Here’s How You Can Avoid the Extra Bite
You may have read in industry news outlets this week that 5 terminals in New York and New Jersey are planning to increase demurrage rates, effective October 1. If not, consider this your heads up.
The rate increase will be effective at GCT Bayonne, GCT New York, Port Newark Container Terminal (PNCT), Red Hook Container Terminal, and APM Terminals. The usual 4-5 days of free storage will remain in place but the cost for longer storage at those terminals will bump up by $5 a day for dry containers and $10 a day for refrigerated containers.
While that might not seem like a large increase, relative to the already steep demurrage rates at these ports, it can compound quickly across multiple containers and multiple days. Fortunately, there are ways to reduce or eliminate storage fees entirely.
Plan ahead and take advantage of capacity
ITG has extensive capacity in the NY/NJ market with access to over 60 carriers. That means one call to us will save the time you might normally spend calling around to find a carrier who can get your containers from the terminal on schedule.
The sooner a work order is received, the better all parties can plan and avoid demurrage.
Pre-pull and storage solutions
If the consignee isn’t able to take receipt of the containers within the allotted free time, there are solutions available that offer significant cost savings over demurrage fees. ITG can arrange to have a carrier pre-pull the containers from the terminal and store them at the trucker’s yard. Storage rates at trucker’s yards are considerably lower than terminal fees.
Another benefit to pre-pulling containers is that large numbers of containers can be scheduled for incremental delivery much more reliably from the truck yard than from the terminal.
In a pinch, we can smooth the way
When demurrage fees have already racked up, getting the fees approved and can add even more delays to the process. ITG can pay storage fees at most ports to expedite the release of cargo. Just ask your ops agent for details.
With so much capacity and so many available options, there’s no reason to get hit with exorbitant demurrage fees. Plan ahead and save.