All articles tagged with “Demurrage”.
Inventory management in a warehouse isn't about maximizing turns or following a 'best practices' playbook. At FENGYE LOGISTICS, the real tension is between dock velocity, drayage windows, and working capital. Every decision (cross-dock or racking, in-bond or cleared, CHEP pallet rental or internal pool) hinges on cash flow.
When Port of Montreal congestion hits, drayage gets delayed and your 48-hour dock-to-stock SLA becomes a target in name only. Container detention charges stack, racking density swings from optimized to 'stack and store,' and the importer doesn't see the cost impact until weeks later on the CAD reconciliation. We run a sufferance warehouse through three congestion cycles a year, and here's what actually changes on the dock.
FTR Transportation Intelligence forecasts elevated freight costs for the next two years, with May shipping conditions among the six worst readings since 2000. For Montreal importers and forwarders, that means drayage premiums and shorter dock-to-stock windows. Accelerated clearance cycles now squeeze cross-dock capacity.
Container line profitability and importer dock timing are inversely correlated. Hapag-Lloyd's latest earnings guidance shows the industry's margin recovery is real. At Port of Montreal, that means fewer free days, faster demurrage clocks, and tighter drayage windows for Canadian importers.