GLOSSARY OF SHIPPING TERMS

  • AA - Always Afloat

    Term used in charter parties to desribe that a port, berth or anchorage should always have sufficient water depth in relation to the vessel’s draft, such that the ship with always remain afloat irrespective of the current and tidal conditions. Term used in contrary to ‘Not Always Afloat But Safely Aground’ [NAABSA].

  • AA - Always Accessible

    Term used in charter parties, whereby the charterer warrants that the vessel can at all times reach and depart from the place where cargo operations are conducted, irrespective of congestion, tidal differences or other occurrences. This term is especially relevant in the context of voyage charter parties, where the voyage charterer may become liable for detention if delays are incurred before or after the running of Laytime. Differs from Reachable On Arrival, which sees to arrival only (and not to departure).

  • AAAA - Always Afloat & Always Accesible

    A combination of Always Accessible and Always Afloat as above.

  • AAOSA - Always Afloat Or Safely Aground

    A combination of Always Afloat and Safely Aground (see: NAABSA).

  • AARA - Always Accessible or Reachable on Arrival

    A combination of Always Accessible or Reachable On Arrival, see individual terms.

  • AB or A/B - Able Body

    Sailor who has the training under the STCW Convention to assist an Officer Of The Watch in his duties, e.g. by serving as look-out. Reports to the Bosun.

  • ACDGLY - Accordingly

    Accordingly

  • ACK - Acknowledge

    Acknowledge or Confirm

  • ADA - All Details About

    Terms used in the context of vessel descriptions in charter parties, to provide some leeway in respect of the details provided. Commonly accepted are +/- 5% for bunker volumes, consumption and stowage factors and +/- 0.5 knots for speed.

  • ADCOM - Adress Commision

    Commission paid by the Owner to the Charterer, under a charter party, for the shipbroker involved on behalf of the Charterers in the charter party negotiations and post-fixture. The commission is often expressed as a percentage of the hire under a time or bareboat charter or the freight, deadfreight and/or demurrage under a voyage charter.

  • ADDL - Additional

    Additional

  • ADR - Alternative Dispute Resolution

    For of dispute resolution other than court proceedings or arbitration, e.g. mediation.

  • ADV PMT - Advance Payment

    Payment made in advance

  • Ad Valorem Bill of Lading

    A bill of lading whereby the value of the cargo is mentioned as part of the cargo description. This may have two related consequences. Where the cargo value is mentioned, the Hague-(Visby), Hamburg and Rotterdam Rules applicable to bills of lading specify that this sets aside the limitation of liability, and the carrier under the bill of lading will become (as maximum) liable for the value of the cargo mentioned in the document which may exceed the limitation amounts under the above-mentioned rules. As a consequence of this potentially increased liability for carriers, P&I Clubs as liability insurers exclude such liability from their standard insurance cover.

  • AE or A/E - Auxiliary Engine

    The engine(s) used to drive generators for the electrical power supply on board the vessel (not used for ordinary propulsion).

  • AF - Advanced Freight

    Freight paid in advance, contrary to upon signing and releasing bills of lading or upon delivery of the cargo [Freight Collect].

  • AFCSPS - Arrival First Compulsory Sea Pilot Station

    Term used in time charter parties to describe the delivery or redelivery location, where the vessel will be delivered from the owner to the time charterer or redelivered from the time charterer to the owner. The reference to ‘first’ indicates that the delivery location is at the first pilot station after ‘end of sea passage’, or redelivery is at the last pilot station before the commencement of the sea passage, and serves as clarification of the location when for an in- or outbound passages the use of multiple pilots is customary (e.g. different sea and river pilots). This term is limited to stations used for compulsory pilotage and not those used for voluntary pilotage.

  • AFMT - After Fixing Main Terms

    Term used to describe that further details of a charter party will be worked out after the main details of the charter party have been agreed on. Should be used with caution, the best practice is to agree on all terms prior to concluding the contract.

  • AFSPS - Arrival First Sea Pilot Station

    Term used in time charter parties to describe the delivery or redelivery location, where the vessel will be delivered from the owner to the time charterer or redelivered from the time charterer to the owner. The reference to ‘first’ indicates that the delivery location is at the first pilot station after ‘end of sea passage’, or redelivery is at the last pilot station before the commencement of the sea passage, and serves as clarification of the location when for an in- or outbound passages the use of multiple pilots is customary (e.g. different sea and river pilots).

  • AGST - Against

    Against

  • AGTS - Agents

    Agents

  • AGW - All Going Well

    Term used to disculpate the user if circumstances change. For example used when providing an Estimated Time of Arrival.

  • AHPS - Arrival Harbour Pilot Station

    Term used in time charter parties to describe the delivery or redelivery location, where the vessel will be delivered from the owner to the time charterer or redelivered from the time charterer to the owner. The reference to ‘first’ indicates that the delivery location is at the first pilot station after ‘end of sea passage’, or redelivery is at the last pilot station before the commencement of the sea passage, and serves as clarification of the location when for an in- or outbound passages the use of multiple pilots is customary (e.g. different river and harbour pilots).

  • AHT - Anchor Handling Tug

    Tug used in the offshore sector to handle the anchors of offshore platforms.

  • AHTS - Anchor Handling Tug & Supplier

    Tug used in the offshore sector to handle the anchors of offshore platforms and to resupply offshore platforms.

  • Air Draft

    Term used to desribe the distance between the waterline of a ship and the highest point on board the ship (usually the aft mast). The Air Draft is relevant if a vessel needs to pass underneath bridges, power lines or other objects overhanging the waterway. The distance between the keel and the heighest point on the vessel is often indicated on the ‘general arrangement’-plan, on the basis of which the Air Draft can be calculated by deducting the vessel’s Draft.

  • ALRDY - Already

    Already

  • ALW - Always

    Always

  • AMT - Amount

    Amount

  • AN - Arrival Notice

    Dependent on context a notice provided to a port authority, ship agent, or charterer that the vessel has arrived.

  • Anti-Heeling System

    Computer controlled system on board container vessels, comprised of 2 ballast tanks port and starboard, between which water is transferred to keep the vessel in vertical position during cargo operations. The system avoids that the vessel will develop any list, which causes problems with the spreader connecting to containers, or with containers being lifted within the cell guides of the hold.

  • A/O - Account Of

    Term used in charter parties to indicate for whose account a certain expense is.

  • A/O - And Or

    Terms used to describe an option

  • AOB - As On Board

    Term used to describe an ‘as is where is’ situation.

  • AOH - After Office Hours

    After Working Hours

  • AP - Additional Premium

    Term used in charter parties to indicate that additional insurance premiums are paid for by one of the parties, e.g. when a ship goes into a war zone or is directed into zones where ice is prevalent.

  • APT - Aft Peak Tank

    The most aft (ballast) tank.

  • ARND - Around

    Approximately

  • ARVL - Arrival

    Arrival

  • ARB - Arbitration

    Method of dispute resolution by agreement, whereby the parties to a dispute refer the case to an arbitrator for a binding decision.

  • A/S - Alongside

    Either reference to a vessel being berthed, or laying alongside another vessel for ‘ship-to-ship’ transfer.

  • ASA - Always Safely Afloat

    Charter party term which indicates that the vessel may not touch or rest on the bottom in port.

  • ASPW - Any Safe Port Worldwide

    Term used to describe the trading area in a time or bareboat charter party

  • ATL - Actual Total Loss

    Insurance term to describe the situation where a vessel is totally lost (e.g. because it sank). Contrary to a Constructive Total Loss, where the vessel is still accessible but the repair costs exceed the hull value.

  • ATL - Automatic Twist Lock

    Type of automatic twistlock used to secure containers vertically. Semi-automatic twistlocks close automatically, but have to be opened manually.

  • AWIWL - Always Within Institute Warranty Limits

    Provision which indicate that the charterers may not provide voyage instructions which cause the vessel to sail outside for the Institute Warranty Limits [IWL]. See ‘Institute Warranty Limits’ for more detail.

  • Bft - Beaufort

    Standardised scale used by meteorologists to describe wind speed. Often used in time charterers by owners to specify under which wind conditions the speed and consumption of a ship is described or guaranteed. While the Beaufort-scale does contain an estimation of the expected significant wave height in open water at any given wind speed, to indicate the height of waves and swell the Douglas-scale is often used.

  • BL - Bale Space

    Reference to ‘bale space’ in a ship’s description, which is the combined volume of the holds, or of a single hold, without calculating the volume in between the frames inside the hold. For a ‘box shaped’ vessel, the bale space will be about equal to the ‘grain space’ in which the volume between the frames is calculated.

  • BDN - Bunker Delivery Note

    Document issued by a physical supplier of bunkers, which confirms the delivery of the quantity and grade of bunkers to a vessel. A Bunker Delivery Note should meet standards set out in MARPOL Annex VI.

  • BOD - Bunkers On Delivery

    Term used in the context of time charter parties to describe the type, volume and monetary value of bunkers on delivery of the vessel from an owner to a time charterer. Standard under time charters, the bunkers present in the vessel on delivery are purchased by the time charterers from the owners, and on redelivery sold back by the time charterers to the owners. As a variation to this arrangement, especially under short time charterers, the owners may retain ownership of the bunkers but the time charterer has the obligation to replenish the bunkers to levels set out in the charter party prior to redelivery of the vessel under the time charter party. These arrangements prevent that an owner or charterer can speculate with bunkers, or that a time charterer redelivers the vessel back to an owner with insufficient bunkers to reach the next bunker port.

  • Bonded Warehouse, Yard or Store

    In a bonded warehouse or yard, cargoes can be stored once they have entered a country but have not yet been custom’s cleared. The term ‘bonded’ then refers to storage under supervision of customs.

    A bonded store on board a ship, is a locker in which alcohol and tobacco products are kept, for which no customs duties have been paid. This locker may only be opened outside the territorial waters of any country and is to remain closed and sealed while in the territorial waters of a country.

  • BOR - Bunkers On Redelivery

    Term used in time charter parties to describe the type and volume of bunkers which should be available on redelivery of the vessel from the time charterers to the owners. As standard, the owners purchase the bunkers back from the time charterers, but under shorter time charters the time charterers may only have the obligation to replenish the bunkers to this level dependent on the charter party terms.

  • Bosun

    Petty officer in charge of the sailors on deck. Reports to the Chief Officer.

  • Bunkers

    The Bunkers are the fuel on board used to power the main and auxiliary engines, the boiler and the emergency generator. To bunker or bunkering is the process of taking on fuel on board. The term stems from ‘coal bunkers’ in which coal was kept on board steam vessels, and has been maintained as reference to modern-day liquid or gas fuels which are kept in tanks.

  • Cable

    Term used in navigation to indicate 1/10 of a nautical mile, or 185,2 meter, or 1/10 of a minute on a navigational chart.

  • Capesize

    Bulk carrier with a deadweight in excess of 100,000 tons, usually gearless.

  • Carrier's Bill of Lading

    Ambivalent term (which is better to be avoided), normally used to describe that a charterer or freight forwarder will issue a bill of lading mentioning themselves as carrier, instead of the registered owner or bareboat charterer of the vessel (e.g. “signed for and on behalf of the master“). As every bill of lading forms a contract between a carrier and shipper, it is unclear what ‘carrier’ in this context actually refers to and therefore this term can better be avoided. The use of the terms Charterer’s Bill of Lading or House Bil of Lading - as appropriate - are recommended instead.

  • CEU - Car Equivalent Unit

    Unit of measure for a standardised car, which is based on the dimensions of a 1996 Toyota Corona which has a length of 4.52 meter, a width of 1.70 meter and a height of 1.41 meter. This unit of measure is used to indicate the cargo capacity of Pure Car (& Truck) Carriers.

    For Roll-On Roll-Off ships, Lane Meter is used as unit of measure.

  • Charterer's Bill of Lading

    Bill of lading issued by the charterer to the shipper, whereby the (time) charterer mentions himself as carrier instead of the registered owner or bareboat charterer. This has to be permitted under the charter party, and usually requires that these bills of lading are issued in strict conformity with the Mate’s Receipts issued by the master and chief mate of the vessel. If the charterer have P&I insurance, this is seen as an increase of risk for which additional premium is due.

    The charterers could agree with the owners on a Master’s Bill of Lading to be issued by the registered owner or bareboat charterer, in which the charterer is mentioned as both shipper and consignee, on similar paper and terms as the Charterer’s Bill of Lading. This provides for a ‘Back-To-Back’-contract, save insofar the charter party as leading contract states otherwise.

  • COA - Contract of Affreightment

    Contract of carriage which involves multiple shipments on voyage basis. Often such contracts are closed to transport a large volume of cargo over a period of time, for example for factories which have a consistent demand for raw materials or a consistent outturn of end products, or a project which requires a fixed number of goods (e.g. windmills) to be brought on site. By closing a Contract of Affreightment the carriage capacity is procured in advance which provides more security and limits the exposure to the volatility of the freight market.

  • COG - Course Over Ground

    The course in degrees, between two geographic points on earth or plotted on a navigation chart. It is the Heading corrected for the influences of wind drift and current. In practice the Course Over Ground is indicated by a GPS. The Course Over Ground indicated on a GPS may be inaccurate if a vessel is laying idle, or is barely making way.

  • ConRo or RoCon Vessel

    Ship designed for the carriage of both rolling material like cars, trucks, and Mafi-trailers, as well as containers.

  • CPA - Closest Point of Approach

    The closest passing distance between to vessels, as calculated by an Automated Radar Plotting Aid on a RADAR.

  • CPP - Controlable Pitch Propeller

    Type of ship propeller whereby the angle of the blades can be hydraulically changed to control the pitch (which causes a change in forward or reverse motion, or speed). Applied in smaller seagoing ships and has as benefits that it enhances the maneuvering characteristics of the ship, and allows for the vessel’s main engine to run in one direction at a constant speed which makes it possible to (more frequently) use a Shaft Generator for electrical power generation.

  • CTM - Cash To Master

    Cash money provided by the shipowner to the master of the vessel for general expenses and cash pay-outs of wages for the crew. These funds are brought on board by the ship agent in a ship’s port of call, and charged to the shipowner as part of the ship’s disbursements by the local ship agent.

  • CY/CY - Container Yard / Container Yard

    Term used in container shipping, to indicate a shipment is from terminal to terminal, as opposed to door to door or port to port.

    Arguably, when obtained in a bill of lading, it may extend a carrier’s period of responsibility for the cargo between ‘Gate In Full‘ and ‘Gate Out Full‘ at the terminal, instead of upon passing the ship’s railing in the loading and discharge port and should therefore be used with caution in bookings and bills of lading.

  • DD - Dry-Dock

    Charter parties often provide information on the vessel’s last or future dry-dockings. Vessels tend to perform better when a recent dry-docking is conducted. Under a long-term time charter, the time charterer will often be under an obligation to (temporarily) redeliver the vessel to the owner for dry-docking at a certain time and in certain area, which may severely affect a time charterer’s ability to trade with the vessel in advance of the dry-docking period. Ships follow the Harmonised Survey System for Ships with their classification societes, which prescribes when a vessel should go into drydock to maintain its class.

  • DFT - Draft

    Draft

  • Depot

    Term used in container shipping to indicate a yard where empty containers are stored, cleaned, maintained or repaired.

  • DO or D/O - Delivery Order

    Delivery orders are often used to split cargoes into multiple parcels, or by custom’s houses who retain the original bills of lading as part of local practice until the import duties for the cargo have been paid by the importer. In shipping practice 2 types of delivery orders are recognised.

    The first type is called a Carrier’s Delivery Order. The consignee then presents the original bills of lading for the full cargo quantity to the cargo, and gets in return 2 or more delivery orders representing the same total cargo quantity. The consignees under these delivery orders, get direct rights to delivery of their parcel from the carrier.

    The second type is referred to as a Merchant’s Delivery Order,. Here the consignee under the bill of lading himself issues the delivery orders, without involvement of the carrier under the bill of lading. The consignee then presents the original bills of lading for the full cargo quantity to the cargo to the carrier, and takes delivery of this full cargo quantity from the carrier under the bill of lading. The consignees under these delivery orders, get direct rights to delivery from the consignee under the bill of lading, but have no rights in relation the carrier under the bill of lading as he is not a party to the delivery order.

  • DP - Dynamic Positioning System

    Navigation system whereby the ship can automatically maintain a preset heading and position, by computer-guided control of the vessel’s propeller’s and thrusters. Dynamic Positioning Systems are divided in 3 classes, dependent on the level of redundancy required for the system.

  • Draft

    Distance between the waterline and the keel of the ship. On the vessel’s hull, draft marks are painted from which the draft can be read near the bow, midships and aft, on both sides of the vessel. The benefit of having 6 points from which the draft can be read, is that it can be determined whether the vessel has Trim (difference in draft forward and aft), List (difference in draft port and starboard), is Hogging (draft midships is less than forward and aft) or Sagging (draft midships is higher than forward and aft).

  • DS - Douglas Scale

    Two standardised scales used by meteorologists to describe the height of (wind) waves and swell. Often used in time charters by owners to specify under which wave and swell conditions the speed and consumption of a ship is described or guaranteed. For wind speed, the Beaufort-scale used.

  • DWCC - Deadweight Cargo Capacity

    The amount of tons of cargo which can be loaded on board the vessel, taking into consideration the maximum draft at a given water density. The Deadweight Cargo Capacity is obtained after deduction of all known weights on board - such as for allast, bunkers, potable, waste and bilge water, lubricants, stores etc. - from the Deadweight at a given draft and water density.

  • DWT - Deadweight

    The maximum sum of all weights which may be loaded on board a vessel, to reach a certain draft at a given water density. These weights can consists of cargo, ballast, bunkers, potable, waste and bilge water, lubricants, stores etc.

  • Eco Speed or Economic Speed

    Speed maintained throughout the voyage, to optimise fuel consumption. Normally under voyage and time charters, owners and the master and crew are under the obligation to sail with utmost despatch from port to port, unless economic speed has been agreed as part of the contract.

  • ENC - Electronic Nautical Chart

    An electronic chart system that may not be used as primary navigation system under SOLAS, contrary to an Electronic Chart Display and Information System [ECDIS].

  • ECDIS - Electronic Chart Display and Information System

    An electronic chart system that may be used as primary chart system for navigation under SOLAS.

  • ETA - Estimated Time of Arrival

    Estimated date and time a ship will arrive in port.

  • ETC - Estimated Time of Completion

    Estimated date and time a ship will complete cargo operations.

  • ETD - Estimated Time of Depature

    Estimated date and time a ship will sail from a port.

  • Express Release Bill of Lading

    Bill of Lading in which the carrier and shipper agree in advance that no original bills of lading shall be issued and that the goods may delivered immediately to the consignee in the discharge port, without presentation of the original bill of lading.

    This is an arrangement which should be used with caution, and with active knowledge of the shipper. It is a hybrid form between a Bill of Lading and a Sea Waybill, and it is a better practice to make a choice between either a Bill of Lading or a Sea Waybill, instead of an Express Release Bill of Lading.

  • FCC - Full and Complete Cargo

    Terms used in voyage charters to indicate that the charterer is under obligation to either use the full available deadweight (for a ‘weight cargo’), or the full volume of the hold (for a ‘volume cargo), or any space available as restricted by the vessel’s strength andor stability limitations.

  • FCC (Vessel) - Fully Cellular Container Vessel

    A vessel specially designed for the efficient carriage of containers.

  • FDEDANRSAOCLONL - Freight Deemed Earned, Discountless And Non-Returnable Ship And Or Cargo Lost Or Not Lost

    Provision which stipulates that freight is payable by and non-refundable to the voyage charterers, irrespective of whether the ship and/or cargo are lost on the way to the port of destination. Payment of the freight is then not conditional on arrival of the cargo. For cargo interests, this is an insurable risk if the cargo is insured at ‘Cost Insurance Freight‘-value [CIF], whereby the value of the freight is covered under the cargo insurance.

  • FEU - Forty-Feet Equivalent Unit

    Reference to a standard ISO 40 foot shipping container of 40 x 8 x 8 ft. Often used in the context of indicating the carrying capacity of a ship fitted for the carriage of containers.

  • FHS - Final Hire Statement

    The closing account between owners and charterers upon redelivery of a vessel under a time or bareboat charter party.

  • FPT - Fore Peak Tank

    The most forward (ballast) tank

  • FiFi - Firefighting

    General reference to firefighting, often used to indicate that is equipment is dedicated to that purpose (e.g. FiFi pump).

    FiFi 1, 2 and 3 are also class notations for vessels equipped with large fighting systems for use in off-shore or port applications.

  • FIOS - Free In Out Stowed

    Term used in voyage charter parties to describe that the loading, stowage and discharge costs are excluded from the freight and for account of the voyage charterer.

  • FIOS LSD

    Term used in voyage charter parties to describe that the loading, stowage, lashing, securing, dunnaging and discharging costs (of a breakbulk cargo) are excluded from the freight and for account of the voyage charterer.

  • FIOST - Free In Out Stowed Trimmed

    Term used in voyage charter parties to describe that the loading, stowage, trimming and discharge costs (of a bulk cargo) are excluded from the freight and for account of the voyage charterer.

  • FOC - Free Of Commision

    Charter party under which no Address Commision needs to be paid to the shipbroker.

  • FPA - Free of Particular Average

    Insurance term used to indicate that a property insurance (e.g. cargo insurance) only covers a total loss, and no partial losses. Cheaper form of insurance than All Risk, which would also cover partial losses.

  • FPP - Fixed Pitch Propeller

    Ship propeller of which the angle of the blades cannot be adjusted to control the pitch. This means that the forward or aft motion and the speed of vessel can only be adjusted by changing the rotational direction of the propeller shaft and the revolutions per minute of the propeller shaft. This may impair the ability to sail with a shaft generator for power generation, which requires a fixed number of revolutions per minute of the vessel’s main engine.

  • Free D/A or DA

    Term used in voyage charter parties to describe that the voyage charterer shall pay for the Disbursement Account, which contains the port costs such as pilot, tug and berth charges etc.

  • Freight

    Lumpsum fee which the Owner under a voyage charter or booking receives from the voyage charterer or merchant for his services. The freight can be agreed lumpsum or per quantity carried. The freight contains all costs for the voyage between the loading and discharging port, and a period for cargo operations. If the period for cargo operation has been exceeded, demurrage or detention may be owed. If the charterer or merchant loads less then the minimum agreed cargo quantity, he owes deadfreight to the owners up to that minimum quantity.

  • Freight Collect

    Term which indicates that freight is payable upon delivery (i.e. collection) of the cargo.

  • Gear

    As part of a ship’s description, the term ‘geared’ is used to indicate that the vessel has cranes (and grabs) for cargo operations, while ‘gearless’ indicates that the vessel does not have cranes and is therefore dependent on port facilities for cargo operations.

  • GT - Gross Tonnage

    Calculated size assigned to a ship after new-building or conversion, on the basis of the calculation rules set out in the International Convention on Tonnage Measurement of Ships 1969 which uses the watertight volume of a ship as main factor in the equation. The gross tonnage is reflected on the ‘Tonnage Certificate’.

  • GMT - Greenwich Mean Time

    Time zone where the Universal Time Coordinated applies, i.e. the worldwide standard time.

  • GR - Grain Space

    Reference to ‘grain space’ in a ship’s description, which is the combined volume of the holds, or of a single hold, where a free flowing bulk cargo can be carried. Contrary to ‘bale space’, this includes the volumes between the frames inside the hold. For a ‘box shaped’ vessel, the ‘grain space’ will be about equal to the ‘bale space’.

  • Groupage

    Term used in logistics to indicate the process of grouping more than one consignments of goods into one single shipment for carriage, which will make carriage more efficient due to the economy of scale.

  • Heading

    Term used in navigation to indicate the direction in which the bow of the vessel points. Corrected for wind drift and current, the Course Over Ground can be calculated which provides the actual course between two geographical points and can therefore be plotted directly on a navigational chart. In practice, the heading is indicated by a (gyro or magnetic) compass.

  • Hire

    Term used in the context of bareboat or time charter parties to indicate the day rate the charterer should pay pay to the owner for use of the vessel, between the moment delivery and the moment of redelivery.

  • Hire Statement

    Statement of account under a time or bareboat charter, either prepared by an owner or charter, to provide an overview of the days the vessel was on-hire compared to the hire paid.

  • HBL - House Bill of Lading

    Bill of lading issued by the charterer or an NVOCC to the shipper, whereby the (time) charterer or NVOCC mentions himself as carrier instead of the registered owner or bareboat charterer. This has to be contractually permitted, and usually requires that these bills of lading are issued in strict conformity with the Mate’s Receipts issued by the master and chief mate of the vessel. If the charterer has P&I insurance or NVOCC insurance for this freight forwarding and logistics operations, this is seen as an increase of risk for which additional premium is due.

    The charterers or NVOCC could agree with the owners on a Master’s Bill of Lading to be issued by the registered owner or bareboat charterer, in which the charterer or NVOCC is mentioned as both shipper and consignee, on similar paper and terms as the House Bill of Lading. This provides for a ‘Back-To-Back’-contract, save insofar the charter party or other contract with the physical carrier as leading contract states otherwise.

  • hp - Horse Power

    Measure to indicate the power output of an engine. 1 hp equates to about 0,75 kiloWatt [kW].

  • INL - International Navigating Limits

    The ‘International Navigating
    Limits‘ replaced the ‘International Warranty Limits‘ [IWL] as per 1 November 2003. They provide for the geographical limits within which ships may freely navigate without incurring additional premiums for Hull & Machinery [H&M] Insurance due to increased risks related to navigation in ice conditions.

  • IWL - Institute Warranty Limits

    Outdated term since 1 November 2003. Currently, Institute Navigation Limits [INL]. See ‘Institute Navigation Limits ‘ for detailed description.

  • kn - Knot

    Measure to indicate speed in Nautical Miles per hour.

  • IG - International Group (of P&I Clubs)

    Terms used in charter parties to specify which liability insurance arrangements are acceptable between owners and charterers. The International Group of P&I Clubs is a joint-venture between insurers and consists of the American Club, Britannia P&I, Gard, Japan P&I Club, London Club, North of England P&I Club, Shipowners’ P&I Club, Skuld, Standard Club, Shipowners’ P&I Club, Swedish Club, UK P&I Club and West of England P&I Club (www.igpandi.org).

  • IG - Inert Gas

    Terms used in relation to tankers, to describe the inert gas (usually nitrogen or carbondioxide) used to displace the oxygen-rich ambient air from cargo tanks, such that a non-flammable and non-combustible atmosphere in the tanks remains, free of any oxygen, for safety purposes.

  • IMO Cargo

    Inaccurate reference to dangerous goods, often those subject to the International Maritime Dangerous Goods [IMDG] Code.

  • IUATUTC - If Used, Actual Time Used To Count

    Term of art in respect of laytime under voyage charters. After tendering ‘notice of readiness’ a charter party may contain a period during which laytime is not to count, or may exclude certain days such as weekend days or holidays from laytime. With this provision, the actual time used for cargo operation during excluded periods should be calculated as laytime.

  • Lane Meter

    Measure of deck area on a ship - meters of drive lane with a fixed width - purpose-built for the carriage of rolling material such as cars, trucks and Mafi-trailers. Term most used for Roll-On Roll-Off (RoRo) ships. For pure car carriers, the unit of measure Car Equivalent Unit [CEU] is used.

  • Laycan

    Term used in the context of voyage charter parties to describe at which date or between which range of dates the vessel should be at the load port ready for loading, whereby the owners or master should tender Notice Of Readiness if they are in all respects ready to do so. If no Notice Of Readiness has been tendered upon expiration of the Laycan, the voyage charterer may freely cancel the charter party, subject to the terms of the charter party (usually within a preset time window).

  • Laytime

    Term used in the context of voyage charter parties to indicate the time included in the freight which the charterer may use for cargo operations. The time may be set for each load or discharge port separately (“Non-Reversible“), or may be set for the load and discharge ports combined (“Reversible“) whereby the time saved in one port may be added the total available laytime in the next port. The commencement of Laytime is triggered by the owner or master sending out a Notice of Readiness, and laytime or time on demurrage stops on completion of cargo operations. If the Laytime is exceeded, the voyage charterer becomes under the obligation to pay “Demurrage“ for the time used in excess for cargo operations. The Demurrage-rate is indicated in the voyage charter party as a fixed day rate for the vessel.

  • LCL - Less Than Container Load

    Cargo quantity less than the cargo capacity of a single container. The cargo is than grouped with other consignments of cargo, to form a full container load.

  • LCTC - Large Car & Truck Carrier

    Term used to describe a Pure Car & Truck Carrier, which can carry in excess of 8.000 Car Equivalent Units.

  • kW - kiloWatt

    Measure to indicate the power output of a combustion engine, electrical motor or generator. 1 kW is about 1.34 Horse Power [hp]

  • Master Bill of Lading

    Bill of lading for port-to-port carriage by sea, under which commonly the registered owner or bareboat charterer of the vessel is mentioned as carrier (“signed for and on behalf of the master“).

    Terms most often used in the context where multiple bills of lading are issued for the same cargo, such as Charterer’s or House Bills of Lading.

  • ME or M/E - Main Engine

    The engine(s) used for the propulsion of the vessel.

  • Monkey Island

    Deck above the bridge of a ship, where the mast, magnetic compass, radar, Voyage Data Recorder (VDR) and antennas for VHF, MF/HF, GPS and satellite communications are located.

  • MR or M/R - Mate's Receipt

    Document issued by the master or chief mate of a ship, which confirms the quantity and state of the cargo loaded as can be observed by normal human observation. These documents can be issued daily, upon loading of a certain parcel or at the end of loading. Mate’s receipts form the basis for Bills of Lading or Sea Waybills. There is no requirement to issue a Mate’s Receipt, unless the charter party stipulates this. It is good shipping practice to issue them though.

  • NAABSA - Not Always Afloat But Safely Aground

    Term used in charter parties to desribe that a port, berth or anchorage may have current and tidal fluctuations, such that the ship may safely rest on the riverbed or seabed. This requires that the bottom is comprised of soft material and free of loose hard objects such as rocks, to prevent any damages to the bottom of the vessel. Furthermore the riverbed or seabed should be horizontal, to prevent the ship from listing significantly when aground. Ships require a special class notation to be permitted to safely ground.

  • nm - Nautical Mile

    Measure to indicate distance, equals 1852 meter or 1 minute on a navigational chart.

  • Nm

    Newton-meter, measure to indicate torque.

  • NOR - Notice of Readiness

    Document used in the ambit of voyage charters, whereby an owner or master indicates to the voyage charterer that a vessel is in all respects ready for cargo operations. The document triggers the laytime provisions in the voyage charter party and the running of laytime and demurrage.

  • NT - Net Tonnage

    Calculated size assigned to a ship after new-building or conversion, on the basis of the calculation rules set out in the International Convention on Tonnage Measurement of Ships 1969 which uses the volume of the cargo compartment(s) of a ship as main factor in the equation. The net tonnage is reflected on the ‘Tonnage Certificate’.

  • NTC - Not To Count

    Term used in the context of laytime calculations under voyage charter parties, to indicate that a certain period does not count as laytime.

  • NUC - Not Under Command

    Term used in the context of collision regulations to describe a vessel which is unable to maneuver. A vessel ‘not under command’ should display 2 black balls vertically above each other by day, or two all-round red lights by night to indicate this inability to maneuver.

  • Ocean Bill of Lading

    Bill of lading for port-to-port carriage by sea, under which commonly the registered owner or bareboat charterer of the vessel is mentioned as carrier (“signed for and on behalf of the master“).

  • Off-hire

    Term used in the context of time or bareboat charter parties, to describe an exception to the obligation by the charterer to pay hire to the owners. This may arise when the vessel is unable to perform a voyage or conduct cargo operations due to a malfunction of the vessel, or due to time required for repairs and maintenance for which the owners are responsible.

  • OOG - Out Of Gauge

    Term used in container shipping to indicate that the cargo on a flatrack or open top container is larger than the standard size of a container, as a consequence of which the container slots adjacent to or above the container cannot be utilised for other containers. For such cargo a surcharge is payable on the freight.

  • OS or O/S - Ordinary Sailor

    Sailor who may only perform general duties on board, but no duties in relation to watchkeeping. Reports to the Bosun.

  • OT - Open Top (Container)

    Term used in container shipping to indicate that the container has an open top, from which cargo may protrude above the top of the frame of the container. When no other containers can be stowed on top of the container, the container has to be stowed on the top of the stack or the slots above should remain empty. For such cargo a surcharge is payable on the freight.

  • Panamax

    A vessel with the maximum dimensions to pass through the Panama Canal.

    Prior to expansion of the canal, the maximum dimensions for a vessel to pass the canal were 294 meter Length Over All, 32 meter Breadth Over All and a maximum draft of 12 meter in Tropical Fresh Water (TFW).

    After the 26th of June 2016 when the expansion of the canal was completed, the maximum dimensions for a vessel transiting through the canal have increased to 366 meters Length Over All, 49 meters Breadth Over All and a maximum draft of 15.2 meters in tropical freshwater (TFW). This is referred to as Neo-Panamax or New Panamax.

  • PCC - Pure Car Carrier

    Vessel custom built for the carriage of smaller vehicles.

  • FCL - Full Container Load

    Cargo quantity loaded into a single container, without adding other consignments of cargo

  • PCTC - Pure Car & Truck Carrier

    Vessel constructed for the carriage of cars and trucks only and is a specialised version of a Roll-On Roll-Off ship.

  • PFHS - Provisional Final Hire Statement

    The draft of the closing account between owners and charters just before or shortly after redelivery of a vessel under a time or bareboat charter.

  • POC - Port of Call

    Port where a vessel will stop for cargo operations or bunkering.

  • PSV - Platform Supply Vessel

    Ship purpose-built to resupply offshore platforms at sea.

  • Pump rate

    The volume which a pump can displace per time unit, usually provided in cubic meter per hour [cbm/hr]. Often used in relation the load and discharge rate of tankers, the speed in relation to ballasting or bunkering operations or the capacity of onboard fire fighting systems.

  • RADAR - Radio Aided Detection And Ranging

    Means to measure azimuth and distance from objects reflecting radio waves. For commercial maritime application radio waves of 3 and 10 cm are used, for detection of objects at short (< 3nm) to mid-range (< 12 nm) distances.

  • Reachable On Arrival

    Term used in charter parties, whereby the charterer warrants that the vessel can at all times reach from the place where cargo operations are conducted, irrespective of congestion, tidal differences or other occurrences. This term is especially relevant in the context of voyage charter parties, where the voyage charterer may become liable for detention if delays are incurred before or after the running of Laytime. Differs from ‘Always Accessible’, which sees to departure as well.

  • Reefer (container)

    Container for temperature or ventilation controlled transports.

  • Reefer (ship)

    Ship with cargo holds for specillised temperature controlled transports.

  • SA - Safe Anchorage

    Warranty provided by the charterer to an owner under a charter party, that a vessel can safely reach, reside at and depart from an anchorage, and without getting damaged by dangers which cannot be avoided by good navigation or good seamanship.

  • SB - Safe Berth

    Warranty provided by the charterer to an owner under a charter party, that a vessel can safely reach, reside at and depart from a berth, and without getting damaged by dangers which cannot be avoided by good navigation or good seamanship.

  • SBM - Single Buoy Mooring

    Mooring buoy in open seas or in an estuary, where a tanker can moor to load liquids or gasses from a (floating) cargo line.

  • SDBC - Single Decker Bulk Carrier

    Abbreviation used in ship’s descriptions, to indicate a bulk carrier has open holds without tween decks.

  • SF - Stowage Factor

    Indicator for the amount of tons of cargo which can be loaded in a certain volume of hold space, often described in metric tons [T] per cubic meter [cbm] or in metric tons [T] per cubic feet [cbft]. The stowage factor [T/cbm] can be easily calculated by dividing 1 by the cargo density in metric tons [T] per cubic meter [cbm]. The stowage factor is especially relevant for ‘volume cargoes’, whereby the total cargo volume of the holds in a ship is the limiting factor for the quantity of cargo which can be carried, instead of the maximum draft or available deadweight.

  • Shackle

    Term used to describe the length of an anchor chain, and equals 15 fathoms, which is in practice rounded off to 27,5 meter. The number of shackles is often marked on the anchor chain with paint.

  • SOG - Speed Over Ground

    The speed in knots, between two geographic points on earth or plotted on a navigation chart. It is the Speed (Through the Water) corrected for the influences of wind drift and current. In practice the Speed Over Ground is indicated by a GPS. The Speed Over Ground indicated on a GPS may be inaccurate if a vessel is laying idle, or is barely making way.

  • SP - Safe Port

    Warranty provided by the charterer to an owner under a charter party, that a vessel can safely reach, reside at and depart from a port, and without getting damaged by dangers which cannot be avoided by good navigation or good seamanship.

  • Spent Bill of Lading

    A bill of lading which becomes ‘null and void’, after it is presented by the rightful holder (Shipper or Consignee) to the carrier and the cargo has been delivered. The term ‘spent’ sees only to delivery of the cargo, and not to claims for damages which the parties may have towards each other under the bill of lading. Misdelivery of a cargo to a party who is not a rightful holder of the bill of lading, does not cause the bill of lading to become spent.

  • SPM - Single Point Mooring

    See: Single Buoy Mooring [SBM]

  • SSCV - Semi-Submersible Crane Vessel

    Ship with heavy-lift crane, which can ballast down for increased stability.

  • Stack weight

    Term used in container shipping to indicate the maximum weight a stack of containers may have.

  • Sub or Subs - Subject(s)

    Important term to indicate during charter party negotiations that certain preconditions need to be met before the contract will be concluded or Firm. Once these preconditions have been met, the Subjects are Lifted, and the vessel becomes Firmly Fixed (i.e. the contract is concluded).

  • T - Tiefgang

    German word for Draft

  • TCPA - Time to Closest Point of Approach

    Time until the closest passing distance between to vessels is reached, as calculated by an Automated Radar Plotting Aid on a RADAR.

  • THSD - Trailing Hopper Suction Dredger

    Type of dredging vessel dedicated for use in sand, clay and gravel, which trails a suction head underneath the vessel to fill up its hopper tanks with dredged material.

  • TEU - Twenty-Foot Equivent Unit

    Reference to a standard ISO 20 foot shipping container of 20 x 8 x 8 ft. Often used in the context of indicating the carrying capacity of a ship fitted for the carriage of containers.

  • TT - Turn Time

    Term of art in relation to laytime under voyage charters. It is a period of time agreed in a charter party, prior to counting laytime, during which the vessel awaits its turn for loading or discharging or the vessel is prepared for such operations. Often a fixed time period. Where ‘turn time’ has been agreed, this time is effectively paid for by the voyage charterer in the freight.

  • UCE - Unforeseen Circumstances Excepted

    Term used to disculpate the user if circumstances change. For example used when providing an Estimated Time of Arrival.

  • UKC - Under Keel Clearance

    The difference between the draft of the vessel and the available water depth. Distinction is made between static and dynamic Under Keel Clearance. For the latter, the Under Keel Clearance is adjusted for the effects of squat, rolling and wave motion.

  • UMS - Unattended Machinery Space

    Term of art in respect of ship’s classification, which indicates that the engine room does not need to be manned full-time but is equipped with class-approved monitoring and alarm system which permits remote watch-keeping by onboard engineers.

  • UTC - Universal Time Coordinated

    The worldwide standard time, as applicable in the Greenwich Mean Time [GMT] zone.

  • UU - Unless Used

    Term used in the context of laytime provisions in voyage charter parties, to include an additional period into laytime where cargo operations are actually conducted. This may concern a period used for cargo operations in advance of laytime commencing, or cargo operations being conducted during periods otherwise being excluded from laytime (e.g. during a Saturday, Sunday or holiday).

  • UW - Underwater

    Term used in the context of inspections or repairs below the waterline of a ship.

  • UW - Unwelding

    Term used in the context of project cargoes, to indicate which party is responsible for the costs of removing any lashing material welded onto the ship.

  • VAS - Value Added Services

    Term used in logistics to indicate a wide variety of additional services which go beyond the carriage and storage of goods, e.g. packing cargoes or services related to custom clearing the goods.

  • VSA - Vessel Sharing Agreement

    Agreement in which multiple container lines form an alliance to set up a liner service, whereby each container line makes a number for vessels available for this service and each container line has a space allocation on every vessel and for every sailing in the liner service.

  • VLCC - Very Large Crude Carrier

    A tanker with a deadweight in excess of 200.000 ton custom built for the carriage of crude oil.

  • VLOC - Very Large Ore Carrier

    A bulk carrier with a deadweight in excess of 200.000 ton custom built for the carriage of ores.

  • WOG - Without Guarantee

    Term used to disculpate the user, e.g. when a description is provided which proves to be inaccurate at a later stage.

  • WBT - Water Ballast Tank

    General reference to a ballast tank on board a ship, which is used control stability, trim and draft, and sheer forces and bending moments in a ship.

  • WP - Weather Permitting

    Term used to disculpate the user if circumstances change caused by weather. For example used when providing an Estimated Time of Arrival.

    Can be confused with ‘WP‘ as abbreviation for ‘without prejudice’.

  • WP - Without Prejudice

    Without prejudice is a legal term of art, especially well established in the United Kingdom. Under English law, correspondence marked ‘without prejudice’ may not be put forward as evidence as part of legal proceedings, if it is correspondence conducted with the (sole) aim to solve and/or settle a dispute.
    The rationale is that parties can in the course of such ‘concealed’ negotiations take more liberty to correspond openly about a case, admit responsibility for certain elements of a case or put forward settlement offers, if such correspondence is inadmissible before a Court or Arbitration Tribunal should a solution between the parties not be found. This benefits the process of out-of-court dispute resolution. Such correspondence may not be considered as legally binding or as admission of liability if the case does not settle, and the case is referred to court or arbitration at a later stage. The legal proceedings are then conducted ‘as if’ the correspondence had not taken place and the parties retain their full liberty to argue their case, unhindered by the contents of this correspondence.
    There is - also in the United Kingdom - a tendency to (heavily) overuse this term, which negatively affects its effectiveness, because a Court may review what correspondence they consider ‘without prejudice’ if the term is used inappropriately to keep all or most correspondence as non-binding and non-admissible in legal proceedings. The term should be used with the purpose of dispute resolution, and not on all correspondence.
    If a case is settled in ‘without prejudice’-correspondence, it is good practice to send the final agreement after negotiations in open correspondence - i.e. not marked ‘without prejudice’ - to the other party, such that is admissible in legal proceedings and the settlement becomes enforceable.
    In most other countries, this specific doctrine does not exist as part of local law, and there the term ‘without prejudice’ is used loosely to indicate that the rights are reserved to put forward counter-evidence or counter-arguments in legal proceedings in relation to documents or correspondence marked ‘without prejudice’. This means the effectiveness of the term ‘without prejudice’ is limited and uncertain in most countries, and it should be used with caution as e.g. a document signed ‘without prejudice’ may still be considered as legally binding, or correspondence marked ‘without prejudice’ may still be admissible as evidence as part of legal proceedings.

  • WS - World Scale

    Price index for the freight rate in USD per ton, for use with tanker (voyage) charter parties. The price is set annually for a standardised tanker performing a standardised voyage, and on this basis the standard freight rate for 320.000 voyages can be calculated. The index number for a specific voyage is considered as 100% of Worldscale [WS100] and called the World Scale Flat rate. The market rate is then indicated as a percentage of the Worldscale, e.g. WS60 is 60% Worldscale and WS120 is 120% Worldscale.

  • WWWW - WIBON, WIPON, WCCON, WIFPON

    The abbreviation to include the 4 terms Whether In Berth Or Not [WIBON], Whether In Port Or Not [WIPON], Whether Customs Cleared Or Not [WCCON] and Whether In Free Pratique Or Not [WIFPON]. See individual terms for more detailed descriptions.

  • Z - Zulu

    When used in reference to time, Z is a reference to Universal Time Coordinated [UTC], i.e. the standard time applicable in the Greenwich Mean Time zone.