The Time Charter:
Under the time charter contract, the vessel is rented for a period of time. Sometimes in a certain geographical area. The period may vary from a few months or years. The payment of the rent is determined by the interaction of supply and demand and market expectations, being agreed on a payment in dollars per day (US $ / day). The costs generated by the trip are paid by the charterer (ship operator). The owner of the vessel maintains the payment of the capital costs and the ship’s operating costs (Crew, maintenance, parts and insurance).
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