TFI Applauds STB Demurrage Decisions

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May 1, 2020

WASHINGTON, D.C. – The Fertilizer Institute (TFI) today applauded yesterday’s decision by the Surface Transportation Board (STB) regarding rules and changes related to demurrage and accessorial charges levied against shippers.

“TFI is pleased with the Board’s actions,” said TFI President and CEO Corey Rosenbusch. “Over half of all fertilizer moves by rail, so these decisions are great news for the fertilizer industry, its customers, and the rail carriers we depend upon. The Board’s balanced decisions will clarify expectations and minimize governmental intrusion into the rail marketplace.”

Yesterday, the Board issued three decisions related to demurrage charges, including; (1) a final policy statement articulating the factors it will use to determine the reasonableness of demurrage charges; (2) a final rule regarding shipper-warehouse demurrage responsibility, and; (3) a supplemental proposed rulemaking regarding minimum information requirements for demurrage invoices.

“These changes will help to improve fairness, service and system fluidity,” Rosenbusch concluded. “We also thank the Board for continuing its critical oversight functions and efforts to modernize its oversight during the COVID-19 pandemic.”