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DO issurance (DO FEES)

Documentation

Key Information

Who Charges Shipping carriers, Freight forwarders
Who Pays Consignee
When Applied Per shipment

What is DO?

The Delivery Order Fee, often abbreviated as DO Fee, is a critical charge in the logistics process, specifically related to the issuance of the Delivery Order document. This fee is typically incurred when the consignee, or the recipient of the shipment, needs to obtain a Delivery Order from the shipping line or freight forwarder. This document is vital as it authorizes the consignee to collect the cargo from the terminal or designated warehouse. The DO Fee is collected by the shipping line or the freight forwarder and is paid by the consignee.

The circumstances under which the DO Fee is applicable are during the import process, where the consignee must present the Original Bill of Lading (B/L) to receive the Delivery Order. The fee covers the administrative costs associated with verifying documents, processing the release of the cargo, and ensuring compliance with any applicable regulations. The fee structure can vary based on the shipping line or freight forwarder, and it is typically a fixed amount, though it may sometimes be influenced by the complexity or size of the shipment.

It is important to distinguish the DO Fee from other related charges such as the Terminal Handling Charge (THC) or the Demurrage Fee, which cover different aspects of cargo handling and storage. In practical terms, consignees should ensure timely payment of the DO Fee to avoid delays in cargo retrieval. Additionally, staying informed about the specific requirements and procedures of the shipping line or freight forwarder can facilitate a smoother collection process and help in effectively managing logistics costs.

Frequently Asked Questions

What is a DO Fee in shipping?

A DO Fee, or Delivery Order Fee, is a charge incurred during the logistics process for issuing the Delivery Order document. This document is essential for the consignee to authorize cargo collection from the terminal or designated warehouse. The fee is typically charged per shipment.

Who pays and who charges the DO Fee in logistics?

The DO Fee is paid by the consignee, who is the recipient of the shipment. This fee is charged by shipping carriers or freight forwarders as it covers the issuance of the Delivery Order document necessary for cargo collection.

How is the DO Fee calculated in shipping?

The DO Fee is generally calculated on a per shipment basis. The specific amount can vary depending on the shipping carrier or freight forwarder, as well as the specific terms and conditions of the shipping agreement.

How to avoid paying the DO Fee in logistics?

Avoiding the DO Fee entirely is challenging, as it is a standard charge for obtaining a Delivery Order. However, negotiating with shipping carriers or freight forwarders for a bundled service package might reduce overall costs, including the DO Fee.