Logistics terms · Logistics terms
What does Demurrage mean in logistics?
Short answer
A charge for holding carrier-owned or terminal space beyond the free time allowed. In shipping it usually applies to containers left inside a port terminal or CFS; on railways, to wagons held beyond the free loading or unloading time.
Indian trucking often uses "demurrage" loosely for truck detention. In container trade, shipping lines charge detention for containers kept outside the terminal and terminals charge ground rent or demurrage inside it, so read each tariff separately. Ask our desk how this applies to your consignment.
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The numbers behind this answer
- Category
- Contracts & pricing
- Related terms
- Detention, Detention charges, Dwell time, Rail rake
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