1. What is an online freight marketplace? 

A freight marketplace can be described as an online web/mobile platform where a product or service is provided by multiple third parties with transactions processed by the marketplace operator. “Rate Quoting” is one of the most important components of logistics business. On the other hand, customs clearance and documentation, temporary warehousing, final mile delivery and many more emphasize more important works for forwarders. Voltusfreight marketplace platform’s unique approach enables 10x efficiency by smoothening the automated quoting process thereby add the accuracy with consistency and ensures integrated technology to reduce process costs, fast forward lead generation & manage sales vs revenue tracking simplified.

2. What are the current gaps in offline model? 

Cost and manpower resource overheads are enormous with manual errors & compromised data analytics makes the entire process complex and inefficient.

3. What is the meaning of demurrage charges?

 “Demurrage is a charge levied by the shipping line to the importer in cases where they have not taken delivery of the full container and move it out of the port/terminal area for unpacking within the allowed free days. “Demurrage charges can vary country to country as well as by carrier Demurrage = (Total Days – Free days) x per diem charge. To calculate the demurrage charge this is what you do: Per diem costs multiplied by the number of days more than agreed free time. 

4. Who is demurrage paid to?

One such extra charge is the Demurrage charge. “Demurrage is a charge levied by the shipping line to the importer in cases where they have not taken delivery of the full container and move it out of the port/terminal area for unpacking within the allowed free days.

5. Who is responsible for detention charges?

This may occur, for example, when they are waiting at a terminal to pick up a shipment and there are delays due to excessive port congestion. Like demurrage, detention may be caused by circumstances beyond shippers’ control. Regardless of this fact, shippers are still responsible for these charges.

6. How do you fight demurrage charges? 

Tips to Avoid or Reduce Demurrage Charges: Pre-clear your cargo and issue delivery instructions to your inland carrier in advance. …Have a trucker “back-up” plan. …Request extended free time.

7. What causes demurrage?

Although, the most common reasons of demurrage are trigged by a shipper’s actions: Delay in payment. If the shipper paid for only part of a shipment, the vessel could refuse to release the freight until paid in full. Any delay in payment will lead to cargo detention at the port, which in turn causes demurrage charges.

8. How is Laytime calculated?

If the number of running hours or days spent loading or discharging the cargo, after the Notice of Readiness is properly given, varies from the contractually agreed amount of time, then the laytime is paid by the charterer as demurrage or the ship owner as dispatch, at the hourly or daily rate specified in the voyage.

9. What is the difference between storage and demurrage?

DEMURRAGE becomes: “the charge applicable for the use of the Equipment (not space), after the free time expires.” STORAGE becomes: “the charge applicable for the use of the space at the terminal (so now includes also terminals along with Rail Depot and warehouses), after the free time expires.”

10. What is the difference between Laycan and Laytime? 

Laydays should not be confused with laytime, which is the period allowed to the charterers for loading and/or discharging without payment additional to the freight. Together, laydays/cancelling or, as it is often called, the “laycan” is the period within which the vessel must be presented at the agreed port or place.

11. What is lay days in shipping terms?

Number of days allowed by a port authority to a ship to load or unload cargo without incurring demurrage or late charges. Lay days begin to run when the vessel is berthed or when its arrival is recorded as arrived ship. Also called lay time. 

12. What is Charter Party Agreement? 

Charter party, contract by which the owner of a ship lets it to others for use in transporting a cargo. The shipowner continues to control the navigation and management of the vessel, but it’s carrying capacity is engaged by the charterer. 

13.How do you track a container?

A container Tracking System allows you to know where your sea cargo is in the world and gives you the port details. You can track anytime the current location of the container. To track a container location, you need to specify the container number/Bill of lading/Booking number and the shipping line. 

14. Is demurrage part of inventory cost? 

Demurrage charges represents abnormal cost and shall not be part of Inventory Cost.   

15. How much is demurrage charges in Nigeria? 

The terminal operators charge an average of six thousand three hundred and sixteen (6316) naira as demurrage per container that exceeds lay time by 2days to above 10 days duration.   

16. What is the difference between detention and demurrage charges? 

Demurrage is charged when containers are still full and under the control of the shipping line and have not been cleared through customs or picked up by the consignee. Detention: Costs incurred by a customer for using equipment beyond the given free time, typically outside of the terminal.  

17. What are pre pull charges?

Today’s word is pre-pull. When a container arrives at a port, you usually have a specified number of days to pick it up before you begin incurring what is known as demurrage fees. Think of demurrage as a kind of late payment. These fees can be quite costly, as they are often charged by container and by day. 

18. How can I avoid import charges ups?

UPS/FedEx Brokerage Fee – avoid scam (Canada) Print out your commercial invoice (PayPal invoice, or e-mail receipt from the store). Wait for item to be shipped and get your tracking number. Call UPS give them tracking number and tell that you want to clear your items by yourself in your local CBSA office.

19. What are truck detention charges?

A detention fee is assessed when the truck is held at the pickup or delivery location longer than the allotted “free time.” Now, the “free time,” varies depending on carrier. Generally, it’s two hours at pickup and two hours at delivery.

20. What is the meaning of detention in shipping?

Detention means the payment charged by shipping companies to their clients for the use of their containers outside the free period, after they have left the terminal. If the containers are still at the terminal outside this free period, this payment is referred to as demurrage.

21. How do you pick up a port container?

You simply go to the warehouse (in the case of LCL freight) or the port (for containers) where your goods are and pick them up. If you are picking up LCL freight, the warehouse may charge you $25-50 for a dock fee which is often only payable in cash, so bring cash with you just in case.

22. How long does it take for a container to clear U.S. Customs and Border Protection customs?

Currently it takes from 1-3 business days to clear air freight shipments and 3-5 days to clear ocean freight shipments through U.S. Customs and Border Protection.

23. Is demurrage part of inventory cost? 

Demurrage charges represents abnormal cost and shall not be part of Inventory Cost.

24. How much is demurrage charges in Nigeria? 

The terminal operators charge an average of six thousand three hundred and sixteen (6316) naira as demurrage per container that exceeds lay-time by 2days to above 10 days duration.   

25. What is the difference between detention and demurrage charges? 

Demurrage is charged when containers are still full and under the control of the shipping line and have not been cleared through customs or picked up by the consignee. Detention: Costs incurred by a customer for using equipment beyond the given free time, typically outside of the terminal. 

26. What are pre pull charges?

Today’s word is pre-pull. When a container arrives at a port, you usually have a specified number of days to pick it up before you begin incurring what is known as demurrage fees. Think of demurrage as a kind of late payment. These fees can be quite costly, as they are often charged by container and by day. 

27. How can I avoid import charges ups?

Print out your commercial invoice (PayPal invoice, or e-mail receipt from the store). Wait for item to be shipped and get your tracking number. Call UPS give them tracking number and tell that you want to clear your items by yourself in your local CBSA office.

28. What are truck detention charges?

A detention fee is assessed when the truck is held at the pickup or delivery location longer than the allotted “free time.” Now, the “free time,” varies depending on carrier. Generally, it’s two hours at pickup and two hours at delivery.

29. What is the meaning of detention in shipping?

Detention means the payment charged by shipping companies to their clients for the use of their containers outside the free period, after they have left the terminal. As long as the containers are still at the terminal outside this free period, this payment is referred to as demurrage.

30. How do you pick up a port container?

You simply go to the warehouse (in the case of LCL freight) or the port (for containers) where your goods are and pick them up. If you are picking up LCL freight, the warehouse may charge you $25-50 for a dock fee which is often only payable in cash, so bring cash with you just in case.

31. How long does it take for a container to clear customs?

Currently it takes from 1-3 business days to clear air freight shipments and 3-5 days to clear ocean freight shipments through Customs.

32. What is container demurrage?

These charges are usually calculated per day. Demurrage charges always relate to the time a container is inside a terminal. On the other hand, detention is a charge for extended use of the container until it’s returned empty to the shipping line.

33. What is railcar demurrage?

Railcar Demurrage is a penalty charge assessed by railroads for the detention of cars by shippers or receivers of freight beyond a specified free time. Railcars are expensive capital assets. The productivity of railcars is based on the number of loaded trips per year they make. 

34. How do you calculate demurrage and despatch?

Demurrage and despatch clause: “Demurrage to be paid at the rate of USD 1,800 per day/pro rata for all working time lost. Despatch money to be paid at half the rate of demurrage for all working time saved. Demurrage/ despatch, if any, to be settled directly between Owners and Charterers.”

35. What is a Disponent owner?

Disponent owner: This term refers to a person or company, which “displaces” or takes the place of the legal, registered owner. In chartering many examples can occur. The first Charterer, who is commonly called a “head Charterer”, is acting as if he was the actual owner; he can be referred to as the “disponent owner”.

36. What is container free time?

Free time is a given amount of time allotted for such pickup. If containers imported or exported are not properly picked up and removed from a port, a terminal, or anywhere else, they start to accumulate charges much like a car parked in a public location accumulating hourly charges.

37. What is Port Charge?

Port charges are the fees that shipping operators and their customers pay to port authorities for the use of the port’s facilities and services. here are many different port charges, although some of the most common fees are ship dues, goods dues and, in the case of mixed-use or passenger ships, passenger dues.

38. What is Asbatankvoy?

The Asbatankvoy Charterparty (formerly Exxonvoy 69) was produced by the Association of Ship Brokers and Agents (U.S.A) Inc and it is one of the most widely used charter forms. Emphasis will be given on the analysis of the ‘reachable on arrival’ clause with reference to English and American cases.

39. What is hook to hook in shipping term?

If a freight rate is quoted on LINER TERMS HOOK / HOOK basis, it means that the ship is responsible for and bear the cost of the loading, discharging and stowing charges. The Shipper/Receiver arranges for delivery or receipt of cargo to/from directly under ships hook. 

40. What is reversible Laytime? 

Reversible laytime. “Reversible” means an option given to the charterer to add together the time allowed for loading and discharging. Until this total time expires, no demurrage becomes payable. When the option is exercised the effect is the same as if a total time were specified to cover both operations.

41. What is freight payable as per Charter Party? 

“Freight” is the remuneration payable by the charterers to the owners for the performance of the contract. It may be called charter party freight in the contract. “Freight” is often payable under charter party terms partially in advance, e.g. on loading, or on the issue of bills of lading.

42. What is notice of readiness in shipping?

The Notice of Readiness (NOR) is the document used by the captain of the ship, in the event of voyage chartering, to notify that his ship is ready, in every respect, to load and/or unload the goods. When exceeding the lay days, the charterer must pay the shipowner compensation (demurrage).

43. What is meant by contract of affreightment? 

The main purpose of a contract of affreightment (COA) is to oblige a carrier to lift a fixed or determinable quantity of cargo of a specified type over a given period of time. Usually, the COA is not limited to one particular vessel, but operates as a series of voyage charters.

44. What are the three types of charters? 

These three types were royal colonies, proprietary colonies, and corporate colonies.

45. What is recap in shipping?

RECAP The document transmitted when a fixture has been agreed, setting forth all of the negotiated terms and details. This is the operative document until the charter party is drawn up. HIRE Charterer compensates the owner for use of a vessel. “On hire” means the ship is in service as contracted.

46. What is a charter party?

A charter party (sometimes charter-party) is a maritime contract between a shipowner and a “charterer” for the hire of either a ship for the carriage of passengers or cargo, or a yacht for pleasure purposes. Charter party is a contract of carriage of goods in the case of employment of a tramp. It means that the charter party will clearly and unambiguously set out the rights and responsibilities of the ship owner and the charterers and any subsequent dispute between them will be settled in the court of law or any agreed forum with reference to the agreed terms and conditions as embodied in the charter party. The name “charterparty” is an anglicisation of the French charte partie, or “split paper”, i.e. a document written in duplicate so that each party retains half.

There are three main types of charter party: time, voyage and demise:

• In a time charter, the vessel is hired for a specific amount of time. The shipowner manages the vessel, but the charterer gives orders for the employment of the vessel and may sub-charter the vessel on a time charter or voyage charter basis.

• In a voyage charter, the charterer hires the vessel for a single voyage, but the shipowner provides the master, crew, bunkers, and supplies.

• In a demise (or bareboat) charter, the charterer takes responsibility for the crewing and maintenance of the ship during the time of the charter. He assumes the legal responsibilities of the owner and is known as a disponent owner.

• A demise charter operates as a long lease of the vessel, with the charterer completely in charge. In time and voyage charters, the shipowner still runs the ship, but when in port the charterer becomes responsible for loading and unloading the ship within the agreed period of laytime. If the charterer exceeds the allowed laytime, demurrage becomes payable.

• In a voyage charter, the route is pre-arranged, and the charterer has little scope to interfere with the program. By contrast, the time charter is almost a halfway house between a demise charter and a voyage charter, in that the charterer decides on the voyages and the ports and instructs the shipowner’s crew to comply. This can lead to issues of indemnity: whereas the shipowner in a voyage charter takes responsibility for the ship, in a time charter the shipowner may need to be indemnified against losses or liabilities proximately caused by the charterer.