Maritime Shipping Markets and Vessel Operations

Introduction and Context

Maritime transport carries the great majority of internationally traded goods by volume. It connects producers, manufacturers, commodity markets, ports, inland transport systems and consumers. Shipping is not a single industry with one operating model. A container liner carrying scheduled cargo between named ports is commercially and operationally different from a bulk carrier hired to move one cargo between two unspecified ports, a tanker transporting liquid cargo, or a ro-ro vessel carrying wheeled equipment.

Understanding these differences is essential for freight forwarders, exporters, importers, shipbrokers, port managers and trade-finance professionals. Vessel selection affects freight cost, transit time, cargo safety, documentation, emissions, insurance and contractual risk. This chapter explains the principal shipping markets, vessel categories and operating decisions that determine how maritime transport is organised.

Learning Objectives

By the end of this chapter, the learner should be able to:

1. Distinguish liner, tramp, bulk and specialised shipping markets.
2. Classify major vessel types and match them to cargo requirements.
3. Interpret sailing schedules, port calls and service reliability.
4. Explain vessel capacity, stowage and cargo-utilisation constraints.
5. Describe voyage, time and bareboat chartering.
6. Explain the main phases of shipping-market cycles.
7. Apply operational, commercial, regulatory and ethical considerations to a shipping decision.

1. The Structure of Maritime Shipping Markets

1.1 Liner shipping

Liner shipping provides a published service between designated ports according to a regular timetable. The most visible example is container shipping. A carrier may advertise weekly sailings from an Asian load port to a European discharge port, often through a hub. Cargo from many shippers is consolidated on the same vessel, and customers generally book space rather than chartering the whole ship.

Important characteristics include:

• scheduled departures and port rotations;
• standardised equipment, especially containers;
• published or contract-based service terms;
• acceptance of many small consignments;
• hub-and-spoke networks and transshipment;
• revenue management based on space, equipment and expected demand.

A liner schedule is a commercial promise, not an absolute guarantee that a vessel will arrive at every port at the advertised time. Weather, congestion, labour disruption, mechanical failure, canal restrictions and omissions or changes to port rotation can alter the actual service.

1.2 Tramp shipping

Tramp shipping has no fixed public timetable. Vessels are employed according to cargo opportunities and negotiated fixtures. A shipowner or operator may accept a voyage from one available port to another, then seek the next employment. Dry-bulk, tanker and project-cargo markets commonly use this model.

Tramp operations are more flexible than liner services but expose owners and charterers to market volatility. A vessel may be repositioned empty, or “in ballast”, to reach the next loading area. The commercial objective is to maximise earnings after considering freight, fuel, port costs, canal charges, commissions, time and operational risk.

1.3 Bulk shipping

Bulk shipping transports unpackaged homogeneous cargoes. Dry bulk includes iron ore, coal, grain, bauxite, fertiliser and cement. Liquid bulk includes crude oil, refined petroleum products, chemicals and liquefied gases. Bulk cargoes are normally loaded directly into cargo holds or tanks rather than packed into individual packages.

Bulk shipping is often arranged through voyage charters, contracts of affreightment or spot-market fixtures. Cargo quantity is usually large enough to use a substantial part or all of the vessel. Cargo properties—density, moisture, flowability, contamination risk, heating, corrosion and hazard classification—strongly influence vessel selection.

1.4 Specialised shipping

Specialised shipping serves cargoes requiring unusual equipment, handling or regulatory controls. Examples include:

• liquefied natural gas (LNG) carriers;
• liquefied petroleum gas (LPG) carriers;
• chemical tankers with segregated tanks;
• refrigerated vessels and reefer containers;
• vehicle carriers and ro-ro ships;
• heavy-lift and multipurpose vessels;
• offshore supply vessels;
• livestock carriers;
• cement carriers and asphalt tankers.

Specialisation can create higher earnings because fewer vessels can provide the service. It also creates higher technical, capital and compliance requirements. A chemical tanker, for example, must manage cargo compatibility, tank coatings, segregation, vapour control and emergency response.

1.5 Main differences between markets

2. Vessel Classification and Cargo Matching

Vessel classification is based on function, cargo, design, size and propulsion. Commercial names may vary between companies, and size bands are approximate rather than universal.

2.1 Container ships

Container ships carry standardised intermodal containers, commonly 20-foot and 40-foot units. Cargo is secured in cell guides or with lashing systems. Their operating performance depends on container slots, crane productivity, terminal compatibility, fuel consumption and network rotation.

A vessel's nominal capacity is commonly expressed in TEU (twenty-foot equivalent units). A 40-foot container counts as two TEU, although physical weight, reefer plugs, dangerous-goods rules and vessel stability may prevent full nominal utilisation.

2.2 Dry-bulk carriers

Dry-bulk vessels include handy-size, supramax, panamax, kamsarmax, ultramax, capesize and larger classes. The names often indicate trade-route or canal constraints rather than a universal engineering standard. Bulk carriers use large holds and cargo-handling arrangements suited to commodities. Their safe operation requires attention to cargo trimming, moisture, liquefaction risk, hold cleanliness and loading stresses.

The International Maritime Solid Bulk Cargoes (IMSBC) Code classifies and regulates solid bulk cargoes. Cargoes that may liquefy are particularly dangerous if transported above their transportable moisture limit.

2.3 Tankers

Tankers carry liquid cargo in segregated tanks. Major categories include crude-oil tankers, product tankers, chemical tankers and parcel tankers. Tankers must manage loading rates, pressure, vapour, tank cleaning, contamination, static electricity and pollution prevention. Oil tankers are subject to extensive requirements under MARPOL Annex I, while chemical cargoes are addressed through applicable dangerous-goods and chemical-carriage rules.

2.4 Gas carriers

LNG and LPG carriers transport gases in liquefied form under low temperature, pressure, or both. Cargo containment systems, boil-off gas management, insulation and terminal compatibility are central operational issues. These vessels require specialist crews, emergency procedures and compatible loading arms and shore systems.

2.5 Ro-ro, vehicle and ferry vessels

Ro-ro vessels load wheeled cargo through ramps. They are efficient for vehicles, trailers, construction equipment and rolling industrial cargo. Cargo securing is critical because vehicle movement and lashing failure can create severe stability and safety risks. Car carriers use multiple decks and are designed around vehicle dimensions and ramp operations.

2.6 General-cargo, multipurpose and heavy-lift vessels

General-cargo ships carry packaged, breakbulk and project cargoes. Multipurpose vessels may combine cranes, strengthened decks, box-shaped holds and container capability. Heavy-lift ships require detailed engineering of lifting points, deck strength, stability, structural loads and route restrictions. Cargo plans often need approval by the master, classification society or specialist engineers.

2.7 Refrigerated cargo

Temperature-sensitive goods may be carried in integral reefer containers or dedicated refrigerated ships. The shipper must specify the temperature range, ventilation, humidity or controlled-atmosphere requirements and acceptable excursion limits. A reefer container can have adequate machinery yet still suffer cargo damage if pre-cooling, power supply, airflow or data monitoring is inadequate.

3. Schedules, Port Calls and Voyage Execution

3.1 Reading a sailing schedule

A schedule normally identifies the vessel or service, voyage number, port rotation, estimated time of arrival (ETA), estimated time of departure (ETD), cut-off times and transit information. Commercial users should distinguish:

• ETA: expected arrival at a port;
• ETB: expected time of berthing;
• ETD: expected departure;
• transit time: elapsed time between defined ports, often subject to stated assumptions;
• cut-off: latest time for receiving documentation or cargo at a terminal;
• transshipment: transfer from one vessel to another;
• blank sailing: a planned omission of a scheduled sailing or port call.

The booking cut-off is not necessarily the terminal gate cut-off. Documentation, customs, verified gross mass and dangerous-goods declarations may have separate deadlines.

3.2 The port call

A port call is the period during which a vessel arrives, is serviced and departs. Typical activities include pilotage, tug assistance, mooring, immigration and customs formalities, cargo operations, bunkering, stores, waste reception, inspection and documentation.

A simplified port-call time relationship is:

Here, T_port is total port-call time; T_wait is waiting time before berthing; T_berth is time associated with berth occupation; T_cargo is loading or discharging time; T_service includes bunkering, stores, inspections and other services; and T_departure includes unmooring and pilotage. The terms may overlap in practice, so the equation is a planning decomposition, not necessarily an additive accounting identity.

Port productivity is often expressed as moves per hour for containers or tonnes per hour for bulk cargo. Higher productivity reduces vessel time in port, but the practical result depends on crane availability, hatch changes, cargo sequencing, labour, weather and yard readiness.

3.3 Sailing time and speed

For a simplified voyage, sailing time is:

where T_sail is sailing time, D is distance, and v is average speed. Distance and speed must use compatible units. If distance is in nautical miles and speed is in knots, the result is in hours because one knot equals one nautical mile per hour. Actual passage time also includes weather, traffic separation schemes, speed restrictions, routing, current and fuel-saving instructions.

A complete voyage estimate should include loading, discharge, port waiting, canal transit, bunkering, weather allowance and possible schedule recovery. “Transit time” therefore requires a defined start and end point.

4. Capacity, Stowage and Cargo Utilisation

4.1 Dimensions of vessel capacity

Vessel capacity is multidimensional. Important measures include:

• deadweight tonnage (DWT): the weight a vessel can safely carry, including cargo, fuel, freshwater, stores, crew and provisions, subject to the relevant loading condition;
• gross tonnage (GT): a dimensionless measure based on the moulded volume of enclosed spaces, used for regulatory and administrative purposes;
• net tonnage (NT): a dimensionless measure related to useful earning space under the tonnage convention;
• TEU capacity: nominal container-slot capacity;
• cubic capacity: available volume, often expressed in cubic metres or cubic feet;
• draft and air draft: limits imposed by water depth, bridges, channels and terminals.

DWT is not the same as cargo capacity. Fuel, ballast, freshwater and stores consume part of the deadweight. Similarly, a ship may have unused TEU slots because of weight limits, stability, dangerous-goods segregation, reefer requirements or the distribution of containers.

4.2 Stowage factor

Stowage factor expresses the volume occupied by a unit mass of cargo:

where SF is stowage factor, V is cargo volume and W is cargo mass. If volume is in cubic metres and mass in tonnes, the unit is m³/t. A low stowage factor indicates dense cargo; a high stowage factor indicates voluminous cargo.

The formula applies to the stated cargo condition and should account for packaging, pallets, dunnage and practical voids where relevant. It does not by itself prove that cargo can be safely loaded: stability, strength, segregation, access and securing remain necessary checks.

Worked example. A consignment weighs 2,400 tonnes and occupies 3,600 m³ including packaging. Its stowage factor is:

SF = 3,600 ÷ 2,400 = 1.5 m³/t

If the vessel has 3,000 tonnes of available cargo deadweight and 4,000 m³ of suitable volume, the cargo is weight-limited at 3,000 tonnes only if sufficient cargo is available; the volume needed for 3,000 tonnes would be 4,500 m³, exceeding the available volume. Thus, for this cargo and hold space, volume becomes the binding constraint at 4,000 ÷ 1.5 = 2,666.7 tonnes, before safety and operational allowances.

4.3 Stowage planning

A stowage plan must achieve safe distribution of weight and cargo while supporting efficient discharge. It considers longitudinal strength, shear forces, bending moments, trim, stability, visibility, lashing, segregation, temperature, contamination, access and port sequence.

Container planning additionally considers verified gross mass, stack weights, lashing limits, reefer plugs, dangerous-goods separation and the risk of restows. Bulk loading plans must control loading rates and sequence to avoid excessive structural stress. Tanker plans must maintain segregation and comply with loading limits and pressure controls.

5. Chartering Basics

Chartering is the contractual employment of a vessel. A charter party sets out commercial, operational and legal rights and duties. The parties commonly include an owner, charterer, shipbroker, cargo interest and sometimes a ship manager or operator.

5.1 Voyage charter

Under a voyage charter, the owner provides the vessel for a specified cargo movement between agreed ports. Freight is commonly expressed per tonne or as a lump sum. The owner usually bears voyage costs such as fuel and port charges, subject to the contract. Key clauses cover laytime, demurrage, despatch, notice of readiness, safe ports, cargo quantity, loading and discharge rates, exceptions and force majeure.

Laytime is the agreed time allowed for cargo operations. Demurrage is compensation payable when the charterer exceeds allowed laytime, subject to the charter party. Despatch, if agreed, may reward completion sooner than allowed time. The exact legal effect depends on the contract and applicable law.

5.2 Time charter

Under a time charter, the charterer hires the vessel for a period or a number of voyages and pays hire, commonly per day. The owner normally provides the vessel, crew and technical management. The charterer directs commercial employment and generally pays bunkers and port charges. Off-hire clauses address periods when the vessel is unavailable because of breakdown, deficiency or other specified causes.

Time chartering transfers more voyage and market exposure to the charterer than voyage chartering, but it provides greater control over employment and scheduling.

5.3 Bareboat charter

A bareboat, or demise, charter transfers possession and operational control to the charterer. The charterer generally provides crew, maintenance, insurance and technical management for the charter period. It resembles a lease and requires substantial managerial capability and financial commitment.

5.4 Chartering workflow

A typical fixture process is:

1. define cargo, ports, quantity, timing and vessel requirements;
2. circulate an enquiry through owners or brokers;
3. compare freight, hire, route, vessel suitability and contractual terms;
4. negotiate main terms, known as recapitalised or “recap” terms;
5. conduct sanctions, ownership, insurance and compliance checks;
6. execute the charter party;
7. nominate vessel and coordinate cargo operations;
8. monitor performance, laytime and claims.

Due diligence should include vessel age and condition, class status, flag, insurance, detention history, sanctions exposure, beneficial ownership, environmental performance and compatibility with the intended cargo and ports.

6. Shipping-Market Cycles

Shipping markets are cyclical because vessel supply responds slowly while cargo demand can change quickly. Newbuilding orders may take years to deliver, whereas commodity demand, trade restrictions, harvests, industrial production and geopolitical events can change within months.

A simplified cycle contains four overlapping conditions:

1. Trough or weak market: low freight and asset values, surplus tonnage, slow steaming, lay-up or demolition.
2. Recovery: improving cargo demand, falling idle tonnage and increasing utilisation.
3. Peak or boom: tight capacity, high freight, strong second-hand prices and increased ordering.
4. Correction: deliveries of previously ordered vessels create oversupply, reducing utilisation and rates.

The market is not governed by a perfectly regular clock. Fleet age, environmental regulation, fuel prices, financing, canal restrictions, port congestion and technological change can alter the timing and severity of cycles.

A useful conceptual relationship is that freight rates tend to rise when effective demand grows faster than available transport supply. Effective supply is influenced not only by fleet size but also by speed, port delays, congestion, sanctions, canal access and vessel availability. Consequently, two years with similar cargo volumes may produce different freight rates.

Shipowners make decisions about ordering, scrapping, slow steaming and chartering under uncertainty. Ordering too aggressively at a market peak can create oversupply when new ships deliver. Delaying renewal may reduce capital risk but increase fuel consumption, maintenance and regulatory exposure.

7. Regulatory, Safety and Environmental Governance

Maritime operations are governed by international conventions, flag-state rules, port-state control and national legislation. The International Maritime Organization (IMO) instruments most relevant to ordinary commercial operations include:

• SOLAS, concerning safety of life at sea;
• MARPOL, concerning prevention of pollution;
• the ISM Code, concerning safety-management systems;
• the ISPS Code, concerning ship and port security;
• the STCW Convention, concerning training, certification and watchkeeping;
• the IMDG Code, concerning dangerous goods in packaged form;
• the IMSBC Code, concerning solid bulk cargoes;
• the Ballast Water Management Convention.

The International Safety Management system requires companies to establish documented procedures, responsibilities, emergency preparedness, reporting and continuous improvement. Compliance is not merely a paperwork exercise: inaccurate cargo declarations, unsafe shortcuts or manipulated records can endanger crews, cargo, ports and the marine environment.

Environmental performance is increasingly commercial as well as regulatory. Fuel choice, energy efficiency, operational carbon intensity, slow steaming, voyage optimisation, hull maintenance, shore power and alternative fuels affect cost and market access. Decarbonisation creates uncertainty because ammonia, methanol, LNG, biofuels, batteries and efficiency technologies have different safety, infrastructure and lifecycle-emission profiles.

Ethical practice requires truthful cargo descriptions, accurate weights, respect for crew welfare, anti-corruption controls, responsible sanctions screening and avoidance of unsafe ports or cargo instructions. A low freight quote is not professionally acceptable if it depends on concealed hazards or unlawful evasion.

8. Technology and Data in Vessel Operations

Modern shipping uses electronic charts, automatic identification systems, voyage-planning software, terminal operating systems, container tracking, electronic bills of lading, sensor networks and remote monitoring. Data can improve ETA prediction, fuel management, berth planning and exception handling.

Artificial intelligence may assist with demand forecasting, predictive maintenance, weather routing and documentation validation. However, AI outputs depend on data quality and should not replace the master’s navigational authority, engineering judgement, contractual review or regulatory accountability. Cybersecurity is essential because connected ship and port systems can be disrupted by ransomware, spoofing or unauthorised access. Access control, patching, backups, incident response and crew training are core controls.

9. Applied Case: Selecting Transport for an Industrial Export

This is an illustrative case.

Background

An Indian engineering manufacturer must export 18,000 tonnes of bagged and palletised equipment to three European ports over six months. Some cargo is standard containerisable machinery; other units are oversized and require lifting points. The buyer values predictable delivery but cannot justify a dedicated vessel for every shipment.

Problem

The exporter must choose between regular liner bookings, a multipurpose vessel under voyage charter, or a mixed solution. Risks include port compatibility, cargo damage, transshipment delay, insufficient lifting capacity and schedule uncertainty.

Analysis

A liner service offers frequency, container tracking and established documentation. It is suitable for standard units that fit containers and can meet terminal cut-offs. Oversized units may incur out-of-gauge charges, require special equipment and face limited sailing availability.

A voyage-chartered multipurpose vessel can carry project units and general cargo together. It may reduce handling and transshipment, but the exporter would bear greater responsibility for assembling a full cargo programme and negotiating a charter party. Port rotation and crane capability must be checked carefully.

The engineering team prepares a cargo list containing dimensions, mass, centre of gravity, lifting points, packaging, hazardous materials and discharge sequence. The logistics team checks terminal berth depth, crane safe working load, maximum air draft, road permits and inland delivery capacity.

Approach and solution

The company selects a mixed strategy. Standard machinery moves on a weekly liner service in containers. Oversized units are consolidated into two planned multipurpose-vessel voyages under voyage charters. The charter parties specify safe ports, nominated gear, lifting plans, cargo-securing responsibility, laytime, demurrage, insurance and documentary requirements.

Before fixing the charters, the company conducts sanctions screening, verifies the vessel’s class and insurance, checks crane certificates and obtains preliminary stowage approval. A shared dashboard compares ETA, terminal readiness, customs status and inland transport capacity.

Outcome

The mixed solution reduces unnecessary charter capacity while avoiding repeated transshipment of oversized cargo. The main operational improvement is not simply a lower freight rate; it is better matching of cargo characteristics to vessel capability and service reliability.

Learning points

1. The cheapest nominal freight rate may not produce the lowest total logistics cost.
2. Vessel choice must reflect dimensions, mass, handling and discharge sequence.
3. Liner reliability and charter flexibility solve different problems.
4. Contract terms, compliance checks and cargo data are as important as vessel price.
5. A multimodal decision should include port and inland constraints, not only the sea leg.

10. Best-Practice Checklist

Before booking or chartering, a logistics professional should confirm:

• cargo description, mass, dimensions, volume and hazard status;
• required delivery window and acceptable schedule variability;
• vessel type, capacity, class, flag and cargo compatibility;
• port depth, berth, crane, ramp, storage and gate constraints;
• loading sequence, stowage, securing and segregation requirements;
• freight, hire, bunker, port, canal and ancillary charges;
• laytime, demurrage, documentation and claims provisions;
• insurance, sanctions, anti-bribery and beneficial-ownership checks;
• emissions, fuel and environmental requirements;
• contingency plans for congestion, weather, breakdown and missed connections.

Chapter Summary

Maritime shipping consists of distinct markets. Liner shipping offers scheduled network services, while tramp shipping employs vessels flexibly according to cargo opportunities. Bulk shipping moves unpackaged homogeneous commodities, and specialised shipping provides technical capability for cargoes such as gas, chemicals, vehicles, refrigerated goods and project equipment.

Vessel classification must be linked to cargo properties, capacity, port constraints and safety requirements. Schedules contain ETA, ETB, ETD, cut-offs and transshipment information, but actual performance is affected by congestion, weather, port productivity and operational disruption. Vessel capacity includes DWT, tonnage, TEU, volume and draft; these measures are not interchangeable. Stowage factor helps identify whether a cargo is limited by volume or weight, but safe stowage also requires stability, strength, segregation and securing analysis.

Voyage, time and bareboat charters allocate control, cost and risk differently. Charter parties regulate freight or hire, laytime, demurrage, safe ports, cargo obligations and performance. Shipping markets move through weak, recovery, peak and correction conditions because demand changes faster than vessel supply. Finally, safe and ethical shipping depends on international regulation, accurate information, competent people, environmental responsibility, cybersecurity and professional due diligence.

Key Terms

Liner shipping: Scheduled maritime service between designated ports.

Tramp shipping: Flexible vessel employment without a fixed public timetable.

Bulk cargo: Unpackaged homogeneous cargo carried in holds or tanks.

Specialised shipping: Transport designed for cargo requiring unusual equipment or controls.

TEU: Twenty-foot equivalent unit used to express container capacity.

Deadweight tonnage: Maximum safe weight carried by a vessel, including cargo and supplies.

Gross tonnage: Dimensionless measure based on enclosed vessel volume.

Stowage factor: Cargo volume occupied per unit of cargo mass.

Port call: A vessel’s arrival, service period and departure at a port.

ETA: Estimated time of arrival.

ETD: Estimated time of departure.

Transshipment: Transfer of cargo between vessels at an intermediate port.

Voyage charter: Charter for a specified cargo movement between agreed ports.

Time charter: Hire of a vessel for a period or voyages at an agreed daily rate.

Bareboat charter: Charter transferring possession and operational control to the charterer.

Laytime: Contractual time allowed for cargo operations.

Demurrage: Contractual compensation for exceeding allowed laytime.

Slow steaming: Operating a vessel at reduced speed to save fuel and emissions.

Port-state control: Inspection of foreign ships by authorities of the port state.

Charter party: Contract governing the employment of a vessel.

Review Questions

Short Answer Questions

1. What is the principal commercial difference between liner and tramp shipping?
2. Define deadweight tonnage and explain why it is not equal to cargo capacity.
3. What information is conveyed by ETA and ETD?
4. What is a stowage factor?
5. Distinguish a voyage charter from a time charter.

Long Answer Questions

1. Explain the characteristics, advantages and risks of liner, tramp, bulk and specialised shipping.
2. Describe the principal vessel types used for containers, dry bulk, liquid bulk, gas, ro-ro and project cargo.
3. Explain the activities and sources of delay in a port call.
4. Discuss how capacity, stowage, stability and cargo characteristics influence vessel utilisation.
5. Explain shipping-market cycles and the factors that can accelerate or weaken them.

Analytical / Application Questions

1. An exporter has dense mineral cargo and limited terminal depth. Which vessel and chartering considerations should be analysed before fixing transport?
2. A container service has a weekly schedule but frequent transshipment. Analyse the trade-off between frequency, reliability, cost and network flexibility.
3. A shipowner is considering ordering vessels during a period of exceptionally high freight rates. Use shipping-cycle logic to evaluate the commercial risks and recommend information that should be reviewed before making the decision.

Multiple Choice Questions with Answers

Question 1

Which feature most clearly distinguishes liner shipping from tramp shipping?

A. Liner shipping uses only liquid-bulk vessels.

B. Liner shipping operates a published, repeated service schedule.

C. Liner shipping never carries containerised cargo.

D. Liner shipping transfers all voyage risk to cargo owners.

Correct Answer: B. Liner shipping operates a published, repeated service schedule.

Question 2

A 40-foot container is conventionally counted as how many TEU?

A. 0.5 TEU

B. 1 TEU

C. 2 TEU

D. 4 TEU

Correct Answer: C. 2 TEU

Question 3

Which cargo is most directly associated with the IMSBC Code?

A. Packaged consumer electronics

B. Solid bulk cargoes

C. Passenger luggage

D. Empty containers

Correct Answer: B. Solid bulk cargoes

Question 4

A voyage is 1,200 nautical miles and the vessel’s average speed is 12 knots. Ignoring port time, approximately how long is the sailing passage?

A. 50 hours

B. 75 hours

C. 100 hours

D. 144 hours

Correct Answer: C. 100 hours

Question 5

A cargo occupies 3,600 m³ and weighs 2,400 tonnes. What is its stowage factor?

A. 0.67 m³/t

B. 1.5 m³/t

C. 2.4 m³/t

D. 6.0 m³/t

Correct Answer: B. 1.5 m³/t

Question 6

Under a time charter, who normally directs the vessel’s commercial employment?

A. The charterer

B. The classification society

C. The port authority

D. The cargo insurer

Correct Answer: A. The charterer

Question 7

What does demurrage generally compensate for?

A. Early completion of cargo operations

B. Exceeding the contractual laytime

C. A reduction in vessel draft

D. Container manufacture

Correct Answer: B. Exceeding the contractual laytime

Question 8

Which factor can reduce effective shipping capacity without reducing the number of vessels?

A. Port congestion

B. Improved berth productivity

C. More available cargo space

D. Lower cargo demand only

Correct Answer: A. Port congestion

Question 9

Which vessel is specifically designed to load wheeled cargo through ramps?

A. Ro-ro vessel

B. Bulk carrier

C. Chemical tanker

D. LNG carrier

Correct Answer: A. Ro-ro vessel

Question 10

Why can nominal TEU capacity overstate the containers that can actually be loaded?

A. TEU is a measure of cargo temperature only.

B. Weight, stability, reefer, dangerous-goods and stowage constraints may bind.

C. TEU capacity excludes all container slots by definition.

D. A vessel may carry only one container size.

Correct Answer: B. Weight, stability, reefer, dangerous-goods and stowage constraints may bind.