News
Federal Maritime Commission (FMC) Commissioner Rebecca Dye presented her Final Report of Fact Finding 29, “International Ocean Transportation Supply Chain Engagement”, a two-year investigation she is bringing to conclusion. Dye said she identified two major concerns of importers and exporters: the high cost of shipping cargo, and excessive demurrage and detention charges.
Based on her work, Dye concluded that, though high by historical standards, freight rates reflected market forces of supply and demand in a supply chain challenged by the COVID-19 pandemic and an unprecedented surge in consumer demand. As to detention and demurrage, Dye highlighted the Interpretive Rule of the Commission and how it is being enforced to address unreasonable detention and demurrage practices.
To help address these, and other identified issues, Dye unveiled 12 new recommendations for the commission to consider next week.