Prohibited Goods, Restricted Goods and Import Permits: What to Check Before You Order
The difference between goods that cannot be imported at all and goods that can with a permit, plus how to check before you pay the supplier.
Demurrage vs Detention: What the Difference Is, and How to Avoid Both
· 6 min read
The container invoice that arrives weeks later is usually worse than expected, because these two charges run on different clocks and stop at different moments.
Key points
- Demurrage is for a container sitting inside the terminal; detention is for one that left but has not come back
- They measure different periods and you can incur both on one shipment
- Free time depends on the carrier, the contract and the port — check before booking
- Negotiate extra free time with the freight rate, not after the charge appears
- Long holidays are when these charges grow fastest
Importers often receive a container charge and cannot see where it came from, even though the vessel arrived on schedule. The answer is two similarly named charges that cover different things — and sometimes both apply.
The difference
| Demurrage | Detention | |
|---|---|---|
| Where the box is | Still inside the terminal | Out on the road or at your site |
| Why it is charged | It occupies terminal space | The carrier's equipment has not been returned |
| Clock starts | At discharge | When the container leaves the terminal |
| Clock stops | When the container leaves the terminal | When the empty is returned to the depot |
| Billed by | The carrier (terminals may add storage separately) | The carrier |
The dividing line is the terminal gate. Too long inside is demurrage; too long before returning the empty is detention. A shipment that sits at the port and is then returned late pays both.
How much free time do you get?
Free time is not a standard figure. It varies by carrier, trade lane, container type, destination port, and above all what your freight contract says. Shippers with steady volume usually negotiate more of it.
Special equipment such as reefers and tank containers normally gets less free time and carries higher charges, because the equipment is scarce and expensive.
Ask for the free time figure in writing when you request the rate, not when the vessel is approaching. A cheaper rate with shorter free time can cost more overall.
Charges escalate in tiers
Most carriers do not apply one flat rate. The first days are charged at one level, then higher, then higher again. A container held for two weeks does not cost twice a one-week hold; it costs considerably more.
That is why it is worth escalating on the first day you know a shipment will be late, rather than waiting to see how it develops.
The usual causes
- Late documents, especially original bills of lading and certificates of origin
- A permit still pending when the cargo lands
- Selection for inspection, which you cannot control but can allow time for
- Nowhere to unload — a full warehouse, or no one on site over a holiday
- Slow empty return, with the box used as temporary storage at the factory
- A full depot, with the carrier directing the empty somewhere further away
How to plan them away
- Agree a specific free time figure with the freight rate, and ask for more on lanes that have caused trouble before
- Use telex release instead of couriering original bills of lading
- Start the declaration when the arrival notice lands, not when the vessel berths
- Apply for permits before ordering, not before arrival
- Book haulage and an unloading slot in advance, especially ahead of long holidays
- Return the empty as soon as it is unloaded; a container is not cheap storage
- If you know a shipment will be late, approach the carrier before the charge accrues — far easier than asking for a waiver afterwards
If the invoice has already arrived
Ask for the day-by-day calculation and check it against your own records. The usual discrepancies are the start date, public holidays, and any period the container was held for inspection, which some contracts exclude.
Rates and free time conditions belong to each carrier and change regularly. For actual figures, rely on the contract and the quotation for that specific shipment.
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