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DIFFERENCE BETWEEN DEM (DEMURRAGE), DET (DETENTION), AND STORAGE CHARGE

When exporting or importing a full-container shipment, shipping lines often tell you that your shipment will have how much free time for DEM, DET, and STORAGE CHARGE. If you aren't familiar with or hear about these Local charges for the first time, you will feel difficult to imagine and distinguish these fees. Today, Sea Dragon will help you understand DEM, DET, and STORAGE CHARGE fees more clearly.

WHAT IS DEM, DET, AND STORAGE CHARGE?

  • DEMURRAGE (DEM): is the fee for storing containers in the port's yard. The shipping line will directly collect this.
  • DETENTION (DET): is container storage fee at the customer's warehouse. The shipping line will directly collect this.
  • STORAGE CHARGE is the port's storage will be charged directly by the port. Otherwise, the shipping company will collect this for the port.
  • FREE TIME is the period shipping lines are free of DEM, DET, and the STORAGE CHARGE for customers. 

DIFFERENCE BETWEEN DEM (DEMURRAGE), DET (DETENTION), AND STORAGE CHARGE

DEM, DET AND STORAGE CHARGES FOR EXPORT?

DEM, DET, and STORAGE free periods vary depending on shipping lines. Generally, shipping lines will allow customers to tow empty containers to the warehouse for packing 10 days before the ship depart and get the free time of 7 DEM, 7 DET, and 5 STORAGE for each export container. It means you get 7 days of free container storage at the warehouse, 7 days of free container storage at the port, and 5 days of free storage at the port.

For example, your shipment with one container has ETD on Jan 15, 2021 and the free time including in 7 DEM, 7 DET, and 5 STORAGE:

- You can tow empty containers for packing on Jan 6, 2021

-If you take empty containers on Jan 6, 2021, the period of free storage in your warehouses (DET) will end on Jan 12, 2021. After this date, you will be charged DET by the shipping line for each day of late container lowering.

-For the shipment has ETD on Jan 15, 2021, the free container storage period (DEM) that the shipping line gives will be from Jan 9, 2021. If you lower the container at the yard before this date, you will be charged DEM by the shipping line for each day incurred when unloading the container at the port.

- For the ETD on Jan 15, 2021, the free storage period (STORAGE) that the shipping line gives will be from Jan 11, 2021. If you lower the container at the yard before this date, you will be charged STORAGE by the shipping lines for each day incurred when unloading the container at the port.

- For the case that you lower the container after the specified cut-off time (closing time), the goods can't be loaded on the expected ship. Therefore, your shipment must be at the yard waiting for the next shipment. In this case, the shipping lines will still charge you a storage fee (DEM) and a storage fee (STORAGE).

DIFFERENCE BETWEEN DEM (DEMURRAGE), DET (DETENTION), AND STORAGE CHARGE - SEA DRAGON 3

DEM, DET, AND STORAGE FEES FOR IMPORT?

When the goods arrive at Vietnamese ports, the shipping lines usually give customers free 5 days of container storage at the port (DEM), 3 days of free storage of containers at your warehouse (DET), and 5 days of free storage (STORAGE).

For example, your imported shipment with one container has the arrival date (ATA) of Jan 15, 2021 and the free time insisting of 5 DEM, 3 DET, 5 STORAGE.

-With ATA being Jan 15, 2021, the limited time for storing containers at port (DEM) and storage (STORAGE) will expire on Jan 19, 2021. If you clear customs procedures and takes the goods out of the port after this date, the shipping line will charge you DEM and STORAGE fees for each arising day.

-If you pick up the goods out of the port on Jan 15, 2021, the free container storage period at the customer's warehouse will end on Jan 17, 2021. If you don't unload the goods and return the empty container to the yard on Jan 17, 2021, the shipping company will collect DET fees for each arising day.

DIFFERENCE BETWEEN DEM (DEMURRAGE), DET (DETENTION), AND STORAGE CHARGE - SEA DRAGON 4

If you have any questions, please don't hesitate to contact Mr. Jack at +8490 262 0898 for advice.