Grade 12 – Maritime Economics

November 29, 2016

Incoterms, especially in the context of container shipping

What are Incoterms? Incoterms were drawn up by the International Chamber of Commerce. They are internationally recognised for all foreign cargo shipments. An incoterm refers to the following Costs: It identifies who is responsible for the expenses (shipping costs, insurance, customs duties, storage, etc) involved in a shipment from a […]
November 29, 2016

Test Yourself

A South African mining company wants to export 900 000 tons of coal to China via Richards Bay. In negotiations with the Chinese importer, the mining company agrees to instruct the shipbroker to arrange that the coal is shipped FOB. Who is the shipper – the mining company or the Chinese […]
November 29, 2016

Marine Insurance

To replace a ship or to repair damage to a ship can cost a lot of money, even millions of dollars. Similarly, to replace damaged or lost cargo (which in some cases can be of higher value than the ship) can also be very expensive, while the consequences of a […]
November 29, 2016

Test Yourself

  On her voyage from Brisbane (Australia) to Mombasa (Kenya), the bulker Sea Master (value $36 million) hits a drifting container that makes a small hole below the waterline in number one hold that becomes flooded. She diverts to Darwin (Australia) where repairs are carried out. The value of the […]
November 29, 2016

Ship Chartering and Laytime Calculations

This section assumes that you have a knowledge of Ship Chartering as covered in teh Grade 11 modules. In most voyage charter parties, loading and discharge times are stipulated (e.g. 72 hours or 38 hours, etc.). This time period is called laytime. If the cargowork takes more time than the […]