Shipbroking
| Admiralty law |
|---|
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| History |
| Features |
| Contract of carriage/Charterparty |
| Parties |
| Judiciaries |
| International conventions |
| International organizations |
Shipbroking is a
History
In the 19th century, it was the work of ship-brokers to procure goods on freight or a charter for ships outward bound. They also went through the formalities of entering and clearing vessels at the customs-house. They collected the freight on vessels brought into port and took an active hand in the management of all business matters between ship-owners and merchants, whether shippers or consignees, for which they were paid a fee. In major British ports, ship-brokers were also usually insurance-brokers.[1]
Modern shipbroking
Some brokerage firms have developed into large companies, incorporating departments specialising in shipping's various sectors, e.g. Dry Cargo Chartering, Tanker Chartering, Container Chartering, Sale & Purchase, Demolition, Futures and Research; other "boutique" shipbroking firms concentrate on specific sectors of the shipping market.
The principal shipping and shipbroking centres worldwide are London, New York City, Singapore, and Tokyo, as well as where many shipowners are based such as Oslo and Athens. Other places continue to develop in international shipping services, such as Hong Kong and Shanghai, Delhi and Mumbai, Copenhagen, Geneva, Genoa, Hamburg and Paris in Europe; and in North America, Connecticut, Houston, and Montreal are important shipbroking centres.
Until the late 20th century, it was commonplace for shipbrokers to cover more than one discipline, although nowadays the vast majority of shipbrokers specialize in a specific sector. Like many financial services, historically shipbroking grew out of the
The Institute of Chartered Shipbrokers sets educational standards throughout the industry worldwide, whose Fellows are accorded the privilege of using the post-nominal letters FICS.
Sale and purchase
Sale & Purchase ("S&P") brokers handle the buying and selling of existing vessels in the secondhand market or contract new ships (called
Dry cargo broking
Dry Cargo brokers are typically specialists in the chartering of
Tanker broking
Tanker brokers specialize in the
Oil being a fast moving trade, freight rates for crude oil tanker charters are most commonly based on the Worldscale Index; the Worldscale Association publishes flat rates annually.[3]
For some specific voyages, such as named voyages (i.e. from A to B) and for specialist ships, like LNG tankers (a highly specialized sector of the tanker market), freight rates can be agreed on a lumpsum (or dollar per ton) fixed rate between both parties.
Container vessel broking
Container brokers specialize in the chartering of container ships and provide container shipowners and charterers with market-related information and opportunities.
Futures broking
Shipping Futures brokers specialise in negotiating
See also
References
- ^ The National Cyclopaedia of Useful Knowledge, Vol III, (1847), London, Charles Knight, p.839
- ^ www.balticexchange.com
- ^ www.worldscale.co.uk
Sources
- Wood, Philip (2006). Tanker Chartering. London: Witherby's. ISBN 978-1856092838.
- Huber, Mark (2001). "Ch. 9: Chartering and Operations". Tanker operations: a handbook for the person-in-charge (PIC). Cambridge, MD: Cornell Maritime Press. ISBN 0-87033-528-6.
- Turpin, Edward A.; McEwen, William A. (1980). "Ch. 18: United States Navigation Laws and Ship's Business". Merchant Marine Officers' Handbook. Centreville, MD: Cornell Maritime Press. ISBN 0-87033-056-X.