When a container stays too long at a Philippine port, it does not just cause delays. It creates direct financial loss. Container demurrage in the Philippines starts the moment your free storage time expires, and for a 20ft or 40ft container, these charges rise quickly.
Many importers only realize how serious demurrage is after their shipment is already sitting at Manila, Subic, Batangas, or Clark and Customs has not released it. By that time, every extra day costs money.
Understanding how demurrage works and how it links to customs clearance in the Philippines gives you a real chance to control your total import cost.
What container demurrage really means at Philippine ports
Demurrage is the fee charged by the shipping line for keeping their container at the port longer than the allowed free period. The free time usually lasts only a few days after the vessel arrives. Once that period ends, the shipping line starts billing demurrage per day until the container leaves the terminal.
This fee applies whether your container is released or stuck. If Customs places a hold on your container, demurrage continues to accumulate even though you cannot move the cargo.
This is why customs holds and demurrage are directly connected in the Philippines.
Why containers often incur demurrage during customs clearance
The most common reason for demurrage is a delay in customs clearance. When Customs flags a container because of HS code issues, valuation problems, or missing documents, the clearance process stops. While Customs reviews the case, the container stays inside the port and demurrage charges continue to grow.
This happens frequently for machinery, construction materials, FMCG, and mixed cargo containers because these shipments involve complex declarations and higher values.
Without fast professional action, a few days of Customs delay can turn into thousands of pesos in demurrage.
How demurrage impacts importers financially
Demurrage charges are not part of your original shipping quote. They come as an extra bill from the shipping line. For a 40ft container, these charges can rise sharply after just a few days.
At the same time, the port may also charge storage fees. Together, these costs can exceed the original freight cost if the delay lasts long enough.
This is why importers who manage custom brokerage in the Philippines properly focus on speed and accuracy during clearance, not just on shipping rates.
How a customs broker helps reduce demurrage risk
A licensed customs broker in the Philippines works to keep your container moving through the clearance system. When a hold occurs, the broker identifies the cause, corrects the declaration, submits additional documents, and communicates with Customs to resolve the issue.
This active approach reduces the time your container sits at the port, which directly reduces demurrage and storage charges. For containers at Manila, Subic, Batangas, or Clark, this professional handling can save importers a significant amount of money.
Why early action makes a big difference
The earlier a customs issue is resolved, the fewer days of demurrage you pay. Importers who wait or try to handle holds on their own often lose valuable time. By the time they seek help, the charges have already piled up.
Working with experienced custom brokerage Philippines services gives you a faster path to release and lower total port costs.
If your container is already incurring demurrage
Every extra day increases your bill. The fastest way to stop the charges is to clear the Customs issue that is holding your container back.
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Speak to a Licensed Customs Broker and get immediate guidance on how to move your container out of the port.