Our glossary simplifies common industry terms in freight and logistics into clear, easy-to-understand explanations.
Demurrage (related to the concepts of Port Storage/Demurrage & Detention) is a storage or usage fee incurred when cargo is not picked up or returned to the container within the free storage period after arrival at the port. These fees are collected by the terminal, shipping company, or yard and accrue daily, so overtime costs can quickly add up. To avoid demurrage, prepare customs clearance documents and arrange for trailers and storage facilities as early as possible. If delays are anticipated, negotiating with the carrier to extend the free storage period is a viable strategy.
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