What are port handling charges?

What are port handling charges?

Terminal Handling Charge, as the name suggests, is a charge levied by a port terminal for the handling of cargo at a specific terminal within a specific port in a specific country.

What is a port in shipping?

Ports are harbor areas in which marine terminal facilities are transferring cargo and passengers between ships and land transportation.

How are port dues calculated?

Port Dues : This is a charge levied by the port to all ships entering the port till the time it leaves the port.. This is generally calculated on the gross registered tonnage of the ship as per the tonnage certificate issued for that ship..

Who pays for port costs?

Terminal Handling Charges are present at Origin, Trans-shipment and Destination ports. The seller or buyer pay the Origin THC (OTHC) and Destination THC (DTHC). These two parties already have a contract signed as to who will pay which charges.

What are the types of port charges?

Basic port charges include tonnage dues, lighthouse dues, dock fees, anchorage dues, canal dues, berth dues, pilotage, river dues, tugboat fees, customs duties, sanitation dues, and freight dues. Port charges may be collected by state or local authorities.

What is port-to-port bill of lading?

Definition. Port-to-Port Bill of Lading. It is the bill of lading covering shipment by sea only. The shipper/vendor is responsible for transporting the products to the port of loading. The buyer is responsible for picking the products up at the port of discharge.

What are two types of port?

There are five major types of natural or man-made ports which are Inland port, fishing port, dry port, warm water port and seaport. Among all these types of ports, seaports are the largest and busiest type of ports.

What is a port called?

A port is a place at the edge of an ocean, river, or lake for ships to load and unload their cargo. Persons on ships can get on or off ships at a port. It is also called a harbour or harbor.

How much does port cost?

Building a sea-port is very variable. It can cost as little as USD 16 million per 300 metres berth up to USD 7 billion for a full commercial port.

Why is port pricing important?

Prices should ensure that port land and facilities are used most efficiently. When land or specific port facilities are in short supply, prices are likely to increase so that only those users who utilize the asset efficiently have a net benefit sufficient to make such a use worthwhile.

What are demurrage charges?

Demurrage amounts may differ based on terminal or carrier and often increase after an initial period of time. Daily demurrage charges can typically range from $75 to $150 per container per day, but that’s just for the first 5 days or so. Charges generally increase the longer the cargo stays on the terminal.

How port charges affect a shipping decision?

As port charges may vary between ports, businesses may find that certain ports provide better rates for a given service level and type of shipment. For example, a business that primarily ships palletized cargo may preferentially ship to and from ports that have low tonnage rates relative to other goods dues.

What means CIF price?

The c.i.f. price (i.e. cost, insurance and freight price) is the price of a good delivered at the frontier of the importing country, including any insurance and freight charges incurred to that point, or the price of a service delivered to a resident, before the payment of any import duties or other taxes on imports or …

What is CIF mean?

Under CIF (short for “Cost, Insurance and Freight”), the seller delivers the goods, cleared for export, onboard the vessel at the port of shipment, pays for the transport of the goods to the port of destination, and also obtains and pays for minimum insurance coverage on the goods through their journey to the named …

Who is responsible for demurrage charges?

The shipper is generally responsible for demurrage charges, but the consignee also may be legally obligated to pay, depending upon who was at fault for the delay and which party was contractually responsible to pay freight or other charges.

What is the difference between the wharfage and the port charge?

Unlike the port dues or tonnage dues, the wharfage charge is used by the terminal operator towards the maintenance of its infrastructure and equipment on the wharf.