Affreightment

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Affreightment

An agreement between the owner of a ship and another party whereby the owner agrees to transport the other party's goods on that ship from and to certain stated locations. Affreightment is the equivalent of a lease; that is, the ship's owner rents space on the ship for the other party's goods.
References in periodicals archive ?
Cargoes include those from spot markets and contract of affreightment (COA).
4 Article 287 of the Maritime Law reads as follows (quoted translation): EoACA[pounds sterling]The following claims shall not be heard if opposed and in the absence of lawful excuse: 1- Claims arising out of a marine contract of affreightment after the expiry of a period of one year from the date of delivery of the goods or from the date on which the goods should have been delivered.
The Norwegian shipping company Belships ASA said on Friday (21 January) that it had secured a contract of affreightment for its vessel M/S Belnor with Canadian charterers.
It has contract of affreightment for the transport of liquid chemicals, vegetable oils and asphalt for 1-3 years to be renewed every time the contract expires.
Likewise if, under an FOB contract, the importer fails to conclude a contract of affreightment with a shipping company well before the expected date of receipt of the shipping advice, the shipment of the goods will be delayed.
Results from the Company's Contract of Affreightment segment as well as its Other segment were comparable to the year ago period.
The firm said, they are part of the 30 VLOC orders "placed by major Chinese ship owners, including ICBC Leasing, after they entered into the contract of affreightment (COA) with mining group Vale to transport iron from Brazil to China over a period of up to 27 years.
China Merchants Energy Shipping (CMES) has made an announcement on its signing of a contract of affreightment (COA) covering a maximum term of 27 years with the Brazilian mining giant Vale intended for transportation of iron ore of about 16 million tonnes per annum to the Chinese market.
The results in the second quarter of 2011 of the Contract of Affreightment segment were slightly lower than the 2010 second quarter due to a drop in tonnage moved.
Meanwhile, during the same period the Marine Logistics Division also secured a major contract of affreightment from TNB Fuel Services Sdn Bhd amounting to RM175 million as announced recently.