What is the difference bewteen a 'time charter' (TC) and a 'time charter trip' (TCT)?
We know that Time charter means that the charterer pays a daily hire rate for the ship for example usd 10,000 per day. Next step - A time charter can either be for a specific trip (A to B) or for an extended period of time (period time charter)
So there you have it - a TCT is from A to B and usually has very specific and well defined delivery and redelivery areas.
A 'period TC' can be anywhere from 2 months thru to 10 years and by necessity has less well defined delivery and redelivery areas. (I dont know where i will be tomorrow - what hope does a shipowner have prediciting where his ship will redeliver in 3 months time?) When quoting a period order - the estimated duration should always be quoted.
If when you see a time charter order quoted by a broker - you are unsure if it for a trip or for period then ask the question back to the broker. These days there seems to be some competititon as to who can describe a particular order using as little important information as possible.
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