In an effort to combat congestion and reduce container volumes, the Port of Houston proposed a new import dwell fee. This fee is in addition to any demurrage that may accrue. The fee is effective December 1, 2022.

A ship on the water with “Port of Houston” written across the side.

In his October 31st report, the Executive Director noted that September was the second highest month in container cargo volume. He also noted that staff had evaluated several options, including practices of other ports. However, The Port determined it would be for the benefit of all supply chain stakeholders to minimize container dwell times. The fees are a necessary incentive for cargo movement.

The Port will impose a $45/per unit/per day fee on BCOs (Beneficial Cargo Owners) on the eight (8^th) day after expiration of free time.

Additional Fees Being Considered

Furthermore, in addition to the sustained dwell fee, an excessive import dwell fee is also being considered. The excessive dwell fee will range from $50/per unit/per day for 1-3 days after free time and up to $150/ per unit/per day for 14 days or more, after free time. (While the excessive dwell fees would accrue in addition to demurrage, the sustained dwell fees would not accrue during that time).

The Commission also approved more than $52 million towards investment in infrastructure. This approval continues its robust investment in supporting and sustaining the growth that public terminals are experiencing.

Tariff Amendments

During the meeting, the Commission also approved amendments of Tariff No. 14 and Tariff No. 15, regarding the hour of commencement of free time for export storage, import storage and rail storage to reflect earlier gate opening hours.

With these developments, it is more important than ever to engage experienced professionals to handle your cargo. SGL’s team of experts know how to navigate today’s supply chain landscape and prevent accrual of unnecessary costs. Click here to request a quote today!