Global D&D charges down, issues remain at some ports: Report

18 Jul '23

2 min read

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Insights

Average demurrage and detention (D&D) fees dropped by 25 per cent year on year this year, and by 14 per cent lower than the 2020 figures, Container xChange said in a recent report.
Still, 11 ports exhibit D&D fees that are higher than in 2020.
Seven North American ports are the costliest in terms of D&D, the top three being New York, Oakland and Los Angeles.

Average global demurrage and detention (D&D) fees dropped by 25 per cent year on year (YoY) this year, and by 14 per cent lower than the 2020 figures, Hamburg-based Container xChange said in its Annual Benchmark Report on D&D Fees released recently.

Still, 11 ports exhibit D&D fees that are higher than in 2020. These include Antwerp, Jebel Ali, Ningbo, Port Kelang, Rotterdam, Shenzen, Singapore, Tianjin, Xiamen, Hong Kong and Guangzhou.

There are several reasons for these ports not returning to normal. These include energy prices increasing drastically, higher labour costs, increased land cost and port fees, new regulations, especially for green energy implementation (which are expensive) in European Union ports, new rules on individualising shipment customs clearance and no longer under one bill of lading (which is time-consuming), for example in Rotterdam, according to maritime research consultancy Drewry Supply Chain Advisors (DSCA).

Seven North American ports are the costliest in the world in terms of D&D. The top three being New York, Oakland and Los Angeles. The ports with the lowest D&D charges after two weeks are Busan, Jeddah and Piraeus.

On an average, the shipping line that charges the lowest late fees globally is ZIM, while CMA CGM charges the highest. But this differs per region.

ALCHEMPro News Desk (DS)

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