DOTr issued department order to minimize demurrage charges

The Department of Transportation (DOTr) issued Department Order (DO) 2020-009 to minimize demurrage charges.

This DO prescribe a minimum free time period of eight (8) days for cargoes unloaded by international shipping lines in any port throughout the country. This is a development from the five (5) days previously granted by the international shipping lines before charging demurrage.

It was reported that during the unfolding of the COVID19 pandemic in the country, and the start of community quarantine, the surcharges of international shipping lines heightened, and many stakeholders suffered more from the sky-rocketing shipping costs. This directive will then help in reducing the risks of incurring high demurrage charges that are borne by the importers. –KJDA