These fees are almost always avoidable. Three things that prevent them:
Negotiate more free days up front
Carriers grant a set number of free days; ask for more before booking, especially on long-clearing goods.
Clear customs before arrival
Have documents (commercial invoice, packing list, HS codes) ready so the container isn't stuck at the dock racking up demurrage.
Plan the empty return
Book a slot to unload fast and return the empty container before detention starts.
A good sourcing agent or forwarder lines these up so you never see the charge.
Frequently asked questions
Demurrage is charged when a container stays inside the terminal beyond the free days; detention is charged when you keep the container outside the terminal too long before returning it empty.
Clear customs before the ship arrives and pick the container up within the free days. Negotiating extra free days up front also helps.
Usually the party controlling the import — often the buyer/importer — unless your Incoterm or contract assigns it to the seller.
Demurrage and detention are avoidable — with the paperwork ready before the ship lands.
We help you plan customs clearance, negotiate free days, and avoid unnecessary fees.