What is port dues? How does it differ from tonnage dues and cargo handling fees?
2024-05-15 20:17:39

Port dues are fees collected by port authorities during a ship's docking period at a port. Read this article to understand various port-related fees and the best ways to reduce transportation costs.

▍ Article Summary

What are port dues?

Tonnage dues and cargo handling fees

How do port authorities use port dues?

Other port fees

 

**What are port dues?**

Port dues refer to fees paid by ships for using port facilities and services. These fees are typically levied by port authorities to cover costs associated with maintaining port infrastructure.

The specific charges vary based on factors such as the size of the vessel, duration of stay at the port, and services utilized. For example, smaller vessels docking overnight pay significantly lower port dues compared to larger vessels docking during the day.

For instance, the Maritime and Port Authority of Singapore (MPA) lists the charging standards for port dues on its official website. The fees are determined based on the vessel's total tonnage, duration of stay, and services used. For a 20,000-ton vessel staying 3 days in the Port of Singapore for cargo loading and unloading operations, at a rate of $9 per 100 tons, the port dues amount to $180.

Unlike port dues, demurrage fees and detention fees are costs that can be completely avoided by using Shipper's Own Container (SOC). When using SOC, there is no obligation to return the container to the carrier within a specified time, hence avoiding these two fees.

**Tonnage dues and cargo handling fees**

Cargo handling fees (cargo dues) are charges levied by ports for loading and unloading cargo at the port, sometimes referred to as "dock fees" in some countries. Unlike port dues imposed on ships, cargo handling fees are calculated based on the weight or quantity of goods and may vary depending on the type of cargo and facilities used.

Tonnage dues (tonnage dues) are taxes imposed by customs based on the net tonnage of the vessel. It is primarily calculated based on the vessel's gross registered tonnage (GRT) and net registered tonnage (NRT), where the gross registered tonnage excludes the weight of fuel, food, water, spare parts, equipment, and crew.

**How do port authorities use port dues revenue?**

Port authorities use port dues revenue to cover expenses related to maintaining, operating, and improving port infrastructure and services.

**Other port fees**

Terminal Handling Charges (THC): THC is fees charged by terminal operators for various container-related services. These services include container loading and unloading, storage, movement, and maintenance of terminals and Container Freight Stations (CFS).

Port Storage Charges: Port storage charges are fees charged based on the space occupied by containers at terminals, warehouses, or yards.