TANKER OPERATIONS COURSE

Purpose of the Course: The purpose of this course is to provide a

comprehensive understanding of chartering and operations of tankers in the oil
and gas industry.

Get in-depth knowledge of tanker operations and chartering. identify the different
types of oil and gas tankers. Learn about Worldscale and its application in tanker
trades. Do voyage estimate calculations using Worldscale. Be informed about the
main Oil Producing Areas. Prepare a firm offer and know the different negotiation
terminologies. Learn about tanker freight markets. Know the role of a tanker
broker. Learn about quoting orders in tanker trades. Learn about tanker systems.
The role and functions of international organizations. Factors affecting the tanker
market. Learn about standard forms used in tanker trades. Learn about crude oil
tankers. Be informed about product carriers. Learn about gas tankers. Learn
about tanker chartering practices. Learn about tanker fixture

Course Materials: During the course, we will be using the following course
materials:
1. Videos.
2. Modules.
3. Emails for various tasks and assignments.
4. NMIS course Material – Geography of Sea transport, Shipping Practise, Current
Shipping Envt, Chartering.
Sessions: As per discussion and mutual agreement.
Learning Outcomes: You must include learning objectives in your study;
Get in-depth knowledge of tanker operations and chartering
Identify the different types of oil and gas tankers
Learn about Worldscale and its application in tanker trades
Do voyage estimate calculations using Worldscale
Be informed about the main Oil Producing Areas
Prepare a firm offer and know the different negotiation terminologies
Learn about tanker freight markets
Know the role of a tanker broker
Learn about quoting orders in tanker trades
Learn about tanker systems
The role and functions of international organizations
Factors affecting the tanker market
Learn about standard forms used in tanker trades
Learn about crude oil tankers
Be informed about product carriers
Learn about gas tankers
Learn about tanker chartering practices
Learn about tanker fixture
Communications: The best way to communicate is through Whatsapp group
and regular Google Meet sessions.
Video lecture:

Please find below link for Video lectures explaining various points. The course is
divided into 10 sections for easy understanding. Kindly go through the contents
as per your convenience.

Link:https://1skqrc-my.sharepoint.com/:f:/g/personal/ram93_1skqrc_onmicrosoft_com/
EgawPm-fPLNCl-vE1Z7OUTsBHg-gBYcm5F4dBi8x1568HA

Password: Abhinav123

Section 1: Introduction
Lecture 1 Introduction
Lecture 2 Ship Terminologies
Lecture 3 Tanker Definitions and Terminologies
Section 2: Tanker Types and Cargoes
Lecture 4 Overview
Lecture 5 Types of Oil Tankers
Lecture 6 Tanker Systems
Lecture 7 Types of Gas Tanks
Lecture 8 Categories of Gas Tankers
Lecture 9 Chemical Tankers
Section 3: Crude Oil & Gas Extraction & Refining
Lecture 10 Crude Oil Extraction
Lecture 11 Crude Oil Refining
Lecture 12 Gas Extraction
Section 4: Geography of Tanker Trades

Lecture 13 Impact of Seasons, Weather and Physical Restrictions on Tanker

Shipping
Lecture 14 Main Oil Producing Countries
Lecture 15 Countries with the Largest Proven Oil Reserves
Lecture 16 Countries with the Largest Proven Gas Reserves
Lecture 17 Refineries, Pipelines and Oil Terminals
Section 5: Tanker Market
Lecture 18 Oil & Gas Market Practitioners
Lecture 19 Spot Market
Lecture 20 Oil Futures and Oil Options
Lecture 21 Role of Tanker Broker
Lecture 22 Factors Affecting Tanker Market
Section 6: Chartering Market Practice
Lecture 23 Costs
Lecture 24 Negotiations Process and Terminology
Lecture 25 Subjects
Lecture 26 Drafting a Firm Offer
Lecture 27 Pre- and Post-Fixture DOs and DON'Ts
Lecture 28 Broker’s Responsibility to the Principal
Lecture 29 Managing Conflicts and Disputes
Lecture 30 Professional Negligence and Indemnity
Section 7: Worldscale
Lecture 31 Overview and Origin
Lecture 32 Worldscale Flat
Lecture 33 Worldscale Freight Rate
Lecture 34 Ballast Bonus in Time Charters
Section 8: Laytime, Laycan, Demurrage & Despatch
Lecture 35 Overview - Laytime, Laycan, Demurrage & Despatch
Lecture 36 Notice of Readiness
Lecture 37 Tendering Valid Notice of Readiness
Lecture 38 Calculating Laytime and Preparing Statement of Fact
Lecture 39 Time Bar in Tanker Demurrage Claims
Lecture 40 Pumping Warranty
Section 9: Organisations and Associations
Lecture 41 OPEC
Lecture 42 Oil Companies International Marine Forum (OCIMF)
Lecture 43 INTERTANKO
Lecture 44 International Tanker Operators Pollution Federation (ITOPF),
Section 10: Postscript
Lecture 45 The Biggest Ship Ever Built
Training Modules: As per Annexure 1
 TOPICS STUDY MATERIAL REFERENCE GUIDES
INTRODUCTION SP L-1,8,16, SP A-1, CRT L-13,A-4 GST L-2,3,9,12
TANKER TYPES &
CARGOES
GEOGRAPHY GST L-4,6,8,13
SHIP CSE L-5,10,6 , Q88, SP A-7,11
TANKER MARKET CRT L-4,14, SP L-5
CHARTERING MARKET CRT L-1,2,3,16,15,17 SP L-7, SP A-3,6

SP – SHIPPING PRACTISE GST – GEOGRAPHY OF SEA TRANSPORT

CRT - CHARTERING CSE – CURRENT SHIPPING ENVT.
A- ANNEXURES L- LESSON/ CHAPTER NUMBER

FOR TRAINING SCHEDULE – Please refer next page.

 PHASE PHASE 1 PHASE 2 PHASE 3
WEEK NUMBER 1 2 3 4 5 6 7 8 9 10 11 12
THEORY THEORY:Introduction, Tanker Types and THEORY: Oil & Gas market, spot Market, THEORY: Chartering Market Practice ,
Cargoes , Crude Oil & Gas Extraction & Various organisation in the Shipping Freight, Worldscale,Laytime, Laycan,
Refining, Geography of Tanker Trades, Basic industry, Market Structure, Factor Demurrage, Tanker fixtures,TCE
knowledge of Ship & Port, Basic Shipping affecting Market,Key players (Shipowners, calculation, Charter party, enquiry, offer,
terminology Charterers, Operators, Brokers), Baltic recaps
Exchange

PRACTICAL PRACTICAL:Understand Q88, , Vessel PRACTICAL: read and understand Market PRACTICAL: prepare enqiry, offer,
position reports, Familiarise with AXS reports (movement of cargo/ vessels, recaps, calculate TCE , case studies,
marine, Kpler. trade flows, supply ‐demand, participate Shadowing senior brokers in
in daily discussion with collegues on the negotiations , Follow the Baltic Exchange
analysis of current & future market freight indices, Track daily spot & time
conditions, charter rates for different ship size,
Study major commodity movements,
Read shipping news from platforms like
TradeWinds, Lloyd’s List, and Platts,
Study fixture negotiations and how
brokers finalize deals, Participate in
mock negotiations with colleagues to
improve deal‐making skills, Break‐even
analysis for shipowners & charterers
Week 13,14,15 PHASE 4
1. Market Analysis & Freight Rate Tracking (Daily Practice)
🔹 Follow the Baltic Exchange freight indices
🔹 Track daily spot & time charter rates for different ship sizes
🔹 Study major commodity movements (crude oil, LNG, CPP, Chemical)
🔹 Understand macroeconomic factors affecting freight rates (e.g., interest rates, oil prices, global trade policies)
🔹 Read shipping news from platforms like TradeWinds, Platts etc

📝 Exercise: Maintain a daily market report with trends, rate movements, and key industry news
2. Charter Party & Fixture Negotiation (Weekly Practice)
🔹 Read and analyze Asbatankvoy, Shelltime, other charter contracts
🔹 Identify key clauses:

Laytime & demurrage

Freight & payment terms
Bunker clauses
Speed & performance warranties
🔹 Study fixture negotiations and how brokers finalize deals
🔹 Participate in mock negotiations with colleagues to improve deal‐making skills
📝 Exercise: Draft recap notes summarizing fixture terms based on real or simulated negotiations
3. Freight Rate & Voyage Calculation (Weekly Practice)
🔹 Calculate Voyage Charter P&L:

Freight income vs. voyage costs (bunkers, port charges, commissions)

Break‐even analysis for shipowners & charterers
Sensitivity analysis (how bunker price changes affect profitability)
🔹 Compute Time Charter Equivalent (TCE)
🔹 Practice Laytime & demurrage calculations with real case studies
🔹Analyze common pitfalls in charter party agreements.
🔹Learn how to amend contracts to mitigate financial risks.
4. Live Deal Simulations & Role‐playing (Monthly Practice)
🔹 Live market simulations – analyze a market scenario & propose the best fixture
🔹 Act as both shipowner & charterer to understand both perspectives
🔹 Shadow senior brokers during real‐time market discussions
🔹 Present market insights & recommendations to senior team members

📝 Exercise: Create a freight market forecast & present findings to the team

5. Relationship Building & Communication

🔹 Practice cold calling & client pitching techniques
🔹 Learn how to handle objections from charterers & shipowners
🔹 Improve email drafting for professional communication
🔹 Network at shipping events & join industry webinars

📝 Exercise: Draft and send sample broker reports & fixture proposals
 ANNEXURE
1
- Know your job. What does a shipbroker do and what are his roles and responsibilities
- Shipping Terminology / Abbreviations from given Q88 of a Tanker vessel

2
- Shipping Terminology / Abbreviations from given Q88 of a Tanker vessel
- What are different type of Ships with their sizes

3
- Make a report describing your understanding towards terms in Q88
- Describe different ship sizes and present in a tabular form,
- What is SIRE?

4
Familiarizing with Operational Terms
- Recap / Clean fixed
- Different types of Charter Parties / contracts
(What are the main elements of time charter parties and voyage charter parties? )
(Give an example of when a ship owner would use each of these?)
- Voyage orders
- Notice Of readiness
- Bill of Lading
- Laytime
- Demurrage
- Difference between Freight and Hire
- Letter of Indemnity
- Difference between Registered owners and Disponent owners
- Stowage Plan
- Letters of Protest
Provide your answers as per the above topics

5
- Identify three (3) main types of Tankers and their deadweight capacity
- Find the trade routes identifying four (4) Crude oil load ports and four (4) discharge
ports.

6
- Find out Major ports in India and the cargo they handle for Gas and Tanker
- Find out the cargo (Tanker, Gas) which are being imported and exported out of In
dia.

7
- What do you understand by Worldscale.
- How is the freight calculated based on worlscale rates.
- What is difference between Worldscale fixture / Per MT fixture / Lumsum fixture .
- What do you understand by Flat Rate.
- What do you understand by Port Costs.
- Study Loadline Zones of the world.
-
8
- Study Recap of a voyage charter Party.
- Understand different clauses in the Charter Party.

9
- Study Recap of a Time charter Party.
- Understand different clauses in the Charter Party.

10
- Study demurrage of a completed fixture
- Prepare a cp seeing at the recap and incorporating all clauses.

Final
Make a summary of above tasks and understandings

**********************************
 NAROTTAM MORARJEE INSTITUTE OF SHIPPING
MUMBAI

These study materials are strictly for private circulation among the bonafide students
and members of the Narottam Morarjee Institute of Shipping only.

Any unauthorized use, copying or taking extract of these study materials, without the
written permission of the Institute for any purpose other than the prosecution of the
Institute's courses are strictly forbidden.

CONTENTS

CHARTERING

LESSON TOPIC TOTAL PAGE NO.

NO. PAGES
- INDEX/CONTENTS 2 1–2
- SYNOPSIS 1 3

PART - I : BASICS OF CHARTERING

1 INTRODUCTION TO CHARTERING 10 5 – 14
2 CHARTERING PROCEDURE AND ETHICS 6 15 – 20
3 CHARTERING TERMS, PROCESS & NEGOTIATION 53 21 – 73
4 INTERMEDIARIES AND ORGANIZATIONS 11 74 – 84

PART - II : DRY CARGO CHARTERING

5 FREIGHT MARKETS & MARKET PRACTICE 14 86 – 99

6 STANDARD CHARTER PARTY FORMS 3 100 – 102
7 STOWAGE & STOWAGE FACTORS 10 103 – 112
8 CHARTERING CONTRACTS 28 113 – 140
9 BILLS OF LADING & BILLS OF LADING ISSUED UNDER 12 141 – 152
CHARTER PARTY
10 TIME CHARTERING, ILLUSTRATIONS & TC FINAL ACCOUNTS 17 153 – 169
11 VOYAGE ESTIMATING & EXEMPLES OF VOYAGE ESTIMATING 11 170 – 180
12 LAYTIME – DRY CARGO & EXEMPLES OF LAYTIME. 18 181 – 198

PART – III : TANKER CHARTERING

13 CRUDE OIL/TYPES OF TANKER SHIPS & CARGO HANDLING, 22 200 – 221

SOURCES TRADE & PROPERTIES
14 THE MARKET STRUCTURE & FACTORS AFFECTING FREIGHT 8 222 – 229
MARKETS
15 NEW WORLDWIDE TANKER NOMINAL FREIGHT SCALE 25 230 – 254
“WORLDSCALE”, VOYAGE ESTIMATING FOR TANKERS
16 TANKER FIXTURE & TANKER TIME CHARTER PARTY 10 255 – 264
17 LAY TIME CALCULATIONS IN OIL TANKERS & ESAMPLES 9 265 – 273
SOF-BIMCO 2 274 -- 275

Contd….. 2/-
1
 PART – IV : APPENDICES

1. ANNEX-1 CHARTERING NEGOTIATIONS - DRY CARGO FIXTURES 4 276 – 279

2. ANNEX-2 TANKER VOYAGE PARTY ASBATANKYOY NEW 6 280 – 285
3. ANNEX-3 WORLD TRADES & TRADING RESTRICTIONS 16 286 – 301
4. ANNEX-4 BASIC GLOSSARY OF TANKER SHIPPING 4 302 – 305
5. ANNEX-5 PRACTICAL GUIDELINES FOR CHARTERING 5 306 – 310
6. ANNEX-6 DRY CARGO SHIP TONNAGES 12 311 – 322
7. ANNEX-7 DRY CARGO SHIPS & SPECIALIZED VESSELS 7 323 – 329

3 MODEL TEST PAPERS (COLOUR PAGES) 8 330 – 337

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2
 2ND (FINAL) YEAR PGDSM/FELLOWSHIP

Sr. CHARTERING - SYLLABUS

No.
Part I – Basics of chartering
1. Introduction of Chartering: Background; Contract of Affreightment; Charter and charter parties of different
types; Charter Party; Main classification of Chartering/Charter markets. [Types of ships for the trade; major
cargoes; producing areas and trades, their movement; methods of cargo handling for dry cargo and
tankers].
2. Charter procedure & Ethics: Introduction; Voyage charter enquiry; Time charter enquiry; Essential items
in voyage/time charter; Ethics at work; Ethics in chartering.
3. Chartering terms, process & negotiation: Introduction; Chartering terms & definitions. Common
chartering abbreviations. Investigation; Offer, counter offer, negations, finalization of fixture. DOs and
DON’Ts for Chartering Manager
4. Intermediaries and Organizations: Intermediaries - Shipbrokers (six categories); Sale & Purchase broker;
Organizations – BIMCO, ICHCA; FONASSBA; Baltic Exchange, INTERTANKO & OCIMF; Importance of
OPEC. Vetting and TMSA.
Part II - DRY CARGO CHARTERING
5. Freight markets & Market Practice: Introduction; The Baltic Exchange; Market practitioners; Charterers;
Shipowners; Operators; Shipbrokers; E-commerce; Trading; Market reporting; Methods of ship
employment; Joint ventures, Shipping pools;
6. Standard charter party forms : Dry cargo charter parties of major importance; Voyage Forms; Period
forms.
7. Stowage Factors: Stowage factors, Broken stowage, Examples on Stowage factors.
8. Chartering contracts: Introduction; Official charter parties; Charter party library; Charter party wording;
Drawing up charter parties; Signing Charter parties; Adding originals; The Voyage charter party & clauses;
The Time charter party & clauses; The Bareboat charter party & clauses; The Gencon charterparty.
9. Bills of Lading & Bills of Lading issued under Charter party: Introduction; Important clauses included;
Relationship between BL & Charterparties; BsL & Demise charterparties; BsL & Time or Voyage
Charterparties; Employment & Indemnity clauses in Time & Voyage charterprities; Demise clause in the BL;
Incorporation of charterparty clause into the BL; Incorporation of Arbitration clause; UCP 500; Two issues –
in cases where the charterers hold the BL, Where a third party holds a BL.
10. Time Chartering: Explanatory notes to NYPE 93. The new NYPE Form 2015; (Illustrations) : with
Solutions
11. Voyage Estimating: Voyage estimate; Voyage; Earnings; Expenses/Costs; Port days, Port charges; DWT
calculation; Final calculations.
12. Laytime – Dry Cargo: Types of laytime; importance of Notice of Readiness; commencement and
termination of time; detailed knowledge of statement of facts and time sheets; calculation of demurrage and
despatch; charterparty laytime definitions. Steps [Read relevant clauses of the CP; Determine the allowed
laytime; Obtain SOF; Establishment of the commencement of laytime; Allow for interruption; Establish the
cessation of laytime; Final calculations (non-reversible; Reversible; Average; All time saved/laytime
saved)].
NOTE: Study of GENCON and NYPE is recommended along with detailed market reports
Part III - TANKER CHARTERING
13. Crude Oil/Type of Tanker ships and Cargo Handling: Introduction; Crude oil & various types of products
& their movement, oil terminals, oil transportation, technical aspects/classification of tanker operations
Developments in types of tankers and Technical aspects of tanker operations, including cargo handling.
Safety and pollution prevention aspects and requirements. Crude oil – Sources, Trade & Properties :
Introduction; Common derivatives of crude oil; Production; Crude oil – important characteristics; Gravity,
Viscosity, Pour point; SBM; SPM; Top world oil producers, exporters, consumers & importers.
14. The Market Structure & Factors affecting Freight markets: Introduction; Influences on the structure of
the tanker market (which includes ship size; new producing areas, pipelines; etc.)
15. New Worldwide Tanker Nominal Freight Scale “World Scale”: Introduction; Origin of freight rates for
tankers; How the rate is expressed; Basis of Calculation; Usage of World scale; Variable differential; Fixed
differentials; Average freight rate assessment (AFRA). Voyage estimating for tankers
16. Tanker Fixtures: Introduction; A list of Fixtures & their interpretation.
Tanker Time Charterparty: SHELLTIME 4 1984 – Introduction & detailed study of important clauses.
17. Lay Time Calculations in Oil Tankers: The concept, application & calculation of laytime of tanker voyage
charter; detailed study of important clauses such as Laytime allowed, despatch, commencement of laytime,
cessation of lay time, interruptions (under control of charterers; under control of shipowner; under control of
both shipowner & charterer), excess pumping time, COW, Calculations.
********************
3
 NAROTTAM MORARJEE INSTITUTE OF SHIPPING
MUMBAI
.

These study materials are strictly for private circulation among the bonafide students and
members of the Narottam Morarjee Institute of Shipping only.

Any unauthorised use, copying or taking extract of these materials, without the written
permission of the Institute for any purpose other than the prosecution of the Institute's
courses are strictly forbidden.

CURRENT SHIPPING ENRIRONMENT FIRST YEAR

CONTENTS/INDEX
LESSON TOPIC TOTAL PAGE NOS.
NO. PAGES
- INDEX 1 1
- INSTRUCTIONS 2 2-3
- SYLLABUS 2 4-5
1 REGISTRATION OF SHIPS AND OPEN REGISTRIES 4 6–9
2 INTERNATIONAL MARITIME ORGANIZATION (IMO) 23 10 – 32
3 MARITIME ADMINISTRATION 11 33 – 43
4 FLAG STATE CONTROL & POST STATE CONTROL 8 44 – 51
5 SHIP VETTING 7 52 -- 58
6 SHIP MANAGEMENT CONCEPT 6 59 – 64
7 INDIAN PORTS 26 65 – 90
8 CONTAINERISATION IN INDIA 16 91 – 106
9 QUALITY MANAGEMENT IN SHIPPING AND ISM CODE 6 107 – 112
10 SHIPPING ORGANISATIONS: INTERNATIONAL AND INDIAN 17 113 – 129
11 SHIPBUILDING, SHIP REPAIRS & SHIP BREAKING 18 130 – 147
12 TECHNOLOGICAL DEVELOPMENTS IN SEA TRANSPORT 12 148 – 159
13 MARITIME PIRACY, FRAUDS, CONTAINER CRIMES 27 160 – 186
14 OFFSHORE SHIPPING 32 187 – 218
15 LOGISTICS MANAGEMENT 18 219 – 236
ANNEX-1 : JOINT VENTURES, SHIPLPING POOLS AND 16 237 – 252
CONSORTIA
ANNEX-2 : WRECK REMOVAL 3 253 - 255
3 MODEL TEST PAPERS (COLOUR PAGES) 3 256 - 258

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1
 NAROTTAM MORARJEE INSTITUTE OF SHIPPING

SYLLABUS
ASSOCIATESHIP/ POST GRADUATE DIPLOMA
IN SHIPPING MANAGEMENT -- FIRST YEAR
Lesson CURRENT SHIPPING ENVIRONMENT
No.
1. Registration of ships and Open Registries: National identity of a vessel with ref to Ref to UNCLOS, 1982 and
its requirements; Registration of Indian ships; Open registries; Advantages & Disadvantages of Open registries.
Flag of the ship.
2. International Maritime Organization : Background; IMO & its organizational set up and functions;
Committees & Sub-committees; Safety, Maritime pollution; Codes& conventions;
3. Maritime Administration : Introduction; General principles of maritime administration; Membership of IMO
& participation; Enforcement/implementation of International instruments; Indian Maritime Administration;
Administrative frame work; Ref. to Merchant Shipping Act (MSA1958); Functions of - D.G. Shipping, MMD,
Shipping Masters, Director Seamen’s Employment offices, Seamen’s Welfare office; Training institutes – IMU.
Shipping Policies ( Ship building/repairs, development, FROR, Costal shipping, Inland waterways etc.)
4. Flag State Control and Port State Control : Introduction; General obligations of Flag States; Provision for
Port State Control; Legal framework; Responsibility of recognized organizations acting on behalf of the
Administration; Casualty & incident investigation. MOUs.
5. Ship Vetting : Introduction; Vetting procedure; Ship inspection report exchange;
6. Ship Management Concept: Background; What is ship management?; Manning (Crewing); Technical &
Commercial Management; Legal functions of the Ship Manager, How are the Ship Managers paid?; How a ship
manager is selected?. Safe Manning Certificate and Maritime Labour Convention (MLC2006).
7. Indian Ports: History, Classification (Major and Non-major), Infrastructure, Hinterland & Management of
Indian Ports; Port Privatization, Port acts; Port Development & Connectivity; Port projects; Public Private
Partnership policy (PPP). Traffic scenario & capacity utilization of major ports; Sagarmala project, Inland water
ways. Recent developments.
8. Containerization in India : Beginning & Development; Intermodal system; ICDs/CFSs; CONCOR; Private
container train operators (CTO); cargo consolidation; private sector participation; .Hub & Spoke service at
CONCOR. Bay plan
9. Quality Management in Shipping and ISM Code : Introduction; Quality Management; ISO 9000; Shipping
industry; International Safety management code (ISM Code) – Preamble, Applicability & Requirement;
Description; Certification; Self-assessment and TMSA for tankers.
10. Shipping Organisations: International and Indian: ICS; INMARSAT; ILO; ITU; WMO; IHO, WHO;
International Shipping Federation; ICC; ITF; Salvage association with ref. to wreck removal convention; IPA,
INSA; AISC; IPPTA; ICC Shipping Association; CSLA; FEDSAI.
11. Shipbuilding, Ship repairs & Ship breaking : World shipbuilding scene; Indian Shipyards – Public & Private
sector; HSL, CSL, GRSE; Problem associated with Indian shipbuilding industry, INSA; Ship repair yards in
India; Facilities at ports; Ship-breaking – introduction, Reference to Recycling Convention; international and
Indian scene.
12. Technological Development in Sea Transport :Introduction; Economies of scale; Change in ship sizes;
Container vessels – impacts; Issues impacting ports; Effect on shipping as a whole. Northern sea route, Polar
code
13. Maritime Piracy, Frauds, Container crimes : Role of IMB, Introduction, Types of frauds; Means of
avoiding frauds; IMB & its objectives & services; Container crimes & Precautions – Pilferage; Trading fraud,
Empty container fraud, documentary/bunkering/charter party/trading/marine insurance frauds, blackmail, whole
container theft; Stowaways in containers. Piracy Definition; Regional variations in Pirate attacks; Piracy
reporting centre; Absence of effective law; Environmental aspects; IMO guidelines to Ship owners/ Seafarers on
preventing & suppressing piracy & armed robbery against ships; Precautions & actions to be taken by ship’s
personnel; Best Management Practices; SUA and UNCLOS; International Ship & Port Facility Code, (ISPS
Code) – objectives & key elements; Certification to ships and ports.
14. Offshore Shipping: Introduction, Various stages of Offshore oil exploration; Various types of supply vessels,
Indian offshore scenario; various stakeholders; coordination.
15. Logistics: History, Concept, Purpose and Functions of Logistics, Evolution of Integrated logistics, Definition of
Logistics; Understanding of Transportation, Warehousing, CWC, Inventory Management, Material Handling;

4
Introduction to Supply Chain Management; 3PL; 4PL.
************

5
 NAROTTAM MORARJEE INSTITUTE OF SHIPPING
MUMBAI

This study material is strictly for private circulation amongst the bonafide students and members of the
Narottam Morarjee Institute of Shipping only.

Any unauthorized use, copying or taking extracts of this material for any purpose in any form without
the written permission of the Institute for any purpose other than the prosecution of the Institute’s
course are strictly forbidden.

This material is merely for guidance. It is a skeleton and gives a bird’s eye-view of the subject.
The student must refer to prescribed text books.

CONTENTS
GEOGRAPHY OF SEA TRANSPORT
LESSON TOTAL
TOPIC PAGE NO.
NO. PAGES
- INDEX 1 1
- INSTRUCTION 2 2-3
- SYLLABUS 1 4
1 BACKGROUND AND TRANSPORT NETWORK 18 5 – 22
2 THE SHIP – AN INTRODUCTION 6 23 – 28
3 TYPES OF SHIPS 10 29 – 38
4 TIME ZONE, IDL & DAYLIGHT SAVING TIME 5 39 – 43
5 LODLINES, FREEBOARDS & LOADLINE ZONES 10 44 – 53
MAP WORK - 1
6 39 54 – 92
CONTINENTS, OCEANS & SEAS
7 PORTS AND HINTERLAND 9 93 – 101
MAP WORK – 2
8 INDIAN COASTAL SHIPPING AND INLAND 13 102 – 114
WATERWAYS. MARINE PRODUCTS.
MAP WORK - 3
SEA PORTS, STRAITS, CANALS AND 27 115 – 141
9
WATERWAYS. OCEAN CURRENTS
10 CARGOES AND COMMODITIES 46 142 – 187

11 MARINE PRODUCTS 21 188 – 208

12 CRUDE OIL – SOURCES AND TRADES 5 209 – 213
13 CLIMATE FACTORS & SHIPPING 12 214 – 225
14 INTERNATIONAL TRADING BLOCKS 18 226 – 243

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1
 1ST YEAR PGDSM/ASSOCIATESHIP

SYLLABUS

Sr. GEOGRAPHY OF SEA TRANSPORT

No.
1. Background & Transport Network:- Supply and Demand scenario; Importance and Significance of Transport; Transport
linkages in Production & Distribution markets; Transport (Commercial Activities & Population); Modes of Transport
(Classification); Choice of Mode of Transport and related coordination; Global Development of Surface Transport (Roads
& Railways); Pipeline Transport; Water Transport (Inland Water Transport); Air Transport.
Major Ocean Routes.
2. The SHIP - An Introduction:- Hull, Machinery, Types of Ships i.e. Passenger Ships, Specialized ships, Fishing vessels,
cable Laying ships, Research (Survey) vessels & Drill ships, Service/supply vessels. Functional classification of maritime
cargoes. Different types and sizes of ships with their important features and their suitability to carry different
cargoes/finished goods ie. Dry bulk, liquid oils, gas cargoes, containers, Ro-Ro, project cargoes etc.
3. Types of Tankers:- Classification of tankers i.e. Crude oil carriers; Petroleum Product tankers; Chemical/parcel carriers;
Gas carriers; tankers, Edible/Non-edible oil carriers. Associated cargo handling systems.
4. Time Zones, International Date Line, Daylight Saving Time & Coordinated Universal Time (UTC).
Equator, N & S poles, Prime meridian (GMT), Latitudes & Longitudes.
5. Loadlines, Freeboard and Loadlines Zones:- Introduction & definitions; Convention on Loadlines; Loadlines zones;
Different types of freeboards and assigning of Loadlines; Typical Loadlines markings; Effect of density of water on ship’s
draft & UKC; Air draft.
6. Map Work 1.
Oceans and Continents; Seas; Continent wise descriptions of the ports; Bunkering ports; Ports & Hinterland; Detailed
functions of a port and it's different departments.
7. Ports & Hinterland:- Types of ports; Detailed functions of a port; Different departments in a port; Factors affecting the
Port & it's hinterland; Major ports of the world; Continent wise descriptions of the ports.
8. Map Work 2 – Coastal Shipping & Inland Waterways in India: Indian coastal shipping:- Ports, Rivers and important
commodities movement, Inland Waterways navigation in India:- Available facilities, Challenges; Inland Waterways
Authority of India, Sagarmala.

9. Map Work 3 - Canals, Straits & Waterways: Canals and Waterways:- Introduction; Suez Canal; Panama Canal; Kiel Canal;
Europa canal, St. Lawrence Seaways; Ocean currents; warm & cold currents & their effects, Important trade-wise sea
routes.
10. Major Dry-Bulk Cargoes/Commodities & Movements:- Types of cargoes & its characteristics; Loading, Unloading,
Securing/Handling; Packaging; Solidification; Contamination; Temperature; Stowage & Stowage factor; Exporting/
importing countries/ ports of major commodities. Introduction and Current outlook; World Seaborne Dry Bulk trade;
Trends in Demand – Supply of dry bulk carrier fleet; Fleet size & age structure; Dry bulk carrier freight market
developments; Baltic dry index.
11. Marine Products: Introduction; Marine export items and export markets; Globalization & Fishing industry, Critical
challenges/ hurdles faced by the Fishing Industry and remedies to overcome handicaps of Local Fishing; Government
policy updates.
12. Crude Oil - Sources & Trade:- Introduction; Origin & Classification; Products from crude; Production & consumption;
Major loading and discharging areas of crude and products.
13. Climatic Factors and Shipping:- Introduction; Weather & Climate; World Meteorological Organization & its function;
Seasons, Effect of currents, Tides & Winds on shipping, Beaufort scale; Temperature, ship/cargo sweat; Advantage of
winds; Cyclones, Advantage of Winds, Ship routing.
14. International Trading Blocks:- Introduction; Definitions, Effects of trade blocks; EC/EU; EFTA; OAU; NAFTA; OECD;
ASEAN; LAFTA; SAARC; CIS; GATT; WTO; Other definitions.

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 NAROTTAM MORARJEE INSTITUTE OF SHIPPING
MUMBAI
These study materials are strictly for private circulation among the bonafide students and members of the
Narottam Morarjee Institute of Shipping only. Any unauthorised use, copying or taking extract of these
materials, without the written permission of the Institute for any purpose other than the prosecution of
the Institute's courses are strictly forbidden.

CONTENTS/INDEX

SHIPPING PRACTICE
LESSON TOPIC TOTAL PAGE
NO. PAGES NO.
- INDEX 1 1
- SYLLABUS 2 2 -- 3
1 GENERAL PARTICULARS OF SHIPS 11 4 – 14
2 SURVEYS & CERTIFICATION 7 15 – 21
3 CLASSIFICATION SOCIETIES 7 22 – 28
4 LETTER OF CREDIT & INCOTERMS 10 29 – 38
5 BILL OF LADING 19 39 – 57
6 SHIPPING OPERATIONS 7 58 – 64
7 INTRODUCTION TO CHARTERING 8 65 – 72
8 PORT OPERATIONS 14 73 – 86
9 CARGO CARRIAGE & STOWAGE 7 87 – 93
10 CARGO HANDLING EQPTS USED ON BOARD & 21 94 – 114
ASHORE
11 INTERMEDIARIES IN SHIPPING 12 115 – 126
12 SHIPPING DOCUMENTS 18 127 – 144
13 PROCEDURE FOR ENTERING & LEAVING PORTS & 11 145 – 155
PORT SERVICES
14 BUSINESS COMMUNICATION IN SHIPPING 22 156 – 177
15 ABBREVIATIONS 12 178 – 189
16 BASIC SHIPPING TERMINOLOGY 48 190 – 237
17 3 MODEL TEST PAPERS (COLOUR PAGES) 3 238 – 240

ANNEX-1 SPECIALISED VESSELS & TYPES OF TANKERS 13 241 – 253

ANNEX-2 TYPES OF SHIPPING OPERATIONS 9 254 – 262
ANNEX-3 TYPES OF CHARTERPARTIES 10 263 – 272
ANNEX-4 CLEARING & FORWARDING OF CARGO 5 273 – 277
ANNEX-5 COASTAL SHIPPING IN INDIA 3 278 – 280
ANNEX-6 CABOTAGE 6 281 – 286
ANNEX-7 STATUTORY DOCUMENTS ON BOARD 15 287 – 301
ANNEX-8 CONTAINERIZATION 17 302 – 318
ANNEX-9 FREIGHT & FREIGHT UNITS 4 319 – 322
ANNEX-10 THE SHIP’S CREW 5 323 – 327
ANNEX-11 INWARD & OUTWARD CLEARANCE OF SHIPS 4 328 – 331
ANNEX-12 EXPORT & IMPORT PROCEDURES INCLUDING 9 332 – 340
DOCUMENTATION
ANNEX-13 ILLUSTRATIONS & SHIPS’ PROFILES/PLANS 25 341 – 365

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 NAROTTAM MORARJEE INSTITUTE OF SHIPPING
SHIPPING PRACTICE
Sr. SHIPPING PRACTICE -- SYLLABUS
No.
1. General Particulars : Hull, Machinery, Steering system, Cargo holds, various compartments &
superstructure, Equipment, Shipboard Measurements, Length, Width/Breadth, Depth, Draft, Freeboard,
Procedure for reading draft marks, Weight tonnage terms, Tanks, Types of Ballast conditions, Topside tanks,
Lower hopper tanks, Double bottom tanks, Fore & Aft peak ballast tanks, and Capacity Measurements on
ships.
2. Surveys & Certification: Flag state, Flag state certificate of registry, Flag of Convenience/Open Registries,
Objectives of Flag State Inspections, Inspection process, Scheduled flag state inspections, Un-scheduled flag
state inspections, Reporting, Verification & Monitoring, Role of Flag State, Changing the Flag State, Post
State Control, Statutory certificates,
3. Classification Societies -- background, their functions and importance, surveys & certificates, IRS, Dual
classification.
4. Letter of Credit: Introduction, Advantage to Exporter & Importer, INCOTERMS – Rules for any mode or
modes of transport, Rules for Sea & Inland Waterway transport, UPC 600.
5. Bills of Lading -- functions, conditions, contents, types and general information; Letter of Indemnity,
Multimodal transportation, Multimodal transport document.
6. Shipping Operations: Tramp Shipping (Voyage, Time, Demise/Bareboat), Characteristics of Tramp carrier,
Liner Shipping, Liner shipping efficiency, Liner Shipping broad categories; Marketing services of Liner
Shipping.
7. Introduction to Chartering: Chartering background, COA, Specific meaning of COA, Charterparty, Basic
classification of Ocean Traffic, Basic Qualification of Shipping Traffic, Types of charter party – Voyage,
Time, Bareboat, Tram shipping contracts & freight, Major elements which influence fixing of a freight rates,
BIMCO, Voyage charter party code forms, Time Charter party code forms.
8. Port Operations: Light House, Approach channel, Turning basin, Draft limitation, Pilotage, Tug boats,
Seagoing tugs, Harbour tugs, River tugs, Mooring operations, Ship to Ship transfer, Single buoy or single
point mooring, Conventional buoy or multi buoy mooring, Mediterranean mooring, Running mooring,
Standing mooring, Vessel traffic management system, Anchorage, Bunkering & Supplies,
9. Cargo carriage & Stowage: importance in the carriage of dry and liquid cargoes, effect of density of water
(fresh, salt, brackish). Factors that influence the stowage factors of the cargo, Broken stowage, Different
freight unit, Common stowage factors for various commodities, Dunnage, Density, Hydrometer.
10. Cargo handling equipments used on Board & Ashore: Concept of ‘Unit Load’, Strapping, Pre-slinging,
Pre-slinging materials, Handling, Palletization, Method of Securing, Handling & Stowage, Effect of the
Pallet, Barges, RO-RO ships, Advantages of RO-RO ships, Tankers – cargo operations, Bulkcarrier cargo
operations by Conveyors – Grabs – Loading art/chute – Excavators, Container terminals – RMQGC – Rubber
tyred gantry crane, Cargo handling eqpts at CY, CFS & ICD, Fort lifts, Mobile harbour crane, Cargo gear &
responsibilities of Owner, Register of ships cargo handling gear & applicances, Initial examination &
certification, Periodic examinations & retesting, International Cargo Handling Coordination Association.
11. Intermediaries in Shipping: Shipbroker (Shipowner’s broker, Charterer’s broker or Chartering agent,
Coasting broker, Exclusive broker, Competitive broker, Cable broker), Freight broker, Freight forwarder &
role, Multimodal Transport Operator, Sale & Purchase broker, Clearing & Forwarding/Custom House Agent,
Shipping Agent, Port Agent & Responsibilities, Liner Agents, Duties of the agent, E-Freight Platforms.
12. Shipping Documents: Proforma Invoice, Packing list, Certificate of origin, Shipping bill, Bill of Entry, Tally
sheets, Manifest, Mate’s receipt, Statement of Facts, Time-sheets, Notice of Readiness, Dangerous goods
manifest, Note of Protest & procedure for noting protests, Letter of Protest, Port Clearance,
13. Procedure for Entering & Leaving ports & Port Services: Introduction, Custom house work -- Inward and
outward entry of ships documentation. Ship’s papers; Ship’s Articles; Manifest; Official log; Procedure on
Arrival; Procedure for Leaving; Port procedure at Indian ports; Entry outward; Clearance of vessels; Ships
certificate of registry, Port information – Masters should seek, Official log book.
14. Business communication in shipping -- letter writing, telex, fax, e-mail, report-writing, memo-writing,
charts and graphs.
15. Shipping Abbreviations :
16. Basic Shipping Terminology:

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17. Annex-1 : Specialized vessels & Types of Tankers: Tween deckers; Shelter deck vessels, Refrigerated
ships; Bulk carriers; Lakers; Ore carriers, Loggers; Cement carriers; Lumber & Paper product carriers; The
container family; Barge carrying vessels; Ro-Ro; Combination carriers; Edible oil carriers; Classification of
tankers; Crude oil carriers; Product carriers; Chemical carriers (parcel tankers); Gas carriers; Juice tankers.
18. Annex-2 : Types of Shipping Operations: Classification of shipping operations, Evolution of the Tramp;
Evolution of the Liner, Highlights of Liner Shipping, Passenger service.
19. Annex-3 : Types of Charterparties : Demise or Bareboat charter; Non-demise charter (Voyage or Time);
types of charters -- time, trip-time, voyage, consecutive voyages, bareboat; contract of affreightment, features
of dry bulk and tanker chartering; names of different charterparty forms for different trades.
20. Annex-4 : Clearing & Forwarding of Cargo: Introduction, Chain of Delivery, Various stages, Role of
Freight forwarder on behalf of Consignor & on behalf of Consignee, for both if required, role with customs,
documents for clearance.
21. Annex-5 : Coastal Shipping in India: Problems faced by coastal shipping in India, Remedies, Future trends.
22. Annex-6 : Cabotage: Concept of cabotage, Cobotage in India, Sections of MSA 1958 regarding Cabotage.
23. Annex-7 : Statutory documents on board including mandatory surveys and safety certificates.
24. Annex-8 : Containerization: Definitions, Classification by size or dimensions/by use, Concept of FCL &
LCL, Freighting of containerized cargoes, CBR, FAK, Conventional tariff for LCL, Container markings,
Container Terminal, Stacking yard/container yard, CFS, Terminology, Types of containers, Factors to be
borne in mind for stowage inside containers, Advantages & Disadvantages of containerization,
25. Annex-9 : Freight & Freight Units: Definition of freight, Freight calculated on weight of cargo,
measurement of cargo or value, What are short tons, long tons & metric tons, factors of liner rates, Class &
commodity freight rates, Stoppage in transit.
26. Annex-10 : The Ship’s Crew: Shipboard Organization, Master duties, Chief officer (Mate), Deck staff,
Engine staff, Catering staff.
27. Annex-11 : Inward & Outward Clearance of Ships: Inward clearance; Outward clearance.
28. Annex-12 : Export & Import Procedures : Exports; Freight broker; Clearing & forwarding agents; Bill of
Lading; Imports, General Landing date, free days & demurrage; Claims, Shipping bill; Bill of Entry; Types of
Bill of Entry; When to present bill of entry; Salient features of the Bill of Entry; Documents furnished with
B.E; Presentation of B.L. and Noting thereof.
29. Annex-13 : Illustrations & Ships’ Profiles/Plans :

NOTE: A student should be able to draw an outline of the different types of ships and mark important features.

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