Demurrage
Demurrage is a cost charged in shipping when cargo containers or vessels are held up beyond their agreed unloading or loading time. Think of it like a late fee when you keep a rental car too long. Companies try to avoid these charges because they can be expensive. Someone who handles demurrage in their job usually works on preventing these delays, negotiating fees, or managing documentation related to these charges. It's a critical cost control area in shipping and port operations. When you see this term in a resume, it often indicates experience in logistics cost management, port operations, or shipping documentation.
Examples in Resumes
Reduced demurrage costs by 40% through improved container tracking and documentation processes
Managed and negotiated demurrage claims worth $2M annually
Developed new procedures to minimize demurrage charges at major ports
Typical job title: "Demurrage Analysts"
Also try searching for:
Where to Find Demurrage Analysts
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 discuss analyzing historical data, implementing monitoring systems, improving documentation processes, training staff, and building relationships with carriers and port authorities.
Q: Tell me about a time you successfully negotiated a large demurrage claim.
Expected Answer: Look for examples of successful negotiations, understanding of documentation requirements, and ability to work with multiple stakeholders to resolve complex claims.
Mid Level Questions
Q: What documentation is needed to dispute a demurrage charge?
Expected Answer: Should mention notice of arrival, statement of facts, time sheets, weather reports, port logs, and any relevant correspondence that proves delays were beyond their control.
Q: How do you track and monitor potential demurrage situations?
Expected Answer: Should discuss using tracking systems, maintaining schedules, monitoring vessel/container movements, and proactive communication with various parties.
Junior Level Questions
Q: What is demurrage and why is it important?
Expected Answer: Should be able to explain that demurrage is a charge for delayed cargo operations and its impact on shipping costs and operations.
Q: What's the difference between demurrage and detention?
Expected Answer: Should explain that demurrage typically relates to container storage at ports, while detention refers to keeping equipment beyond free time outside the port.
Experience Level Indicators
Junior (0-2 years)
- Basic understanding of shipping documentation
- Monitoring vessel schedules
- Data entry and record keeping
- Understanding of basic shipping terms
Mid (2-5 years)
- Processing demurrage claims
- Coordinating with shipping lines
- Analysis of port operations
- Documentation management
Senior (5+ years)
- Strategic cost reduction
- Claims negotiation
- Team management
- Process improvement
Red Flags to Watch For
- No knowledge of shipping documentation
- Lack of experience with shipping software or tracking systems
- Poor understanding of port operations
- No experience in claims processing or negotiation
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