Ask any experienced Kenyan importer what turned a profitable shipment into a loss, and demurrage will come up more often than freight rates, duty or the exchange rate. It is the most avoidable cost in the entire chain, and it catches people every year.
The two charges are not the same
Demurrage is charged by the shipping line for time your container spends at the terminal beyond the free period. Detention is charged by the line for time you keep their container after you have taken it out of the port, until you return it empty. Separately, port storage is charged by Kenya Ports Authority for cargo occupying terminal space.
They accrue independently and they compound. It is entirely possible to be paying all three at once.
Why they escalate so fast
Free periods are short and rates typically step up in tiers — the daily charge after two weeks is considerably higher than in the first few days. The cost is not linear, which means a delay that feels minor at the start becomes serious quickly.
The real causes
1. Appointing a clearing agent late
The single biggest cause. If you engage an agent when the vessel has already docked, you have surrendered the entire preparation window. Entries can be lodged and duty assessed before arrival. Use that time.
2. The original bill of lading in transit
You cannot get a Delivery Order without presenting the original bill of lading, or arranging a telex release. Waiting for a courier from a supplier who posted it late is a classic and entirely preventable delay. Agree the release method with your supplier when you place the order.
3. Funds not ready
Duty, VAT, levies, line charges and port charges all have to be paid before release. Cargo sitting while a payment is arranged is cargo accruing charges. Get an indicative landed cost early so the money is in place.
4. Documentation that does not agree
If the invoice, packing list and bill of lading disagree on quantity, description or value, the entry will be queried. Check them against each other before shipment, not after arrival.
5. Nowhere to put the goods
Cargo cleared but with no warehouse to receive it stays where it is — and keeps accruing. Arrange your destination before the ship arrives.
What actually works
- Appoint your clearing agent at the point of order, not on arrival.
- Fix the bill of lading release method with your supplier upfront.
- Get a landed cost estimate early and have funds ready.
- Check invoice, packing list and bill of lading against each other before the vessel sails.
- Arrange storage before arrival, even if only short-term.
- Unstuff and return empty containers promptly to stop detention.
- Track the vessel and know your actual arrival date rather than the original schedule.
The uncomfortable arithmetic
On a shipment where freight cost a certain amount, two weeks of combined demurrage, detention and storage can approach or exceed that figure. Importers routinely negotiate hard on the freight rate and then lose more than the saving to charges that cost nothing to prevent.
If you are importing through Mombasa and are not certain your process protects you here, talk to us before your next order.