Container shipping
Container detention and demurrage explained
Three charges, two organisations, two clocks running at once. Confusing them is expensive, and almost everyone does it at least once.
Three charges that are not the same thing
| Who charges it | What triggers it | What stops it | |
|---|---|---|---|
| Storage | Kenya Ports Authority | Cargo sitting in the port yard beyond KPA's free period | Removing the cargo from the port |
| Demurrage | The shipping line | The line's container still inside the terminal beyond its free days | Taking the container out of the terminal |
| Detention | The shipping line | The line's container outside the terminal, not yet returned empty | Returning the empty to the nominated depot |
Storage is charged by the port on your cargo. Demurrage and detention are charged by the line on its container. They can run simultaneously.
Two clocks, started by the same event
Both the port's free storage period and the line's free days begin when the cargo arrives. They are set by different organisations and they are not the same length. The published KPA tariff gives transit cargo a longer free storage period than domestic cargo, reflecting the extra steps a transit movement involves.
Neither clock pauses because a document is missing, a payment has not cleared or a consignee is unreachable.
Why figures quoted online are unreliable
Tariffs are revised, waivers are announced, and free periods have been extended and shortened over time. A number on a freight company's blog from two years ago tells you nothing useful about what you will be charged.
Check the current KPA tariff for port charges , and get the line's free days and detention scale in writing at booking. Those two pieces of paper are worth more than any general guidance, including this page.
How to avoid all three
Before the vessel arrives:
- Have the original bill of lading, or the telex release, in hand
- Confirm the consignee is registered and can clear the goods
- Have the Certificate of Conformity where the goods are in scope
- Settle the HS classification so the entry can be lodged immediately
- Arrange funds for the line's charges and the container deposit
On arrival:
- Lodge the declaration straight away
- Pay the line promptly to get the delivery order released
- Have transport booked before the release, not after
After collection:
- Offload within the agreed free time
- Return the empty to the correct depot, and get a receipt
- Chase the deposit refund. It doesn't come back on its own.
The deposit isn't detention
A container deposit is refundable security held by the line against the equipment. Detention is a not refundable charge for keeping it too long. If you run into detention, it is usually deducted from the deposit, which is why people think the deposit was never refundable in the first place.
Where the real risk sits on this route
Juba is a long way from Mombasa, and the empty has to come back. The return leg is where detention is most often incurred on this corridor. Settle the empty return arrangement before the container leaves the terminal: who returns it, to where, by when, and at whose cost. Not when the invoice arrives.
Mombasa to Juba container transport
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