Ship-to-ship Transfer Clause for Dry Bulk

By Joseph R. Fonseca
Wednesday, January 21, 2015

A new clause for dry cargo voyage charters is set to plug the gap in contracts that do not address ship-to-ship transfer (STST) cargo operations.

STST cargo operations are a common feature in most tanker voyage charters, but rarely form part of dry cargo standard forms.

If a charterer wants to conduct STST cargo operations and the charter party form does not contain the required wording, then this clause should be incorporated. It is very important to have such a clause because of the increased risk to the ship of such cargo operations. It addresses critical issues such as safety, choice of location, supply of equipment and master’s overriding authority.

The clause effectively turns a berth or dock charter party into a contract that permits cargo operations at places other than berths. This will have an impact on laytime counting and how delays due to STST operations are dealt with. Importantly, the clause ensures that the charterers indemnify the owners against the additional risk of ship-to-ship cargo operations.

The full text of the revised BIMCO Ship-to-Ship Transfer Clause for Voyage Charter Parties is available to download from www.bimco.org and is also available to users of BIMCO’s online charter party editing system, IDEA•2.

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