Voyage Estimates Flashcards
Voyage Estimating
a method for calculating the estimate return to the vessel owner or operator
estimating aids the owner in deciding which cargoes/employment to pursue
Cargo inquiries
in an ideal market, the Owner might be looking at several different offers
What is the formula for
T/C Equivalent
Daily Net Return
T/C Equiv (daily net return)= gross revenue-commissions-voyage expenses/total voyage days
For a voyage charter,
the gross revenue to the Owner is:
Freight and Demmurage
For a voyage charter,
the expenses to the owner are:
Fuel costs, canal tolls, port charges, load/disch costs, despatch, etc.
For a time charter trip,
the gross revenue is:
time charter hire and ballast bonus
For a time charter trip,
the expenses to the Owner, if any, are:
fuel cost, pilotage, and other costs to bring the vessel to the delivery point
(voyage estimates DO NOT determine the market)
From the Owner’s standpoint,
we catergorize vessel costs into three main categories:
Capital Costs, Operating Costs, and Voyage Costs
Capital Costs
(costs of any vessel financing)
may have an effect on Ows attitude towards long term employment, but usually disregarded when estimating on spot business
Operating Costs
“running costs”
include: crew wages, stores and supplies, lube oil, maintenance and repair, insurance. typically, these costs are not affected by the voyage on which the vessel is employed
often calculated on an annual basis, expressed as Daily Operating Costs
Majority of operating costs can only be avoided by
Laying up the Vessel
stop using it for a period of time
What does it mean when the market is close to:
Layup Level
Market rates are approaching such a low level that it might be better to temporarily lay up the vessel
Voyage Costs
costs that are directly related to the concerned voyage: bunkers, port charges, cargo handling expenses, canal tolls, extra insurance or additional premiums, hold cleaning commissions
Bunkers cost
the cost of bunkers is determined from the bunkering plan
Port Charges
tonnage taxes, harbor dues, pilots, tugs and liner handlers, dockage and wharfage charges, customs and immigration fees, agency fees (includes agency attendance, telex fees, phone)
Loading and Discharging costs
depending on freight terms ( would be stevedoring costs), possible trimming or leveling of cargo, possible tallymen or clerks
Lightering cost
some ports (ie India) require lightering of dry bulk cargo and is often a cost from the owner
Canal tolls
based on vessel’s canal net tonnage (typ found in description), typically higher than the flag net tonnage, canal authority will usually measure tonnage on vessels first transit and issue permanent tonnage certificate
Insurance cost
overage premium, additonal premium for breaking IWL, war risk insurance
Hold cleaning
cleaning of hold for the next cargo, removal of any dunnage (word usually used to aid in blocking and bracing of cargoes)
Commission
could be commission paid to a broker, can also be an address commission paid to Chrtrs freight dept
