What does a COA specify about cargo commitment?

What does a COA specify about cargo commitment?

• A. A specific quantity of cargo over a set time
• B. A single voyage
• C. A fixed price per ton
• D. A crew roster

Answer: (A)

A COA specifies a commitment to move a specific quantity of cargo within a defined time period. This long‑term freight agreement gives both sides predictability: the charterer commits to delivering a certain volume, and the shipowner commits to transporting that volume over the set timeframe. It’s about planning and securing future loading and sailing slots, not about a single voyage or a fixed price per ton as the defining feature. A crew roster isn’t part of the cargo commitment under a COA.

A COA specifies a commitment to move a specific quantity of cargo within a defined time period. This long‑term freight agreement gives both sides predictability: the charterer commits to delivering a certain volume, and the shipowner commits to transporting that volume over the set timeframe. It’s about planning and securing future loading and sailing slots, not about a single voyage or a fixed price per ton as the defining feature. A crew roster isn’t part of the cargo commitment under a COA.