time charter

A time charter is a contract where a ship is hired for a specific duration, rather than for a single voyage. Under this arrangement, the charterer pays for the use of the manned ship for a stated period. The rate of hire is typically calculated per ton of the ship's deadweight capacity per month.123

While the ship's owner manages its navigation and operation, the charterer is responsible for certain expenses, notably the cost of fuel and stores consumed during the charter period. This differs from a voyage charter, where the owner usually covers most voyage expenses. Time charters are one of the principal methods of chartering a tramp ship, which is a vessel that can carry various cargoes between different ports.32