FIATA questions the reasonableness of assessing demurrage and detention charges against shippers and forwarders during pandemic.
Commissioner Rebecca Dye will lead the U.S. Federal Maritime Commission effort with industry to identify “operational solutions to cargo delivery challenges” caused by the coronavirus pandemic.
The U.S. Federal Maritime Commission’s legal staff is expected to deliver its final demurrage and detention rulemaking assessment to the commissioners in the next several weeks.
“With ongoing challenges posed by the coronavirus, there is real concern about these fees being assessed when there are equipment issues beyond the control of the shipper or motor carrier,” 67 trade associations told the Federal Maritime Commission.
“Right now, I believe most ocean carriers and marine terminal operators are acting responsibly and fairly in these challenging conditions,” FMC Commissioner Daniel Maffei said.
“As long as there continues to be a lack of cargo and documentation handling in the ports due to the virus, our exporters and importers shouldn’t be on the hook for per diem or demurrage charges,” AgTC Executive Director Peter Friedmann said.
The Agriculture Transportation Coalition has developed service contract guidance its members can use to set parameters for when ocean carriers should issue or withhold detention and demurrage charges.
Shippers and NVOs urge the U.S. Federal Maritime Commission to implement the interpretive rule, while ocean carriers and marine terminals say it needs further refining.
U.S. Federal Maritime Commission Chairman Michael Khouri talks with American Shipper about priority container shipping regulatory issues for fiscal year 2020.
The U.S. Federal Maritime Commission does not expect easy answers to the question of how to fairly assess demurrage and detention when Customs and Border Protection holds containers.
The U.S. Federal Maritime Commission (FMC) issued a proposed rule to promote “just and reasonable” demurrage and detention charges.
The U.S. Federal Maritime Commission set the new comment deadline for its notice of proposed interpretive rule to address demurrage and detention practices to Oct. 31.
The AgTC asked the U.S. Federal Maritime Commission to extend the comment deadline to Oct. 31, calling the rule “the most relevant and far-reaching initiative taken by the FMC in many years.”
The Federal Maritime Commission welcomes container shipping industry’s comments on recommendations to bring clarity and fairness to the assessment of demurrage and detention fees.
The U.S. container shipping industry is eager to weigh in on recommendations produced and approved by the Federal Maritime Commission that promise to bring clarity and fairness to the assessment of demurrage and detention fees.
The U.S. Federal Maritime Commission on Sept. 6 unanimously approved a set of recommendations to bring about fairness in the way demurrage and detention fees are administered by ocean carriers and marine terminal operators against American shippers. Commissioner Rebecca Dye delivered her recommendations to Chairman Michael Khouri and Commissioners Daniel Maffei and Louis Sola for […]
Regulators frustrated by carriers’ lack of candor in justifying service fees
Lawmakers heard how costly fees and equipment shortages along the supply chain are hurting exports.
In partnership with Reliance Partners …When incurring demurrage and detention charges, shippers and carriers lose out on hundreds of dollars per diem. Optimizing drayage operations and dispatching cargo as quickly as possible could help in reducing the burden, especially during unanticipated port delays.
