Shipping Lines looking for revenue increase through demurrage earnings.
One furious major BCO stated that often her company would attempt to return a container to a terminal only for the truck driver to be sent away, as the terminal refused to accept the box due to space restrictions. “Then they have the audacity to bill us for more detention,” she raged.
Indeed, BCOs are right to say that demurrage and detention fees are “another revenue earner” for the carriers, says Jack Oney, who spent 27 years leading Procter & Gamble’s supply chain division. “For most carriers, detention and demurrage is a profit centre – carriers have come to think of it as the one area where they are gaming the system.”