What is demurrage in SAP TM-ADP-CSL - Container Shipping Line?

SAP Term: demurrage

• Component: TM-ADP-CSL

• Component Name: Container Shipping Line

• Description: A charge imposed on a merchant for detaining the carrier’s equipment in the port, terminal, or depot beyond the free time included in the freight rate.

Smart SAP Assistant

• Key Concepts: 
  Demurrage is a term used in the Container Shipping Line (CSL) component of SAP Transportation Management (TM). It is a fee charged by the shipping line to the shipper for exceeding the allowed free time for loading or unloading cargo. The fee is usually calculated based on the number of days that the cargo remains in the port beyond the allowed free time. 
  
  How to use it: 
  In SAP TM-ADP-CSL, demurrage can be configured as a service type and associated with a service provider. The demurrage fee can be calculated based on the number of days that the cargo remains in the port beyond the allowed free time. The fee can be charged to either the shipper or receiver, depending on the agreement between them. 
  
  Tips & Tricks: 
  It is important to ensure that demurrage fees are accurately calculated and charged to avoid disputes between shippers and receivers. It is also important to ensure that demurrage fees are properly documented in order to avoid any legal issues. 
  
  Related Information: 
  Demurrage fees are closely related to other fees such as detention fees, which are charged for keeping cargo in a port beyond the allowed free time. It is important to understand how these fees are calculated and charged in order to ensure accurate billing and avoid disputes.