Top 7 ways to reduce your D&D costs - Be smart and get organized
The pandemic-induced lockdown, dynamic geopolitics and economic conditions have led to shipping delays and port congestion, leading to an escalation of D&D costs for importers. For those importers who have a geographically spread supply chain, these detention and demurrage (D&D) costs can be staggering. Demurrage relates to cargo (which is still in the container) while detention refers to the equipment (read the actual box) that is empty after unpacking or before packing.
As per the research, D&D charges varied by $190 per TEU on average across the 20 biggest global container ports. D&D costs usually arise due to several reasons including transactional errors, late document submission, lack of knowledge and illegal practices. Let’s take a look at how technology can help you minimise D&D charges.
Provide visibility into your supply chain
Automate processes to reduce human error
Have the right documents
Maintain clear lines of communication with all key stakeholders
Keep backup transport in place
Be prepared for exigencies
Partner with a global logistics player
Maersk’s Destination Supply Chain Management solution enables transparency throughout the journey. It provides complete visibility into all phases of the journey from the status of cargo to documentation needed and final delivery, thus creating streamlined communication between all entities along the supply chain. To know more check Maersk’s DSCM solution here.