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Ship Chartering

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Ship chartering is hiring a ship by one or more merchants for a particular voyage.  It is a rental agreement in which a charterer agrees to hire a ship from its owner. Typically it is the charterer who will be the owner of the cargo, which he needs to move to some other part of the world, and as he doesn’t have a ship of his own, he will depend on others to move the cargo for him. The hire money for this transaction is known as freight.

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