Click Here for your Free Traffic!Charter Types
Contract of Affreightment (COA) - A service contract under which a ship owner agrees to transport a specified quantity of fuel products or specialty products, at a specified rate per ton between designated loading and discharge ports. This type contract differs from a spot or consecutive voyage charter in that no particular vessel is specified. (Rates are usually discounted below other forms of contracts.)
Period Charter - Refers to consecutive voyage (C/V) exceeding four voyages, time charters (T/C) and bareboat charters. – Note: Loose term may have other connotations.
Spot (Voyage) Charter - A charter for a particular vessel to move a single cargo between specified loading port(s) and discharge port(s) in the immediate future. Contract rate (spot rate) covers total operating expenses such as port charges, bunkering, crew expenses, insurance, repairs, and canal tolls. The charterer will generally pay all cargo-related costs.
Time Charter (T/C) - A charter for varying periods of time, usually between two and ten years, under which the owner hires out the vessel to the shipper fully manned, provisioned, stored and
insured. The charterer is usually responsible for bunkers, port charges, canal tolls and any crew overtime connected with the cargo. The charter rate (hire) is quoted in terms of a cost per month per deadweight ton.