Vessel Chartering

Vessel Chartering explained

Stoixwing Logistics simplifies ocean transportation with a complete vessel chartering service that manages the process from pre to post fixture.

Vessel chartering involves arranging and deploying vessels for transporting goods by sea that is usually too large or heavy to be shipped with conventional container ships and can be an economical way for large quantities of bulk commodities to be shipped.

Our Partner Chartering Team, based in UAE, offers global chartering solutions whether for petroleum cargo’s, your dry-bulk, heavy-lift or Project cargo needs.

Chartering a vessel typically involves engaging with a chartering broker or chartering service provider. The process includes discussions on specific shipping requirements, such as cargo type, volume, and destination. The charterer acts as an intermediary, bridging the gap between ship owners, operators, and cargo owners, managing and overseeing ocean transportation on behalf of clients.

Vessel Chartering process

Consultation and Requirements Gathering

The process begins with a comprehensive consultation between the client and partner’s Chartering Team. During this phase, specific requirements are discussed, including the type and volume of cargo, destination, and any special considerations.

Access World icon

Tailored Solutions and Pricing

Leveraging their expertise and global network, partner’s Chartering Team works to tailor solutions that align with the client’s unique needs. This includes offering personalized pricing to ensure cost-effectiveness in line with market conditions.

Access World icon

Vessel Options and Booking

Our partner’s extensive carrier database and understanding of market trends allow them to present suitable vessel options to the client. Once the client approves, the booking process commences, securing the chosen vessel for the specified transportation needs.

Access World icon

Pre-Vetting of Carriers

All carriers enlisted by our Logistics partner undergo a rigorous onboarding process, ensuring they meet high standards of safety and reliability. This pre-vetting process minimizes risks and contributes to the secure execution of the entire shipment.

Intermediary Role and End-to-End Oversight

Acting as charterers or brokers, Stoixwing Logistics is an intermediary, bridging the gap between ship owners, operators, and cargo owners. This role involves taking on the responsibility of managing and overseeing ocean transportation on behalf of the client. The result is a fully optimized and efficient end-to-end freight solution.

Access World icon

Integration with Other Services

Our partner offers the flexibility to integrate vessel chartering with other services, such as warehousing and stevedoring. This integrated approach ensures a holistic logistics solution, covering various aspects of the supply chain.

Access World icon

Value-Added Services and Insurance

Our partner provides additional value-added services, including ship agency services and marine and charterers’ liability insurance. These services enhance the overall reliability, safety, and efficiency of the maritime logistics operation.

Access World icon

Continuous Communication and Updates

We maintain continuous communication with the client throughout the chartering process, providing regular updates on the shipment status, ensuring transparency, and addressing any emerging needs.

Global Network

The importance of experienced and globally connected Vessel Chartering solutions

Our partner’s extensive global network forms a cornerstone of their vessel chartering service. Leveraging international relationships, the company secures favorable shipping rates for clients. This global reach allows us to tap into diverse markets, optimizing costs and ensuring competitive rates for transporting goods and commodities ranging from dry bulk to projects and heavylift cargo by sea.

Acting as charterers or brokers, the company bridges the gap between ship owners, operators, and cargo owners. This intermediary role ensures that clients have a single point of contact for managing and overseeing the entire ocean transportation.

 

The result is a seamless, efficient, end-to-end freight solution that assures timely and secure cargo delivery.

Services provided go beyond standard vessel chartering services by offering value-added services. These services include voyage and time charters, handling materials, ship agency services, and marine and charterers’ liability insurance. 

This comprehensive approach forms a complete end-to-end global logistics solution. By choosing us, clients benefit from cost-effective vessel chartering and access to services that enhance their maritime logistics operations’ efficiency, safety, and reliability.

Need Help?

FAQs

Charter shipping involves hiring an entire vessel for the exclusive use of one client or charterer.

A charter party agreement is a contract between a shipowner and a charterer that outlines the terms and conditions of chartering a vessel for a specific voyage or period.

Yes, you can charter a vessel for a single voyage. This type of charter is known as a “voyage charter” and is ideal for one-time shipments.

Laytime is the time allowed for the loading and unloading of cargo. It is specified in the charter party agreement and can affect demurrage or detention charges.

Demurrage is a fee for exceeding the agreed-upon laytime for loading or unloading. Detention refers to charges incurred when cargo or the vessel is detained beyond the laytime.

Freight rates are determined based on cargo type, weight, volume, route, vessel size, market conditions, time frames, and the terms negotiated in the charter party agreement.

Loading and discharging rates refer to the speed at which cargo is loaded onto or discharged from a vessel. They impact laytime and, consequently, demurrage or detention charges.

Deadfreight refers to the payment made by a charterer for the space on a vessel that they reserved but did not fully utilize. It compensates the shipowner for lost revenue.

Liner terms are associated with scheduled liner services, where vessels follow fixed routes and schedules. Tramp terms are used for irregular or non-scheduled voyages.

Freight forward chartering involves hiring a vessel through a freight forwarder, who arranges transportation for the shipper or consignor.

Back-to-back chartering refers to arranging consecutive charter agreements, where one charterer sub-charters a vessel to another party for a subsequent voyage.

Terms include Laytime, Demurrage, Detention, Free Time, and Time Charter.

Laytime is the time allocated for loading/unloading cargo, while Demurrage is the penalty for exceeding the agreed-upon laytime.

A Time Charter is a vessel rental for a specified period, while a Voyage Charter is for a single voyage.

A bill of lading is a legal document that details the cargo and terms of transport.

Standard formulas are used for laytime calculations, and clients can request supporting documentation for verification.

A time bar clause sets a specific time limit for submitting claims or disputes, and failure to comply may result in forfeiture of the claim.

“Off-hire” refers to a period during which the vessel is not earning hire due to specific conditions outlined in the charter party agreement.

Charter party terms specify the responsibilities of each party and may address multiple shippers or consignees.

Project break bulk terms may outline port rotation schedules, laycan periods, and other details for each vessel call.

Laytime exceptions outline conditions under which delays are not counted toward laytime calculations, affecting charter party terms.