Demurrage

Demurrage refers to the charges incurred when cargo remains on a transport vehicle, like a ship or truck, longer than the agreed-upon time. It’s essentially a fee for holding the vehicle or container beyond its scheduled return. This charge compensates companies for potential loss of income and encourages timely unloading and return of equipment. Demurrage is common in shipping and logistics to ensure efficiency and minimize delays, helping businesses manage their operations effectively and maintain schedules.