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What are the advantages of shipper own container bringing to them? How to save demurrage fees?

2024/01/04

In the shipping industry, shipper own container (SOC), which are widely popular due to their reliability and flexibility. This article will explore the three major advantages of using SOC and how it can help you save on demurrage and demurrage fees


Summary


  • What is shipper own container (SOC)?

  • When to use shipper own container (SOC)?

  • 3 advantages of shipper own container (SOC)

 

1. What is shipper own container (SOC)?


Generally owned and managed by shippers, freight forwarders, or NVOCC. They can then entrust carriers and other third parties to transport the goods.

Besides shipper own container (SOC),you may also have heard of carrier own container (COC)。The main difference between SOC and COC as following :



SOC

COC

Owned and operated by the shipper

Owned and operated by the carrier

Used for long-distance transportation of goods

Can be rented to the consignee

No demurrage fees or demurrage charges will be incurred(D&D)

Possible demurrage and demurrage fees(D&D)



dry-container.webp open-side-container.webp

 

2. When to use shipper own container (SOC)?


If you have the amount of goods that need to be transported to distant or remote areas, it is recommended that you choose to rent SOC, so that you can control the transportation of goods and maximize cost-effectiveness and efficiency. Leasing SOC can help you save on demurrage fees and port charges.

 

3. 3 advantages of shipper own container (SOC)


· Controllable supply

You can find the container yourself. This is crucial for locations where carriers are unable or unwilling to provide containers, or only offer high priced containers.

 

· Controllable ownership

You can choose containers that meet specific requirements and time periods. You can choose whether to purchase or rent containers based solely on current needs.

 

· Cost controllable

When planning to ship goods, you must consider factors such as loading time, customs clearance, short barge towing, port congestion, etc. The daily demurrage and demurrage fees may quickly rise to hundreds of dollars. Since you do not need to return the container to the carrier within the specified time period, you do not need to pay these two fees.