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Guide

Demurrage vs Detention

Demurrage and detention are both charges for keeping a container beyond its free time. The difference is where the container is while the clock runs.

The short answer

DemurrageDetention
Where the container isInside the port or terminalOutside the terminal, at your premises or on the road
Import clockFrom discharge until the full container leaves the terminalFrom collection until the empty container is returned
Export clockFrom when the full container enters the terminal until it is loadedFrom collecting the empty container until it is returned full
Charged byUsually the carrier (sometimes the terminal adds storage)The carrier

Terms differ between carriers and regions. Some carriers combine both into one "D&D" charge with a single free-time allowance, so always read the tariff that applies to your booking.

Free time

Each charge starts only after a number of free days. Free time is set in the carrier's tariff and can often be extended in your contract. Carriers also differ on whether free time counts calendar days or working days and whether the day of discharge counts as day one.

How charges add up

After free time, charges are usually tiered: a lower daily rate for the first days and higher rates later. They apply per container, so delays on a multi-container shipment add up quickly.

Free days: 5
Container at terminal: 14 days
Chargeable days: 14 − 5 = 9

Days 1–4 of charges:  4 × 75  =   300
Days 5–9 of charges:  5 × 150 =   750
Per container                 = 1,050
Three containers              = 3,150

Common causes

  • Customs documents or duty payment not ready when the ship arrives.
  • Customs inspections or holds.
  • No truck or warehouse slot available to collect and unload.
  • Slow unloading and late return of empty containers.

How to avoid them

  • Prepare customs documents and payments before arrival.
  • Book haulage and unloading in advance.
  • Negotiate free time that fits your real unloading speed.
  • Track the free-time deadline for each container and return empties promptly.

Estimate both charges for your dates and tiers with the Demurrage & Detention Calculator, and include any charges in your landed cost.

Results are estimates based on the values and rates entered.

Related calculators

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Frequently asked questions

What is free time?

Free time is the number of days allowed before demurrage or detention starts. It is set by the carrier or terminal and often agreed in the contract.

Can demurrage and detention apply to the same container?

Yes. A container can incur demurrage while waiting at the terminal and then detention if it is returned late after collection.

How do I avoid demurrage and detention?

Have customs documents ready before arrival, book collection and unloading promptly, negotiate enough free time and return empty containers on time.