Charter Party No.1 Part 3 of 3 part contract

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1 Effective 1 st June 2014 Charter Party No.1 Part 3 of 3 part contract Copyright THE GRAIN AND FEED TRADE ASSOCIATION SHORT VOYAGE CHARTER PARTY TERMS *delete/specify as applicable Date OWNERS... CHARTERERS... have this day entered into a charter party on the following terms and conditions. 1. SHIP/VESSEL... as stated in Part 1 (a), and as described in Part CARGO... as stated in Part 1 (e). 3. PORT OF LOADING The said vessel shall proceed directly with utmost despatch to the port of loading as stated in Part 1 (f), and there load the cargo as stated in Part 1(e). 4. PORT OF DISCHARGE The said vessel shall proceed directly with utmost despatch to the port of discharge as stated in Part 1 (g) or so near thereto as she may safely get and lie always afloat or safely aground and there deliver the cargo, or as ordered on signing Bills of Lading. 5. LOADING / DISCHARGING COSTS F.I.O. and Free Stowed/Trimmed - The cargo shall be brought into the holds, loaded, stowed and, unless otherwise agreed, trimmed and taken from the holds and discharged by the Charterers or their Agents, free of any expense to the Owners, but always to the satisfaction of and under the supervision and responsibility of the Master. The Owners shall provide and pay for winches, motive power and winchmen from the Crew if requested and permitted; if not, the Charterers will provide and pay for cranes and/or winchmen from the shores, if required. (This provision shall not apply if vessel is gearless and stated as such in Part 2). Furthermore, if stowage bags have specifically been agreed, the following shall apply: (a) Charterers shall supply for stowage purposes only a quantity of bagged cargo not exceeding.. per cent of the total. (b) The number of bags stated on the signed Bills of Lading to be binding on vessel and Owners, unless error or fraud is proved. The whole cargo shall be carried and stowed under deck. 6. LAYTIME (Delete (a) or (b) as required) (a) Separate laytime for loading and discharging - The cargo shall be loaded within the number of weather working hours as stated in Part 1 (k), Saturdays, Sundays and holidays excepted, unless used in which event time actually used shall count. The cargo shall be discharged within the number of weather working hours as stated in Part 1 (l), Saturdays, and Sundays and holidays excepted, unless used, in which event time actually used shall count. (b) Total laytime for loading and discharging - The cargo shall be loaded and discharged within the number of total weather working hours as indicated in Part 1 (k) and (l), Saturdays, Sundays and holidays excepted, unless used, in which event time actually used shall count. (c) Commencement of laytime (loading and discharging) - Laytime for loading and discharging shall commence at hrs if notice of readiness is given at or before noon on a working day, and at hrs the next working day if notice given during office hours after noon on a working day. 1/1 (3)

2 The Notice of Readiness may be given from the usual place WIPON, WIBON, WIFPON, customs cleared or not. Time actually used before commencement of laytime shall count. Should the vessel still be unable to tender a Notice of Readiness after the expiry of 48 hours after its arrival at the port of loading Charterers have the option to cancel this Charter Party and claim all reasonable damages arising from any such failure. Charterers may extend the period of 48 hours at their option. If Owners dispute that holds are not clean, dry, odourless, and in all respects ready to receive the contracted cargo, an independent surveyor, mutually agreed upon, will decide if the vessel is ready to load with the Owners bearing all costs of his appointment and associated fees if any. 7. CANCELLING Should the vessel not be ready to load (whether in berth or not) on or before the date stated in Part 1 (i), Charterers have the option of cancelling this contract. Should the vessel be delayed on account of average or otherwise, Charterers to be informed as soon as possible, and if the vessel is delayed for more than 10 days after the day she is stated to be expected ready to load, Charterers have the option of cancelling this contract, unless a new cancelling date has been agreed upon, and claiming damages. 8. FREIGHT The freight is payable per metric tonne on intaken weight at the following rate(s): Payment of Freight: The freight shall be paid in... (state currency) as follows: The full freight is deemed earned upon the safe arrival of the vessel and cargo at the first or sole discharge port. Any advance on freight to Owners made in order to obtain freight prepaid Bills of Lading is not recoverable from the shipowners if vessel and/or cargo are lost by reason or as a consequence of any of the excepted perils as listed in Art IV.2 of The Hague Visby Rules. 9. DEMURRAGE/DESPATCH Demurrage at the rate stated in Part 1 (m) per day or pro rata for any part of a day to be allowed. Half demurrage for despatch. 10. BROKERAGE A brokerage commission at the rate stated in Part 1 (n) on the advance of freight, freight earned, dead freight and demurrage is due to the party mentioned in Part 1 (n), to be paid by owners to brokers. 11. INSURANCE (a) Owners guarantee that the vessel is fully insured for hull and machinery risks, and will remain fully insured for the duration of this voyage. (b) Owners guarantee that vessel is entered for cargo claims with......, as stated in Part 1 (p), and that the vessel will remain fully entered for the duration of this voyage. (c) Owners guarantee that vessel will not change flag/class/ownership/managers/p&i Club coverage during the currency of this Charter Party without Charterer's prior consent. 12. EXTRA INSURANCE Any extra insurance on cargo due to vessel's age and/or flag and/or class shall be for Owners' account; such extra insurance calculated at the Institute Classification Clause rate shall be covered by Charterers for Owners' account and shall be deducted from settlement of final freight account. 13. DEVIATION Deviation in saving or attempting to save life and/or property at sea or for reasonable bunkering purposes, to be advised to Charterers and together with any other reasonable deviation shall not be deemed an infringement of this Charter Party or bill of lading, and the Owners shall not be liable for any loss or damage resulting therefrom. 1/2 (3)

3 LIEN Owners shall have a lien on the cargo for freight, dead-freight and demurrage. Charterers shall remain responsible for dead-freight, if any. 15. BILLS OF LADING The Master is to sign Bills of Lading in the form as presented by Charterers without prejudice to the terms, conditions and exceptions of this Charter Party. If the Master delegates the signing of the Bills of Lading to his Agents, he shall give them authority to do so in writing, copy of which is to be furnished to Charterers, if requested. Where Bills of Lading marked "FREIGHT PAID" and/or "FREIGHT PREPAID" are required, same shall be released by Owners immediately upon receipt of a telex from Charterers'/Owners' Bank confirming that the advance on freight has been sent to/received by Owners. 16. GENERAL AVERAGE General average to be settled in London according to York-Antwerp Rules 1994 or later amendments. 17. DUES, DUTIES, CHARGES & TAXES (a) On the vessel: - The Owners shall pay all dues, duties, charges and taxes customarily levied on the vessel, due vessel's flag/class/ownership with or without the cargo on board. (b) On the cargo: - The Charterers shall pay all dues, duties, charges and taxes customarily levied on the cargo. 18. AGENCY The Owners shall appoint and be responsible for Charterer's nominated Agent both at the port of loading and the port of discharge. 19. FUMIGATION Charterers have the liberty to fumigate the cargo on board at loading and discharging port(s) or place(s) or en route at their risk and expense. The Officers and Crew, as well as all other persons on board the vessel will follow the instructions of a qualified fumigator, during and after the fumigation. Charterers undertake to pay Owners all direct costs incurred because of fumigation and time lost thereby shall count as laytime or time on demurrage. Where the vessel is responsible for any infestation, fumigation is to be carried out at Owner's risk and expense including crew costs as above, and no time lost shall count as laytime or time on demurrage. 20. STOWAWAYS Any time lost including but not limited to demurrage and any losses, liabilities and costs incurred by reason of stowaways on board shall be for owners' account. 21. SEPARATIONS The cost of cargo separations, including labour used for laying same shall be for Charterers' account unless required by the Owners, in which case all resultant expenses, including time lost or time on demurrage to be for Owners' account. 22. STRIKES If the cargo cannot be loaded by reasons of Riots, Civil Commotion or of a Strike or Lockout of any class of workmen essential to the loading of the cargo or by reason of obstructions or stoppages beyond the control of the Charterers caused by Strikes, Lockout, Riots or Civil Commotions on the Railways, or in the Docks, or other loading places or if the cargo cannot be discharged by reason of Riots, Civil Commotions, or of a Strike or Lockout of any class of workmen essential to the discharge, the time for loading or discharging as the case may be, shall not count during the continuance of such causes, provided that a Strike or Lockout of the Shippers' and/or Receivers' men shall not prevent demurrage accruing if by the use of reasonable diligence they could have obtained other suitable labour at current rates before the Strike or Lockout. In case of any delay by reasons of the aforementioned causes, no claim for damages or demurrage shall be made by the Charterers or Shippers or Receivers of the cargo, or by Owners of the vessel. For the purpose, however, of the settling of despatch money accounts, any time lost by the vessel through any of the above mentioned causes shall be counted as time used in loading or discharging, as the case may be. In the event the vessel is delayed or rendered inoperative due to I.T.F. restrictions, strikes, labour stoppages, boycott or any other difficulties due to vessel's flag or crew, such time lost shall not count as laytime or time on demurrage. 23. WAR RISKS If the Nation under whose flag the vessel sails, shall be at war whereby the free navigation of the vessel is endangered, or in case of blockade or prohibition of export of agri-products from the loading port(s), this Charter Party shall be null and void at the last outward port of delivery or at any subsequent stage when the difficulty may arise, previous to 1/3 (3)

4 cargo being shipped. (a) No Bills of Lading to be signed for any blockaded port and if the port of discharge be declared blockaded after Bills of Lading have been signed, or if the port to which the ship has been ordered to discharge either on signing Bills of Lading or thereafter be one to which the ship is or shall be prohibited from going by the Government of the Nation under whose flag the ship sails or by any other Government, the Owner shall discharge the cargo at any other port covered by this Charter Party as ordered by the Charterers (provided such other port is not a blockaded or prohibited port as above mentioned) and shall be entitled to freight as if the ship had discharged at the port or ports of discharge to which she was originally ordered. (b) The ship shall have liberty to comply with any orders or directions as to departure, arrival, routes, ports of call, stoppages, destination, delivery or otherwise however given by the Government of the Nation under whose flag the vessel sails or any department thereof, or by any other Government of any department thereof, or any person acting or purporting to act with the authority of such Government or of any department thereof, or by any committee or person having under the terms of the War Risks Insurance on the ship, the right to give such orders or directions and if by reason of and in compliance with any such orders or directions anything is done or is not done, the same shall not be deemed a deviation, and delivery in accordance with such orders or directions shall be a fulfilment of the contract voyage and the freight shall be payable accordingly. 24. GENERAL ICE Should ice prevent the vessel from reaching the port of loading or discharge, the Receivers shall have the option of keeping the vessel waiting until the reopening of navigation and paying detention costs at the rate of demurrage, or ordering the vessel to proceed to a safe and nearest accessible port where she can safely load or discharge without risk of detention by ice. Such orders to be given within 48 hours after the Master or the Owners have given notice to Charterers of the impossibility of reaching port or place of destination. If before or during loading or discharging the Master for fear of the vessel being frozen in deems it advisable to leave, he has the liberty to do so with what cargo he has on board and proceed to the nearest safe and accessible port. Such port to be nominated by Charterers and/or receivers as soon as possible, but not later than 24 running hours, Sundays and Holidays excluded, upon receipt of owners' request to nominate a substitute loading or discharging port or place, failing which, the Master will himself choose such port or place. On delivery of the cargo at such port or place, all conditions of the Bill(s) of Lading shall apply and the vessel shall receive the same freight as if she had discharged at the original port of destination, except that if the distance to the substitute port or place exceeds 100 nautical miles, the freight on the cargo delivered at the substitute port or place shall be increased proportionally. 25. RESPONSIBILITIES AND IMMUNITIES This Charter Party and any Bills of Lading issued pursuant thereof is to be subject to the Hague-Visby Rules. If any provision of this Charter Party and of any Bill of Lading issued pursuant to it shall be repugnant to the said rules to any extent, such provision shall be void to that extent, but no further. The Owners shall in no case be responsible for loss of or damage to cargo howsoever arising prior to loading into and after discharge from the vessel. Save to the extent otherwise in this Charter Party expressly provided, neither party shall be responsible for any loss or damage or delay or failure in performance hereunder resulting from Act of God, war, civil commotion, quarantine, strikes, lockouts, arrest or restraint of princes, rulers and peoples or any other similar event. 26. LAW AND ARBITRATION That the Charter Party shall be deemed to have been made in England and to be performed in England and shall be construed and take effect in accordance with the laws of England. Any dispute arising out of or under this Charter Party or any bill of lading issued thereunder shall be referred to Arbitration in accordance with the Arbitration Rules Form No: 127 of the Grain and Feed Trade Association, in the edition current at the date of this Charter Party, such Rules forming part of this Charter Party and of which the parties shall be deemed cognisant. 27. SPECIAL PROVISIONS Owners guarantee that the description of the vessel is correct and any breach by Owners of any term forming part of the description of the vessel will give Charterers the option to terminate this Charter Party and/or claim damages. Owners... Charterers... Printed in England and issued by GAFTA THE GRAIN AND FEED TRADE ASSOCIATION 1/4 (3)

5 9 LINCOLNS INN FIELDS, LONDON WC2A 3BP 1/5 (3)