How can I avoid extra fees on carrier containers?

Containers platforms

The 4 key ways to avoid extra charges on carrier containers involve negotiating for extra time, coordinating with all parties in advance, creating a backup plan, and organizing all paperwork in advance.

Importing or exporting goods can be expensive—especially if you get slapped with extra fees. Fortunately, there are a number of ways to avoid extra fees on carrier containers used in shipping. In this article, we discuss the different types of fees you might experience on shipping containers, as well as 4 strategies to avoid those extra charges.

Types of fees on containers

First, let’s take a look at the types of fees you might be faced with when importing or exporting goods, namely demurrage and detention fees:

Demurrage fees

When a container is held at a port longer than normal, trained personnel assess demurrage charges. Shipping contracts will include a free period when your shipment can be held at a port without charge. Beyond that point—typically five days—you’ll face a large fee on each container for each additional day.

Note: Demurrages are often caused by late pickup of imports or problems with documentation when loading exports.

Detention

When you retrieve shipment containers for loading or unloading, you have a set period of time in which to return them to the shipping line. If you hold onto them longer than a set number of days, you’ll get charged detainment fees.

Tactics for avoiding extra container fees

To avoid demurrage and detainment fees, the following tactics may help.

Negotiate for extra time

The free periods for loading, unloading, or keeping containers at the port are outlined in your contract with the shipping line. As such, it’s possible to negotiate for extra time, especially if you already have an idea of how long the process will take.

Coordinate with all parties in advance

If you’re exporting or importing goods, you’ll want to make sure you have the containers picked up, loaded or unloaded, and returned as promptly as possible. It’s best to coordinate with all parties involved—the shipping line, truckers, etc.—in order to make sure schedules line up neatly and prevent delays.

Tip: Asset tracking software can keep track of items while in transit, assisting with coordination.

Create a backup plan

It doesn’t hurt to have a backup plan, in case the parties responsible for loading or unloading your cargo are delayed. Contact multiple trucking companies to make sure you have someone ready to handle your shipment.

Organize all paperwork

Delays often occur from faulty paperwork, causing cargo to be held at the port longer than necessary. When making shipping arrangements, make sure you know what documents you need and how they need to be handled.

Tip: Make sure that nothing gets lost in the paper trail by listing all important information in the details of your digital work orders using a CMMS.

Planning ahead

Ultimately, avoiding cargo container fees comes down to advance planning and communication. If you know in advance what the process will entail and coordinate with all parties involved, you’ll usually avoid extra fees.

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