Mongolia Award02-001

IFB #:
Tender Date:
Award Date:
Award Flag:
Gov. to Gov.
Charrier Gibson & Associates, Inc.


 IFB NO. Mongolia-416(b)-02-001 


Country: Mongolia IFB NO. MON-416(b)-02-001
25,000 MT Bulk Wheat (HRW)
Load Port: Stockton, CA
Laydays: Jan 15 - 25, 2002
Discharge Port: Vladisvostock thru B/L to Ulaanbaatar, Mongolia
Owner: Liberty Maritime Corp
Vessel/Flag: LIBERTY WAVE / US
Booked Rate: $131.13 GMT    Ocean $67.13/Other $64.00)


Government of Mongolia Section 416(b) Wheat in Bulk Freight Tender dated December 11, 2001 Amendment One dated December 12, 2001

IFB No. MON-416(b)-02-001

Charrier, Gibson and Associates, Inc., on behalf of the Embassy of Mongolia, Washington, D.C. amends the Section 416(b) IFB NO. MON-416(b)-02-001 released on December 11, 2001 as follows:

A. Laydays: January 15/25, 2002

B. Final destination points in the IFB and Charter Party refer to grain elevators in Ulaanbaatar. Owners to deliver the rail cars to the grain elevators declared prior vessel loading, where receivers will take delivery and discharge rail cars at receivers time, risk and expense.

Otherwise all terms and conditions of the freight IFB dated December 11, 2001 and associated proforma Charter Party to remain unchanged.

For additional information, please contact the offices of Charrier, Gibson and Associates, Inc., 1000 Thomas Jefferson Street, N.W., Suite 500, Washington, D.C.
Telephone: (202) 333-1303. Fax: (202) 333-5755. E-mail:
Internet: .


Charrier, Gibson and Associates, Inc., on behalf of the Embassy of Mongolia, Washington, D.C. requests offers of geared or gearless U.S. and non-U.S. flag vessels on the basis of full or part cargo or liner shipment for the carriage of bulk wheat under Section 416(b) IFB NO. MON-416(b)-02-001 on the following basis:

1. Cargo: Approximately 25,000 metric tons HRW wheat in bulk.

-Cargo quantities will be contracted on a min/max basis.
-This cargoes to be stowed in holds devoted exclusively to this cargo with no mixing of the different types / classes. If artificial bulkhead required same to be at owner's time, risk and expense and to be built to charterers surveyor's / NCB satisfaction.
-Charterers and USDA reserve the option to contract any quantity up to the quantity stated.
-Vessel owners and brokers should offer vessels to carry a range of tonnages in order to meet the program needs.
-Any additional completion cargoes must be duly separated must be compatible, and non-injurious to the Government of Mongolia cargo(es), and must be stated in the offer or approved by Charterers / USDA if contracted after fixing Government of Mongolia cargo(es). Vessel's itinerary and geographical proximity of completion cargo(es) will be taken into consideration by Charterers / USDA in considering approval of such part cargo(es) in order not to unduly impede delivery of cargo to Mongolia.

2. Laydays: January 15/25, 2002

-Owners will be required to submit a 14 day pre-advice of vessels ETA at the first or sole load port to the offices of Charrier, Gibson & Assoc., Inc. prior to 1100 hours Washington, DC time on a business day to be considered received on that day.
-Offers with laydays beyond canceling date will not be considered.

3. Load Port: 1/2 Safe Berths each 1/2 Safe U.S. Ports including U.S. Great Lakes ports. The Greater New Orleans/ Mississippi River area, including but not north of Baton Rouge, shall be considered as one port. Columbia River District including Portland to be considered as one port. San Francisco Bay Area including Sacramento and Stockton to be considered as one port. For offers basis U.S. Great Lakes utilizing feeder vessels, offers are to include name and description of feeder vessels. Offerors should specify U.S. coastal range or ranges and / or load ports which are applicable to their offer.

4. Discharge Port/Final Destination Points:

-Under through Bills of Lading via Vladivostock (other proposed ports will be considered) to initial point(s) of discharge to Ulaanbaatar, Mongolia at Owner's time, risk and expense.
-The Government of Mongolia, as receivers of this cargo, will take delivery in rail cars at the initial point(s) of discharge in Mongolia and discharge the rail cars at the receivers time, risk and expense.

5. Owners to be fully responsible for vessel's acceptance into port of discharge. Owners should independently obtain information regarding port restrictions and any special requirements of the port authorities due to possible congestion.
-Vessels that are not accepted into the discharge port and/or berth by the port authorities, for any reason (including but not limited to configuration, lack of suitable gear, etc.), are responsible for full or partial lightening into bulkcarriers, sufficient enough to satisfy port authorities, at Owner's time, risk and expense.
-Owners should also independently determine vessels suitability and port configuration for lightening cargo at above named port prior to submission of offer. Please refer to the applicable clauses pertaining to discharging and lightening in the proforma Charter Party.

6. Load Terms/Rate: Vessel load at the average rate listed below based on the vessel's contracted quantity. The rates are basis metric tons of 2,204.6 pounds per weather working day of 24 consecutive hours, Sundays and holidays excepted, even if used. Saturdays as per BFC Saturday Clause.

-Bulkcarriers: Vessel Contracted Quantity: Loading Guarantee:

0 - 9,999 MT 4,000 MT per day

10,000 - 19,999 MT 5,000 MT per day

20,000 - 29,999 MT 6,000 MT per day

30,000 - 39,999 MT 7,500 MT per day

40,000 - 49,999 MT 10,000 MT per day

50,000 MT and above 12,000 MT per day

-Tankers (Provided that the vessel can accept and stow/trim at these rates):

Vessel Contracted Quantity: Loading Guarantee:

0 - 9,999 MT 4,000 MT per day

10,000 - 19,999 MT 5,000 MT per day

20,000 - 29,999 MT 6,000 MT per day

30,000 MT and above 7,500 MT per day

-Tweendeckers / Multideckers (including liners) : Loading Guarantee will be 3,000 MT per day.
-Lash / Seabee barges: The Loading Guarantee will not apply.
-Cargo to be loaded, stowed and trimmed at the Owners' expense.

7. Demurrage / Despatch at Load Port Only: Offerors are to specify a demurrage / despatch rate for load port only. Despatch is to be one-half the demurrage rate. Laytime accounts are to be settled directly between the Owners and the commodity supplier(s) for each load port. Laytime calculations, overtime and trimming to be in accordance with Addendum No. 1 of the North American Export Grain Association (NAEGA) FOB contract No. 2 (revised as of August 1, 1988) Clause Nos. 1-10 inclusive, regardless of type of vessel. In addition, the following modifications to the NAEGA contract will apply: Anywhere the word "buyer" appears, the words "vessel owner" shall be substituted. Under no circumstances shall CCC or the Charterers be responsible for resolving disputes involving the calculation of laytime or the payment of demurrage or despatch between the vessel owners and the commodity supplier(s). All disputes arising out of this contract relating to the settlement of laytime issues shall be arbitrated in New York under the rules of the Society of Maritime Arbitrators, Inc.

8. Discharge Terms: Berth terms, all inclusive, under through Bill of Lading to the initial point(s) of discharge in Mongolia as described above. No demurrage, despatch or detention charges at discharge port or on rail cars at initial point(s) of discharge in Mongolia.

9. Tug and barge combination will not be considered if offered as a tandem tow or a double tow. Foreign flag vessels must not be older than 20 years and must be classed highest in Lloyd's register or its equivalent.

10. Successful offeror is to provide name of inland contractor prior to USDA's final approval of fixture. Only named inland contractor is acceptable.

11. Offerors to provide separate rates for the following. Freight rate to be quoted per metric ton basis one load port to one discharge port with quotation of additional freight, if any, for additional load/discharge port(s) if used. Offers with premiums for additional load / discharge berths will not be considered (no other additional charges may be quoted in the offer).

-A) Ocean transportation excluding bulk discharge.

-B) Bulk discharge cost - note that bulk discharge cost is to be stated separately for purposes of MARAD rate guideline calculations.

-C) Inland transportation per metric ton by rail to the initial point(s) of discharge in Mongolia as described above.

-D) If owners intend to lighten, cost of lightening to be stipulated in offer whether partial or full lightening. In the event that lightening is not performed at the discharge port and vessel berths and directly discharges at berth said lightening cost shall be deducted by USDA from ocean freight. In case of lightening cargoes, should the lighter (daughter) vessel call at more than one port, the additional freight premium will be paid only for the quantity carried on that particular lighter (daughter) vessel. If a lighter (daughter) vessel is used solely at one port, freight will be paid at the base rate for that particular lighter (daughter) vessel.

12. For U.S. non-liner vessels whose date of original construction exceeds 15 years from date of fixture, one-way rates must be quoted in addition to round trip rates.

13. Extra insurance on account of vessel's age (but maximum 20 years for non-U.S. flag vessels), flag, ownership, configuration, classification, will be for owner's account, but not exceeding New York's market rates. Any extra insurance premium on ocean going tug/barge will be for owners account, but not exceeding New York's market rates. Owner of tug/barge must also have tow arrangement duly inspected and certified by Salvage Association, if applicable, otherwise by competent independent surveyor/inspector at owner's expense.

14. Vessels must be able to be fumigated with an aluminum phosphide preparation in-transit in accordance with the USDA, FGIS Fumigation Handbook and vessels that cannot be so fumigated will not be considered. At final load port, commodity supplier(s) to arrange and pay for in transit fumigation performed by a certified applicator in accordance with the USDA, FGIS fumigation handbook. Fumigation must be witnessed by FGIS, USDA, and the aluminum phosphide preparation must be contained in packaging as described in the Fumigation Handbook. Dust retainers must be used. For tweendeckers and bulkcarriers (including push-mode ITB) the recirculation method of fumigation will be used. For tankers and tug / barges other than push mode ITB's, surface application will be used.

Tweendeck vessels will be considered provided they are acceptable for in-transit fumigation in accordance with FGIS Fumigation Handbook. Offers of such tweendeck vessels must be accompanied by a copy of a letter from FGIS, USDA stating that the vessel can be fumigated under the FGIS in-transit fumigation procedures.

As an alternative to the above letter from FGIS a tweendeck vessel will be considered if the offer states that the vessel Owner agrees to cooperate with FGIS in a test of in-transit fumigation (recirculation method) and agrees to bear any additional costs of such test which exceed the normal costs of fumigation of the vessel. Such offer must be accompanied by a letter from FGIS stating that the named vessel is suitable for such a test.

(FGIS Standards and Procedures Branch (202) 720-0252.)

In addition,tweendeck vessels are acceptable only when a certified applicator states that the vessel has been inspected and found to be suitable for fumigation and such written statement from certified applicator should be submitted with offer.

At the discharge port and upon inspection by government inspectors, if the cargo and/or vessel is found to be infested , and provided clean bills of lading were issued, fumigation costs, if any, are to be for the vessel owners account.

15. U.S. Flag approved freight rate will be reduced to a level no higher than the Maritime Administration fair and reasonable rate in the event that approved vessel is substituted by a lower cost vessel (including tug and/or barge).

16. Only clean offers of named vessels will be considered. Offerors are encouraged to include usual information such as owner's full style and full vessel particulars including flag, year built, DWT, LOA, beam, draft, class, speed, grain cubic capacity, holds (intended for stowage and configuration), hatches, gear and vessel itinerary.

17. Freight payment of 60 percent will be made in accordance with the terms of the Proforma Charter Party upon vessel's arrival at first or sole port of discharge. Balance of 40 percent freight will be payable as per the Proforma Charter Party upon delivery of the cargo at the final destination(s) stated above. Please note provision in the proforma Charter Party clause number 48 regarding payment by electronic transfer.

18. Non-vessel operating common carriers (NVOCC) may not be employed to carry U.S./foreign flag shipments. Transshipment is prohibited.

19. U.S. flag offers will not be considered if the vessel operator has not provided the U.S. Maritime Administration with the vessel costs prior to submission of the offer.

20. For U.S. flag vessels loading less than a full cargo, the less than full cargo freight rate will be subject to a reduction to meet any revised U.S. Maritime Administration freight rate guideline due to vessel loading other additional cargo.

21. Owners to provide additional NCB certifications evidencing that vessel hatch covers and any other openings leading to cargo compartments have been sealed to prevent any outside water entering the cargo compartments.

22. Owners to guarantee that performing vessel fully complies with the International Safety Management (ISM) Code, if required, and is in possession of a valid Document of Compliance and Safety Management Certificate and will remain so for the entirety of the vessel's employment under this Charter Party. Owners are to provide Charterers with satisfactory evidence of compliance if so required and to remain fully responsible for any and all consequences resulting directly or indirectly from any matters arising in connection with this vessel and the ISM code.

23. Charrier, Gibson and Associates, Inc. to receive a minimum agency commission of 2/3 of 2.5 percent. Maximum commission allowable on this fixture to be 2.5 percent. The commission structure (if any beyond CGA) to be stated clearly in the offer.

24. Offers are due no later than 1100 hours Washington, D.C. time, December 17, 2001, and must remain valid through 1800 hours, December 21, 2001, Washington, D.C. time. Offers are to be received by sealed letter or telex or telefax or telegram at the offices of Charrier, Gibson and Associates, Inc. For telex and telefax offers, charterers will not consider offers which have not connected to CGA's telex or telefax machines by the time specified above. Offers subject open will only be considered when subject open restriction is lifted prior to 1100 hours Washington, DC time on December 18, 2001. U.S. flag vessels offered subject to MARAD approval will not be considered. If MARAD approval of vessel is required, same must be obtained prior to submission of an offer.

25. U.S. and foreign flag offers will be opened and read in public at the offices of CGA, 1000 Thomas Jefferson Street, N.W., Suite 500, Washington, D.C., as agents for the Government of Mongolia. Charterers will only consider offers which are responsive to this tender.

26. For all offers, no negotiation shall be permitted. Late offers will not be accepted. No phone offers will be accepted.

27. Full terms and conditions of Mongolia Proforma Charter Party (NORGRAIN) (revised April 1999) with logical alterations as stated in this invitation for offers to apply.

The following clause, which has been provided by USDA, is also incorporated in the proforma Charter Party, thus to be amended to include the following: War Risk Premium: War risk premium for the vessel and / or crew shall be paid by the owners. Any increase or decrease in the premium after the date of the submission of bids shall be adjusted in the payment of freight. In any case, the increase shall not be any more or the decrease any less than reflected in premiums obtainable at the relevant time on the London market or from the U.S. Department of Transportation, whichever premium is less. Owners to submit supporting documents from their underwriters showing said increase or decrease in the war risk premium along with the freight documents or as soon thereafter as is available. Any decrease in premiums will be deducted from the freight.

28. All offers and subsequent awards are subject to the U.S. Agricultural Commodity Foreign Donation agreement with the Government of Mongolia.

29. All fixtures are subject to USDA approval.

30. For additional information or proforma Charter Party, please contact the offices of Charrier, Gibson and Associates, Inc., 1000 Thomas Jefferson Street, N.W., Suite 500, Washington, D.C. Telephone: (202) 333-1303. Telex: MCI:6506696786. Fax: (202) 333-5755. Internet: .



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