FMC seeks information on unfair practices by carriers and terminals from port users, who claim they are being charged for events beyond their control.
The US Federal Maritime Commission has launched a call for information in its investigation into port demurrage, detention and free time practices by ordering ocean common carriers to provide information and documents explaining those practices.
Commissioner Rebecca Dye, who is leading the investigation, is also seeking similar information from container terminals at major US ports.
The first phase of the investigation involves gathering information from container carriers and marine terminal operators serving US ports. Carriers have been directed to provide detailed information about their detention and demurrage practices, especially regarding circumstances in which shippers are not able to retrieve cargo.
“The ultimate resolution of this investigation will have the potential to affect every ocean common carrier calling the US,” Ms Dye said. “It is vital the information we gather is representative of business and operational practices, as well as market conditions, nationally.”
Shippers, trucking companies and other affected parties who can document specific allegations — and provide supporting materials of unreasonable port detention and demurrage practices and fees — are also being asked to co-operate with the investigation.
“We expect concerned parties to participate robustly in this investigation,” Ms Dye said. “Their co-operation is essential.”
The investigation follows a petition by the Coalition for Fair Port Practices filed in December 2016 that argued the current practices of demurrage and detention charged by carriers and terminal operators for the use of space and equipment was unjust and unreasonable. In that document, shippers, consignees, hauliers and others set out the alleged practices of carriers and terminal operators that came about as a result of federal government inspection requirements, truck shortages, chassis shortages, discrete weather events, labour disputes, lack of effective appointment systems, and general conditions in and surrounding port areas. The coalition’s members lacked control over such events and said they had incurred significant demurrage and detention charges in connection with these events.
