Pilotage Fee refers to the charge levied by the port's pilotage authority or pilot on the vessel for compulsory or voluntary pilotage services when a ship enters or leaves a port, or navigates through narrow channels or canals. This fee is usually borne by the shipowner or charterer, depending on the trade terms (e.g., FOB, CIF) and charter party clauses (e.g., FIOST). In practice, pilotage fee is part of port disbursements, alongside tugboat fees, berthing fees, tonnage dues, etc. Usage scenarios include: pilotage must be applied for in advance before the vessel arrives; after the pilot boards, fees are calculated based on the vessel's net tonnage, pilotage distance, and time period; surcharges may apply for holidays or night navigation. Precautions: pilotage fees are usually paid directly by the ship to the pilot station, but if the trade contract stipulates that the consignee bears the discharge port charges, clear allocation is required; moreover, pilotage fees are not included in freight unless the charter party provides for 'liner out' or 'berth terms'. Difference from 'tugboat fee': pilotage fee is a service fee for the pilot's navigational advice, while tugboat fee is a physical towing fee for tug assistance in berthing and unberthing. Difference from 'canal fee': canal fee is a transit toll for passing through a canal, while pilotage fee may be listed separately. Foreign trade practitioners should verify the details of port disbursements when quoting to avoid profit loss due to omission of pilotage fees.
📝 Examples
1. According to the charter party, the pilotage fee at the loading port shall be borne by the shipowner, while the pilotage fee at the discharge port shall be paid by the consignee. Please specify this cost allocation in the letter of credit. (Note: Typical application of cost-sharing clauses in charter parties)
2. Due to nighttime port entry, a 30% night shift surcharge was added to the pilotage fee, causing total port disbursements to exceed the budget. Please adjust the quotation promptly. (Note: Impact of surcharges on costs and reminder for quotation adjustment)
💡 Foreign Trade Tips
Foreign trade terms are the foundation of international business communication
Trade practices may vary slightly by country; pay attention when using them
When using terms in contracts, specify the applicable version (e.g., Incoterms 2020)
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