Demurrage
Demurrage is a term used in shipping and logistics that refers to the charges or fees that occur when cargo containers or vessels are held up beyond their scheduled time for loading or unloading. Think of it like a late fee you'd pay at a rental car company if you return the car late. Companies try to avoid these charges because they can be quite expensive. When someone lists demurrage experience on their resume, it usually means they have experience in managing these time-sensitive situations and helping companies save money by avoiding these fees. This knowledge is particularly valuable in roles involving ports, shipping containers, or bulk cargo operations.
Examples in Resumes
Reduced Demurrage costs by 40% through improved container management and scheduling
Managed Demurrage claims and negotiations with shipping lines, saving $200,000 annually
Developed new procedures to track and minimize Demurrage charges across 5 international ports
Typical job title: "Logistics Coordinators"
Also try searching for:
Where to Find Logistics Coordinators
Professional Organizations
Online Communities
Job Boards
Example Interview Questions
Senior Level Questions
Q: How would you develop a strategy to reduce demurrage costs across multiple ports?
Expected Answer: A strong answer should include creating monitoring systems, establishing relationships with carriers, implementing preventive measures, and training staff on best practices for container management.
Q: Tell me about a time you successfully negotiated demurrage charges with a shipping line.
Expected Answer: Look for examples of successful negotiations, understanding of contract terms, documentation practices, and ability to maintain good relationships with carriers while protecting company interests.
Mid Level Questions
Q: What systems or tools have you used to track container free time and potential demurrage?
Expected Answer: Should mention experience with tracking systems, spreadsheets, or logistics software, and explain how they used these tools to prevent charges.
Q: How do you handle demurrage disputes with shipping lines?
Expected Answer: Should demonstrate knowledge of documentation requirements, communication skills, and understanding of common dispute resolution processes.
Junior Level Questions
Q: What is demurrage and why is it important to avoid it?
Expected Answer: Should be able to explain basic concept of demurrage charges and why they impact company costs.
Q: What documentation is needed when dealing with demurrage charges?
Expected Answer: Should know basic documentation like arrival notices, detention certificates, and proof of container return.
Experience Level Indicators
Junior (0-2 years)
- Basic understanding of shipping terms
- Container tracking
- Documentation handling
- Communication with carriers
Mid (2-5 years)
- Demurrage calculation and prevention
- Carrier negotiations
- Process improvement
- Team coordination
Senior (5+ years)
- Strategic planning
- Contract negotiation
- Cost reduction initiatives
- Policy development
Red Flags to Watch For
- No knowledge of basic shipping terms and documentation
- Lack of experience with container tracking systems
- Poor understanding of free time calculations
- No experience in carrier communications or negotiations
Related Terms
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