Understanding the true cost of shipping is like reading the fine print on a lengthy contract—it’s often the hidden fees that hurt the most.
Why Knowing These Costs Matters
Accessorial charges can quietly inflate logistics expenses, sometimes by 30% or more.
The complexity of these costs has only grown under new OSRA regulations, which mandate detailed billing transparency. It’s a significant threat to operational efficiency and profitability.
With the Ocean Shipping Reform Act (OSRA) demanding greater billing transparency, shippers are now held accountable for understanding the full scope of their invoices.
Consider this: A 2024 Federal Maritime Commission study revealed that nearly 30% of drayage invoices contained inconsistencies, ranging from overcharges to incorrect application of accessorial fees. These errors collectively cost businesses an average of 20% more than necessary. For companies moving thousands of containers annually, these discrepancies can lead to millions of dollars in unnecessary expenses.
Moreover, with OSRA requiring steamship lines to bill shippers directly, businesses must now decode highly detailed invoices that include everything from per diem charges to winter program fees. Failure to recognize and challenge these charges can erode already tight profit margins.
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A-to-Z guide: Drayage and Accessorial Fees
This comprehensive A-to-Z guide to drayage fees and accessorial charges provides insights, data, and solutions to help your business optimize its logistics operations.
By the end of this article, you’ll:
- Understand every fee listed on a drayage invoice.
- Discover how OSRA regulations impact your billing.
- Learn how technology like BlueCargo can simplify freight cost management.
A:
Advanced Notification Fees
- Definition: Charged for notifying carriers or drivers of shipment details in advance.
- Typical Cost: $25–$50 per notification.
After-Hours or Before-Hours Deliveries
- Definition: Extra charges for pickups or deliveries outside regular operating hours.
- Typical Cost: $150–$250 per occurrence.
B:
Bobtail Fees
- Definition: Costs for trucks hauling empty containers.
- Typical Cost: $50–$100 per trip.
Blind Shipments
- Definition: When shipment origin or destination details are concealed.
- Typical Cost: $50–$100 per occurrence.
C:
Chassis Fees
- Definition: Daily rental fees for chassis used to transport containers.
- Typical Cost: $35–$50 per day; $75–$100 during equipment shortages.
Corrected Bill of Lading
- Definition: Fees for modifying the original bill of lading.
- Typical Cost: $25–$100, depending on the carrier.
Cross-Dock Fees
- Definition: Charges for transferring goods at a cross-dock facility.
- Typical Cost: $100–$300 per shipment.
D:
Demurrage Fees (Terminal Fees)
- Definition: Incurred when containers exceed free time allowance at the terminal.
- Typical Cost: $75–$300 per day, based on port and container size.
Driver Fees
- Definition: Charges for additional driver assistance.
- Typical Cost: $50–$150 per hour.
E:
Extra Labor / Helper / Lumper Fees
- Definition: Additional manpower for loading or unloading.
- Typical Cost: $50–$150 per hour.
F:
Fuel Surcharge Fees
- Definition: Percentage-based fees to offset fluctuating diesel prices.
- Typical Cost: 10–20% of the total drayage cost.
G:
Gate Fees
- Definition: Charges for moving containers through terminal gates.
- Typical Cost: $5–$15 per move.
H:
Hazardous Material Fees
- Definition: Applied for transporting regulated dangerous goods.
- Typical Cost: $40–$100 per container.
I:
In-Bond Fees (Customs)
- Definition: Fees for shipments requiring customs clearance in bonded facilities.
- Typical Cost: $100–$200 per container.
J:
Just-In-Time (JIT) Fees
- Definition: Premium charges for expedited, time-sensitive shipments.
- Typical Cost: $100–$200 per delivery.
K:
Key-Entry Service Fees
- Definition: Costs for manually entering shipment data.
- Typical Cost: $15–$50 per entry.
L:
Layover Fees
- Definition: Fees for drivers waiting overnight due to scheduling delays.
- Typical Cost: $250–$300 per container.
M:
Miscellaneous Administrative Fees
- Definition: Includes costs for processing invoices or correcting paperwork errors.
- Typical Cost: $10–$50 per invoice.
N:
No-Show Fees (Truck Order Not Used)
- Definition: Fees for trucks ordered but not used.
- Typical Cost: $150–$300 per instance.
O:
Overweight Fees
- Definition: Applied for containers exceeding legal weight limits.
- Typical Cost: $100–$200 per container.
P:
Per Diem Fees
- Definition: Incurred when containers aren’t returned within free time allowance.
- Typical Cost: $75–$150 per day.
Q:
Quay Rent Fees
- Definition: Charges for extended storage at port quays.
- Typical Cost: $30–$50 per day.
R:
Reefer Charges
- Definition: Fees for refrigerated containers requiring temperature control.
- Typical Cost: $75–$250 per day.
Redelivery Fees
- Definition: Applied for shipment reattempts due to missed delivery windows.
- Typical Cost: $100–$500.
S:
Storage Fees
- Definition: Costs for holding containers beyond free time allowances.
- Typical Cost: $75–$250 per day.
Stop-Off Fees
- Definition: Charges for making additional delivery stops.
- Typical Cost: $50–$75 per stop.
T:
Terminal Handling Charges (THC)
- Definition: Fees for handling containers at ports or terminals.
- Typical Cost: $100–$250 per container.
U:
Unloading Fees
- Definition: Charges for unloading assistance by drivers.
- Typical Cost: $75–$150 per load.
V:
Verification Fees
- Definition: Charges for verifying shipment data accuracy.
- Typical Cost: $25–$75 per shipment.
W:
Winter Program Fees
- Definition: Seasonal surcharges for operations in challenging weather conditions.
- Typical Cost: 20–30% above standard rates.
X:
Extra-Stop Fees
- Definition: Costs for additional stops in a single transport run.
- Typical Cost: $50–$75 per stop.
Y:
Yard Storage Fees
- Definition: Charges for storing containers beyond free time.
- Typical Cost: $30–$75 per day.
Z:
Zoning Fees
- Definition: Fees for deliveries in restricted or regulated zones.
- Typical Cost: $25–$75 per delivery.
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Why Knowing These Costs Matters
With the OSRA pushing for enhanced billing transparency, shippers must now fully comprehend each line item on their invoices. Companies must actively audit these charges to avoid overpayment and regain control over supply chain budgets.
The message is clear: to excel in our new and complex supply chain reality, businesses must embrace smarter practices. This involves streamlining operations, utilizing advanced technology, and developing a precise understanding of the cost drivers within their logistics processes.
By doing so, they can not only protect their bottom line but also position themselves for sustainable success.
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How BlueCargo Simplifies Cost Management
BlueCargo’s smart freight audit technology transforms overwhelming invoice complexities into actionable insights. With automated error detection, OSRA compliance checks, and detailed cost analyses, BlueCargo helps shippers:
- Identify and eliminate unnecessary charges.
- Gain full transparency into drayage & accessorial costs.
- Save 15–25% annually through optimized invoice management.
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