Latest update October 29th, 2026 5:00 AM
Govt. vows action over soaring demurrage charges
(Kaieteur News) – Minister of Public Utilities and Aviation Deodar Indar has vowed that the government will act to address demurrage charges, which he said place an additional financial burden on consumers and poor families.
Speaking at the opening ceremony of the Caribbean Shipping Association conference in Georgetown on Monday, Minister Indar described demurrage as an added cost that should not be passed on to consumers. “Demurrage, we detest it. I repeat, we detest it. It is an added cost that should not be there. It is a strain on the consumer, on poor families across economies, including ours. We detest it, and we will act on doing something about it,” the minister said.
Minister of Public Utilities and Aviation Deodar Indar
Demurrage is a fee that must be paid when cargo remains at a port or terminal for longer than the agreed free time. Government’s move to eliminate advance demurrage was announced earlier this year, disclosing plans to introduce a 21-day grace period before charges apply, measures authorities say could ease the financial strain on importers and stabilise the cost of goods.
The proposals were outlined during a stakeholder consultation hosted yesterday by the Maritime Administration Department (MARAD) under the Ministry of Public Utilities and Aviation on laytime and demurrage.
In April, Minister Indar said the move is aimed at addressing rising import costs driven by port congestion and current billing practices. “Imagine that you have to pay advance demurrage…the laytime for the vessel is 72 hours, but once that expires you begin to pay demurrage. This is carrying up the cost of importation in the country,” Indar said.
He added that port activity has surged sharply in recent years without corresponding infrastructure expansion. “In 2020 we had 2,513 port calls. At the end of 2025, we had 3,700 – a 65 per cent increase. But there was not more built out of commercial wharfing facilities,” he observed, noting that congestion and scheduling delays are translating directly into higher demurrage costs that are ultimately passed on to consumers.
Indar said at that time that government is working on a policy framework to implement the 21-day window before demurrage applies and to remove advance payments, which he described as administratively burdensome for importers.
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