What Is Wharfage?

A comprehensive exploration of wharfage, the fee charged for the use of a wharf, including types, calculations, historical context, and related terms.

Wharfage: Fee for the Use of a Wharf

Wharfage refers to the fee charged for the use of a wharf, a structure built on the shore of a water body where ships dock to load and unload cargo or passengers. This fee is a critical component of maritime logistics and port revenue.

Types of Wharfage

Cargo Wharfage

Cargo wharfage is a fee levied based on the weight or volume of the cargo handled at the wharf. It can vary depending on the type of cargo, such as bulk, containerized, or general cargo.

Vessel Wharfage

Vessel wharfage is charged based on the size or tonnage of the vessel and the duration it occupies the wharf. This aims to manage the dock space and ensure efficient utilization.

Passenger Wharfage

Passenger wharfage involves fees collected for passengers embarking or disembarking at a wharf. It is commonly seen in cruise terminals and ferry services.

Calculating Wharfage Fees

Wharfage fees are calculated using different parameters:

  • Cargo Volume or Weight: Measured in tons or cubic meters.
  • Vessel Gross Tonnage (GT): A measure of the overall internal volume of a vessel.
  • Time of Berth Occupancy: The duration the vessel remains at the wharf.
$$ \text{Wharfage Fee} = (\text{Cargo Volume} \times \text{Rate per Volume Unit}) + (\text{Time} \times \text{Berth Rate per Hour}) $$

Historical Context

The concept of wharfage has a deep-rooted history in maritime trade dating back to ancient civilizations where ports acted as hubs of commerce. The fee system evolved with the growth of global trade, standardized shipping processes, and the development of modern ports.

Applicability

Wharfage is vital in:

  • Port Management: Helps in the maintenance and development of port infrastructure.
  • Logistics and Shipping: Adds to the cost components for importers and exporters.
  • Economic Regulation: Influences trade costs and hence, countries’ economies.

Dockage

Dockage refers to fees charged for docking a vessel but may not always cover the loading and unloading activities included in wharfage fees.

Berthage

Berthage is the fee for securing a berth at the wharf, mostly focusing on the space occupied rather than the cargo being handled.

FAQs

What determines the rate of wharfage fees?

Rates are influenced by factors such as the port’s tariff schedule, type of cargo, vessel size, and duration of wharf use.

Are wharfage fees uniform across all ports?

No, wharfage fees can vary significantly between different ports and even within the same country, depending on the port’s facilities and services.

Can wharfage fees be negotiated?

In some cases, large shipping companies or frequent users may negotiate rates with port authorities, subject to contractual agreements.

References

  • “Maritime Economics” by Martin Stopford
  • International Ship and Port Facility Security (ISPS) Code guidelines
  • U.S. Port Tariff Schedules

Summary

Wharfage is a crucial fee in maritime logistics, charged for the use of a wharf by cargo, vessels, or passengers. Understanding wharfage helps in better economical decision-making, efficient port management, and effective regulation of the shipping industry. The fee systems exhibit diversity across ports and play a significant role in global trade and commerce.

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