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‘I would strongly recommend this book to anyone who is interested in shipping or taking a course where shipping is an important element, for example, chartering and broking, maritime transport, exporting and importing, ship management, and international trade. Using an approach of simple analysis and pragmatism, the book provides clear explanations of the basic elements of ship operations and commercial, legal, economic, technical, managerial, logistical, and financial aspects of shipping.’ Dr Jiangang Fei, National Centre for Ports & Shipping, Australian Maritime College, University of Tasmania, Australia ‘Branch’s Elements of Shipping provides the reader with the best all-round examination of the many elements of the international shipping industry. This edition serves as a fitting tribute to Alan Branch and is an essential text for anyone with an interest in global shipping.’ David Adkins, Lecturer in International Procurement and Supply Chain Management, Plymouth Graduate School of Management, Plymouth University ‘Combining the traditional with the modern is as much a challenge as illuminating operations without getting lost in the fascination of the technical detail. This is particularly true for the world of shipping! Branch’s Elements of Shipping is an ongoing example for mastering these challenges. With its clear maritime focus it provides a very comprehensive knowledge base for relevant terms and details and it is a useful source of expertise for students and practitioners in the field.’ Günter Prockl, Associate Professor, Copenhagen Business School, Denmark This page intentionally left blank Branch’s Elements of Shipping Since it was first published in 1964, Elements of Shipping has become established as a market leader. Now in its ninth edition, Branch’s Elements of Shipping, renamed in memory of Alan Branch, has been updated throughout and revised to take in the many changes that have occurred in the shipping industry in recent years, including the impact of the economic crisis, the Panama Canal expansion and new legislation. All tables and data have been brought up-to-date and many new illustrations have been added. The book explains in a lucid, professional manner the basic elements of shipping, including operational, commercial, legal, economic, technical, managerial, logistical and financial considerations. It also explores how shipping markets behave and provides an overview of the international shipping industry and seaports. Filling a gap for the discerning reader who wishes to have a complete understanding of all the elements of the global shipping scene together with the interface with seaports, international trade and logistics, it remains essential reading for shipping executives along with students and academics with an interest in the shipping industry. Alan E. Branch was International Business/Shipping Consultant, Examiner in Shipping, Export Practice and International Marketing and Visiting Lecturer at Cardiff University, Reading University, Plymouth University, Leicester University, London City College and the Rennes International School of Business, France. Michael Robarts, Master Mariner, is a Member of the Institute of Chartered Shipbrokers and a Fellow of the Institute of Commercial Management (ICM) and an examiner for their Maritime Management programme. Shipping Also available from Routledge: Maritime Economics Management and Marketing Alan Branch Global Supply Chain Management and International Logistics Alan Branch Books by Alan Branch: Export Practice and Management Maritime Economics Management and Marketing Shipping and Air Freight Documentation for Importers and Exporters International Purchasing and Management Global Supply Chain Management and International Logistics Elements of Port Operation and Management Dictionary of Shipping International Business Trade Terms and Abbreviations Dictionary of Commercial Terms and Abbreviations Dictionary of English–Arabic Shipping/International Trade/Shipping Terms and Abbreviations Dictionary of Multilingual Commercial/International Trade/Shipping Terms in English French German Spanish Branch’s Elements of Shipping Ninth edition Alan E. Branch and Michael Robarts First published 2014 by Routledge 2 Park Square, Milton Park, Abingdon, Oxon OX14 4RN and by Routledge 711 Third Avenue, New York, NY 10017 Routledge is an imprint of the Taylor & Francis Group, an informa business © 2014 Alan E. Branch and Michael Robarts The right of Alan E. Branch and Michael Robarts to be identified as author of this work has been asserted by him in accordance with the Copyright, Designs and Patent Act 1988. All rights reserved. No part of this book may be reprinted or reproduced or utilised in any form or by any electronic, mechanical, or other means, now known or hereafter invented, including photocopying and recording, or in any information storage or retrieval system, without permission in writing from the publishers. Trademark notice: Product or corporate names may be trademarks or registered trademarks, and are used only for identification and explanation without intent to infringe. British Library Cataloguing in Publication Data A catalogue record for this book is available from the British Library Library of Congress Cataloging in Publication Data Branch, Alan E. [Elements of shipping] Branch's elements of shipping/Alan E. Branch and Michael Robarts. – 9th edition. pages cm 1. Shipping. I. Robarts, Michael. II. Title. HE571.B67 2014 387.5′44--dc23 2014012184 ISBN: 978-1-138-78667-7 (hbk) ISBN: 978-1-138-78668-4 (pbk) ISBN: 978-1-315-76715-4 (ebk) Typeset in Times New Roman by Florence Production Ltd, Stoodleigh, Devon, UK To my wife Kerry Elisabeth This page intentionally left blank Contents List of figures xvi List of tables xviii Preface to the ninth edition xxi Acknowledgements xxv 1 Introduction 1 1.1 Function of shipping 1 1.2 World seaborne trade and world fleet 2 1.3 Challenges facing the shipping industry in the twenty-first century 7 2 The ship 10 2.1 Main features of hull and machinery 10 2.2 International navigation limits 14 2.3 International Convention on Load Lines 1966 19 2.4 Types of propulsion and future trends 20 2.5 Types and methods of tonnage measurement 22 2.6 International Convention on Tonnage Measurement of Ships 1969 23 3 Ship design and construction 25 3.1 Ship design and future trends 25 3.2 Ship productivity 27 3.3 General principles and factors influencing design, type and size of ship 28 3.4 Safety and other regulations 32 3.5 Statutory regulations 33 3.6 Survey methods 39 3.7 Harmonization of surveys 40 3.8 Vessel lengthening 43 3.9 Cruise vessels 44 x Contents 3.10 General structure of cargo vessels 45 3.11 Economics of new and second-hand tonnage 48 4 Ships, their cargoes, trades and future trends 53 4.1 Types of ships 53 4.2 Liners 54 4.3 Tramps 55 4.4 Specialized vessels and their trades 59 5 Manning of vessels 81 5.1 Introduction 81 5.2 Duties and responsibilities of the Master 87 5.3 Ship’s officers and crew manning 90 5.4 The IMO Convention on Standards of Training, Certification and Watchkeeping (STCW) adopted in 1984 93 5.5 Engagement and discharge of the crew 95 6 Customs house and ship’s papers 99 6.1 Introduction 99 6.2 E-commerce; customs 100 6.3 Value added tax 101 6.4 Intrastat 101 6.5 Export controls 102 6.6 Customs tariff 102 6.7 Customs Freight Simplified Procedures (CFSP) 103 6.8 New Export System (NES) 104 6.9 Unique Consignment Reference (UCR) 105 6.10 Customs reliefs 106 6.11 Importation and exportation of goods 108 6.12 Ship’s papers 111 6.13 Ship’s protest 120 7 Maritime canals and inland waterways 122 7.1 Introduction 122 7.2 European inland waterways 123 7.3 The Suez Canal Authority 126 7.4 The Kiel Canal 128 7.5 The Panama Canal 129 7.6 The St Lawrence Seaway 132 7.7 The influence of canals on ship design 133 7.8 Canal areas as points of economic growth 134 7.9 Inland waterways 134 7.10 The Channel Tunnel 134 Contents xi 7.11 The Scanlink projects 135 7.12 The Ghan (Melbourne–Darwin rail route) 135 8 Services performed by principal shipping organizations 136 8.1 Introduction 136 8.2 International Association of Classification Societies 137 8.3 International Association of Dry Cargo Shipowners (Intercargo) 140 8.4 International Chamber of Shipping (ICS) 141 8.5 International Association of Independent Tanker Owners (Intertanko) 141 8.6 International Federation of Freight Forwarders Associations (FIATA) 142 8.7 International Energy Agency 143 8.8 International Maritime Industries Forum (IMIF) 144 8.9 International Maritime Organization 144 8.10 International Organization for Standardization (ISO) 152 8.11 International Ship Managers’ Association (ISMA) 154 8.12 International Tankers Owners Pollution Federation (ITOPF) 155 8.13 Lloyd’s Register of Shipping 157 8.14 Malta Maritime Authority 165 8.15 International Maritime Pilots’ Association 167 8.16 Nautical Institute 167 8.17 Norwegian International Ship Register 167 8.18 Norwegian Shipowners’ Association 168 8.19 Oil Companies’ International Marine Forum (OCIMF) 168 8.20 Organization for Economic Co-operation and Development (OECD) 170 8.21 Organization of Petroleum Exporting Countries (OPEC) 171 8.22 Passenger Shipping Association (PSA) 172 8.23 World Trade Organization (WTO) 173 8.24 Baltic Exchange 175 8.25 Baltic and International Maritime Council (BIMCO) 177 8.26 Freight Transport Association, incorporating the British Shippers’ Council 180 8.27 United Nations Conference on Trade and Development (UNCTAD) 180 9 Passenger fares and freight rates 182 9.1 Theory
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