- The Baltic Exchange Irish Society Dinner
With over 400 attendees from across the globe, the Baltic Exchange Irish Society dinner is one of the best attended shipbroker events of the year.
The night opens with a drinks reception in the Porter Tun Room, before dinner in the Grand Hall. Toasts and speeches follow from the Chairman and guest speaker, before the traditional sing-along.
The event will take place at The Brewery (EC1Y 4SD) from 6pm on 12 March 2020. Tickets are now available at £95pp. For further details or to purchase tickets, please contact Irish Society Treasurer, John Ollett, firstname.lastname@example.org / 02071993497 / 07794 274 885.
- Baltic ICS lecture & traditional Vasilopita cutting
The Institute of Chartered Shipbrokers and the Baltic Exchange had their third Baltic ICS Lecture on 11 February at the Piraeus Marine Club.
The seminar focussed on “The Evolution of Ship Recycling”. Guest speaker, Dr. Konstantinos Galanis, Director, Dido Shipping Co. SA, Chairman of International Ship Recycling Association, shared his ideas with the audience regarding the progress made in Ship Recycling, with respect to the entry-into-force of the Hong Kong Convention, but also due to transformation of the economic and environmental impact related to this fourth pillar of shipping.
Following the seminar, both organisations cut the Vasilopita cake, a Greek tradition to mark the New Year with aspirations of happiness, success and creativity. The lucky winners of “the flouri”, the lucky coin hidden inside the Vasilopita, were Karagkouni Konstantina, MICS, and Grapsas Nikolaos, FICS, who won a beautiful painting created from the children of “ARGO”, the Association of Naval Parents of Children with Special Needs.
Members, shipping practitioners, friends and colleagues had the opportunity to network and exchange their views on several shipping matters at the cocktail reception that followed.
Photographs from the event are available here.
- The Chairman’s Cocktail Party
One of the standout events of the Baltic calendar, the Chairman’s Cocktail Party, will take place this year on Wednesday 13 May.
Attended by 600 guests, this historic event was originally held on the floor of the old Baltic Exchange and celebrated the end of a Baltic Chairman’s two-year tenure. Now held at Christ Church Spitalfields in London, it brings Baltic Members and invited guests from across the globe together for a unique annual networking and social event.
Tickets are available here.
We anticipate this to be a sell-out event. Therefore we suggest securing your tickets early to avoid disappointment.
Pictures from last year’s event are available to view here.
- Tanker Derivatives Lunch
Join the Baltic on 4 March at the Tanker Derivatives Lunch for a meeting with the FFA Brokers Association and an in-depth analysis of the physical freight, tanker, LNG and FFA markets.
Registration and further details here.
- BEGS annual dinner
The Baltic Exchange Golfing Society (BEGS) annual dinner will take place on Thursday 5 March at the Honourable Artillery Company (HAC) in Moorgate.
The dress code is black tie, with both golfers and non-golfers welcome to attend.
Pictures from last year’s dinner can be viewed here.
- Member Update: 26 February
The following individuals have applied for membership of an existing member company:
Company Individual Barry Rogliano Salles
Miss S C Y Ritsos Braemar ACM Shipbroking Ltd Mr J J Lovell ETG Commodities BV
Mr W Vermatt Trafigura Derivatives Ltd Mr A Karalis
Any comments should be passed to Karen Karanicholas by 4 March 2020.
- International Malaysian Society of Maritime Law conference
The Baltic Exchange is supporting the International Malaysian Society of Maritime Law’s conference in Kuala Lumpur, 18-19 March. Focusing on “Sustainability and Growth in the Post-2020 Era”, the conference features an address by the Attorney General of Malaysia as well as presentations from Western Bulk, Malaysian Shipowners Assoc, Johor Port and the Minister of Transport.
The Baltic Exchange’s Mark Ma will be joining a discussion panel.
Click here for further details.
- Baltic Academy: FFA training courses this March and April
There are still limited places available on the Baltic’s freight derivatives training courses in London (9-12 March) and New York (27-30 April).
Freight Derivatives & Shipping Risk Management
An overview of risk in the shipping business. Topics covered include freight rate risk management, derivative instruments, freight rate options, bunker and financial risk management, ship price risk management, Value at Risk and credit risk.
Advanced Freight Modelling & Trading
A focus on pricing freight options, modelling freight rate dynamics, constructing forward curves, modelling freight rate volatility as well as hedging and trading strategies.
For full details please visit www.balticexchange.com/other-services/training-2
- Richard (Dick) Johns
Members will learn with deep regret Richard (Dick) Johns passed away, peacefully, on 2 February 2020.
Mr Johns was first elected a Member of the Baltic in 1954 for Eggar Forrester, and then went on to represent International Chartering from 1969 until 1997.
His cremation will take place on Wednesday 26 February at 11.15 at Seven Hills Crematorium, Felixstowe Road, Nacton, Suffolk IP10 0FG.
- Alan Hammond
Members will learn with deep regret of the death of Alan Hammond on 16 February 2020.
Mr Hammond was first elected a Member of the Baltic in 1955 for Harley Mullion & Co Ltd. He went on to represent Diamantis Pateras between 1962 and 1973, and in 1974 he was elected a Principal for Transmarine Shipping Agency until retiring in 2002.
He also served as a Baltic Director between 1986-1988 and 1991-1997.
His funeral will be held on 11 March 2020, at 1130 in Our Lady of Sorrows, Lower Road, Effingham, KT24 5JP.
The family have requested no flowers, but donations to The MS Society would be most welcome.
- Importance of Master’s cargo checks
A decision in recent High Court case has made it clear that there is no implied indemnity from a charterer to their counterpart owners if cargo shippers present bills of lading that record the cargo as being loaded clean on board, even if the shippers could have ascertained that the cargo was in fact damaged at the time of loading.
Ince partner Jamila Khan and managing associate Natalie Nielsen lay out the facts of the case. Noble Chartering Inc (the disponent owner) timechartered a vessel from the head owner and then sub-voyage chartered the vessel to Priminds Shipping (HK) Co Ltd (the voyage charterer). Under the voyage charterparty, the vessel loaded a cargo of soya beans in bulk at Santos, Argentina, for discharge at Guangzhou, China. The cargo was loaded by the cargo shipper from a silo via mechanical hoppers.
At the discharge port, the cargo receiver discovered that portions of the cargo had suffered heat and mould damage. In order to prevent the arrest of the vessel, the shipowner secured the receiver’s cargo claim and agreed that it would be subject to Chinese law and the jurisdiction of the Chinese courts. The receiver’s cargo claim was litigated in the Chinese courts, who found the shipowner liable to the receiver for $1,086,564.70.
The shipowner in turn brought a claim against the disponent owner under the terms of the time charterparty, seeking a contribution of 50% of the sum paid to the receiver. This claim was settled by the disponent owner paying $500,000 to the shipowner.
The disponent owner then commenced London arbitration against the voyage charterer under the voyage charterparty, seeking to recover the $500,000 paid to the shipowner and the costs of defending that claim. The disponent owner claimed that they were owed an indemnity for these costs, although there was no express provision in the voyage charterparty providing for such an indemnity.
Following arbitration, the Tribunal’s Award highlighted the facts that the cargo had been damaged by heating caking and by mould; that both types of damage were pre-existing at the time of loading but were not reasonably visible to the Master during loading, so the Master could not have verified the condition of the cargo; and the damage would have been reasonably visible to the shipper at the time of loading.
The disponent owner argued that the words “Clean on Board” and “SHIPPED at the Port of Loading in apparent good order and condition” in the draft bill of lading that the shipper provided to the Master for his signature amounted to a representation or warranty by the shipper as to the apparent condition of the cargo at the time of loading. The disponent owners pointed out that the shipper was acting as the voyage charterer’s agent in loading the cargo and said that, by presenting the draft bill of lading in those terms, it had represented that the cargo was in good order when it was loaded – although it was not – and so the voyage charterer owed them an indemnity for the losses caused by the cargo damage.
The Court rejected this argument, stating that although the Hague Rules provide an indemnity in respect of information provided by the charterer which is included in the bills of lading (for example, the marks on bales of cargo or the cargo weights), this indemnity did not extend to statements concerning the apparent order and condition of the cargo. The wording relating to the condition of the cargo in the draft bill of lading was not a representation or a warranty by the shipper or voyage charterer, but was instead an invitation to the Master to make a representation of fact about the state of the cargo, in accordance with his own assessment of the cargo’s apparent condition. Accordingly, the Court held that the voyage charterer did not owe an implied indemnity to the disponent owner in relation to the cargo claim.
Commented Ms Khan and Ms Nielsen: “Industry observers are unlikely to be surprised by the Court’s ruling in this case, as it has long been understood that it is incumbent on a master to perform his own assessment of the apparent state of the cargo during loading and, if necessary, to clause the bill of lading (despite any “clean” wording in the draft provided by the shippers).
“In practice, a master is often not in a position to make an accurate assessment of the condition of the cargo while it is being loaded. Under English law this gives the shipowners a defence under the Hague/Hague-Visby Rules against a claim brought by the cargo receivers. However, due to the global nature of shipping, a shipowner could face a situation where they are obliged to accept the jurisdiction of a local court that does not apply these defences in the same way. In such circumstances, the shipowner will only be able to pass this claim down to their charterers if the charterparty terms permit it, for example by incorporating the terms of the Inter-Club Agreement.
“This decision makes it clear that there is no implied indemnity from a charterer to their counterpart owners if their agents (the cargo shippers) present bills of lading that record the cargo as being loaded clean on board, even if the shippers could have ascertained that the cargo was in fact damaged at the time of loading.”