Tanzania Award11-027B

IFB #:
Tender Date:
Award Date:
Award Flag:
Mercy Corp
Food for Progress


11-027B Tanzania Award
January  18, 2012

Booking Details

IFB No. TZ-MC-FFP-11-027B

WBSCM Freight Solicitation #2000000750

Shipper:  Mercy Corps

Carrier:    Sealift Inc. (Fortune Maritime)

Vessel:   M/V ADVANTAGE (U.S. Flag)

Cargo:    6,340 MT Min/Max Bulk Wheat

Loadport:  ADM Galveston

Disport:  SB 1 SP Dar Es Salaam, Tanzania

Laydays:  Jan 16-26, 2012

Frt Rate:  $188.00 per MT

   Plus $40,219.15 LS for U.S. Gulf Loading

   Plus $55,000.00 LS For Dar Es Salaam Discharge

All other terms and conditions pursuant tender terms

11-027B Tanzania Tender
December 27, 2011

Freight tender:  Mercy Corps / FFP – Bulk Wheat

Panalpina, Inc. as agent for Mercy Corps, requests offers of  U.S. and non U.S. flag geared vessels (U.S. Flag gearless vessels will be considered provided owners supply discharging equipment and gear to effectively maintain discharge rates stated below per proforma charter party and freight tender terms) for the carriage of Bulk Wheat under the Food for Progress program on the following basis:

Date:                                      December 27, 2011

IFB No.:                                TZ-MC-FFP-11-027B
Freight Solicitation No.:         2000000750

Commodity Solicitation No:   2000000749

1. Commodity:    Hard Red Winter Wheat in Bulk

Quantity:         Approximately 6,340 MT

Laydays:         January 16-26, 2012

-Offerors should consider offering vessels to carry a range of tonnages in the event that the

quantities purchased are more or less than the quantities stated in this tender.  Contracted

quantity to be on a Min/Max basis.

-Offers submitted under this freight tender are required to have a canceling date no later than the last contract layday as above, and vessels which are offered with a canceling date beyond the laydays specified above will not be considered.

-Offers of named vessels only will be considered.  Owners will not have the right to substitute

without Charterers and USDA approval.

-All offers must state vessel’s current position and itinerary with ETA basis loadport and discharge port.

-If contracted on part cargo basis, owner is to provide itinerary of vessel. Any completion cargo must be duly separated by either vessel’s natural segregation or by plywood separation at owner’s risk, time and expense, and must be compatible and non-injurious to Mercy Corps Bulk Wheat cargo and must be detailed in offer or approved by Charterers/USDA if contracted after fixture of Mercy Corps cargo.  If plywood separations are used, same to be approved by NCB prior to loading.  Charterers program considerations require that for any part/completion cargo,  vessel’s itinerary and geographic proximity of completion cargo(es) will be taken into consideration by Mercy Corps/USDA in approval of such part cargo(es) in order not to unduly impede delivery of Mercy Corps Tanzania Food for Progress Bulk Wheat cargoes.

-This Mercy Corps cargo cannot be combined with the Title II Ethiopia or the Title II Afghanistan solicitations.

-Owners to provide 10 (ten) days pre-advice of vessel readiness to load. The 10 day pre-advice must be received by Charterer’s agent no later than 11:00 am (Washington DC time) on the business day it is given. Pre-advice received after that time will count as received on the next business day.  In addition to sending pre-advice to Charterers agent, owner must also provide copy of their pre-advice notice to USDA/KCCO bulk commodities division, Fax no. 816-823-2586.

2. Loading: 1/2 Safe Berth(s) each 1/2 Safe U.S. Port(s) any U.S. range.

Mississippi River, including but not North of Port Allen to 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, offer to include name and details of feeder vessels.

3. Discharging: 1/2 Safe Berths, 1 Safe Port Dar es Salaam, Tanzania

For your information only and without guarantee, vessel maximum Salt Water draft cannot exceed 10.5 M and vessels cannot exceed 190 M LOA.                                    

It is owners sole responsibility to ensure vessel meets all of the port and berth restrictions at the discharge port. Any lightening required as a result of vessel’s failure to meet port and berth restrictions at the discharge port(s) is for owner’s time, risk and expense. Any shifting necessary, due to vessel’s size or configuration to be at owner’s time, risk and expense.

4. Terms:
            (a)        Loading terms:   The cargo is to be loaded according to Berth Terms with customary despatch at the average rate as delineated below based on vessel's contracted quantity.  The rates are basis tons of 2,204.6 pounds per Weather Working Day of 24 consecutive hours, Sundays and Holidays Excepted, Even If Used. Saturdays per BFC Saturday clause.

                        Bulk Carriers:
                        Vessel contracted quantity loading guarantee
                        ========================= =================
                        0 - 9,999.99 MT                        4,000 MT per day
                        10,000 - 19,999.99 MT             5,000 MT per day
                        20,000 – 29,999.99 MT            6,000 MT per day

                        30,000 – 309,999.99 MTMT     7,500 MT per day

                        40,000 – 49,999.99 MT          10,000 MT per day

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

            Vessel contracted quantity loading guarantee
            ========================= =================
            0 - 9,999.99 MT                        4,000 MT per day
            10,000 - 19,999.99 MT             5,000 MT per day
            20,000 - 29,999.99 MT             6,000 MT per day
            30,000 MT and above              7,500 MT per day

            Multi-deckers:  The load guarantee shall be 3,000 MT per day.
            Lash/seabee barges:  The load guarantee shall not apply.

            (b)        Discharging Terms:
                        Bulk Wheat to be discharged, free of risk and expense to the vessel (free out discharge), at the average rate of 2,500 MT for bulk carriers, 1,500 MT for multideckers/tankers per WWDSSHEX EIU. For lash/seabee barges the discharge guarantee shall not apply.

            (c )       Demurrage/Despatch is applicable at load and discharge ports. Owners are to specify demurrage/despatch rates in their offer. Despatch rates must be one-half of demurrage rates quoted.

            (d)       Laytime is non-reversible.
 -Laytime accounts are to be settled directly between owners and commodity supplier(s) at  load port(s). Laytime calculation, overtime and trimming to be in accordance to Addendum No. 1 of the North American Export Grain Association, Inc. F.O.B. Contract No. 2 (revised as of August 1,1988) Clauses Nos.1-10 inclusive, (hereinafter  "N.A.E.G.A.") regardless of   type of vessel. Further the following modifications to N.A.E.G.A. will apply:
Anywhere the word "buyer" appears, the words "vessel owner" should be substituted in its place. Under no circumstances shall Charterers or CCC 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). Any/all disputes between  vessel owners and the commodity supplier(s) arising out of this contract relating to the settlement of  laytime issues shall be arbitrated in New York subject to the rules of the Society of Maritime Arbitrators, Inc.

-Discharge port laytime accounts are to be settled directly between Charterer and vessel owner. Vessel owner is to prepare and submit signed discharge port laytime statement to Charterer's agent, Panalpina, Inc. for approval within thirty days of completion of discharge. Discharge port Notice of Readiness and Discharge Port Statement of Facts, both signed on behalf of Charterers and vessel owner are to be presented with signed Discharge Port Laytime Statement.

 -Under no circumstances shall CCC be responsible for resolving disputes involving the calculation of laytime or the payment of demurrage or despatch between Charterer and the vessel owner. Any/all disputes between Charterer and vessel owner arising out of this contract relating to the settlement of laytime issues shall be arbitrated in New York    subject to the rules of the Society of Maritime Arbitrators, Inc.

5. At each loadport owner to appoint and pay for stevedores.  At discharge port Charterer/receivers to appoint and pay for stevedores.

6. At each loadport owner to appoint and pay for vessel’s agent.  At each load port   Charterer shall appoint a load port protective agent, owner to pay Charterer’s agent Panalpina, Inc. a fee of USD 1,800.00.

At discharge port Charterer/receiver shall nominate the vessel’s agent at the discharge ports, who owner will appoint and pay.

7. Gear Requirements:

Vessels must have fully working gear for each hatch and must be capable of operating receiver’s discharging equipment and must meet all requirements/regulations of Dar Es Salaam Port Authority.  U.S. Flag gearless vessels will be considered provided they supply alternative discharging equipment and gear at each hatch in which cargo is loaded at owner’s expenses.  Vessels must be capable of self-discharge with vessel’s onboard gear or owner supplied shoreside gear and/or with vacuvators including all necessary vacuvator pipes and supports for pipes and/or with marine legs including all necessary support equipment.  Owners to provide at their expense all necessary motive power/fuel to operate all discharge gear and/or vacuvators as well as technicians in the case of vacuvators and marine legs to oversee their operation.  Discharge gear provided by owner/vessel must be capable of maintaining the guaranteed average discharge rate as specified above. 

Notice of vessel’s readiness to discharge may not be tendered before vessel is fully equipped with discharge gear/ equipment. Time used, for gearless vessels, to assemble/prepare discharging equipment for discharge to be excluded from laytime used. Any time lost as a result of breakdown of vessel’s gear and/or vacuvators and/or marine legs to be excluded from laytime used. Vessel and discharging equipment/gear must meet all requirements/regulations of the Dar Es Salaam Port Authority.

Mechanical or hydraulic hatch covers for vessels or rain tents for all hatches are required. Opening and closing of hatches to be carried out by vessel's crew free of charge to Charterers.

Vessels and ITB’s must have all openings to cargo spaces and hatch covers suitably sealed with tape or by other means to assure water tight integrity. The sealing shall be done to the satisfaction of NCB surveyor as attested by certification of special survey. All of the above, to be performed at vessel's time, risk, and expense. Special survey certificate will be required as a condition of freight payment. Sealing of hatches/openings and special NCB certificate in no way diminishes owners responsibility and liability toward the cargo.

8. Vessel type restrictions:  Ocean Going Towed Barges are excluded.    Non U.S. flag vessels to be geared bulk carriers only.

9.  Owners are responsible for vessel arriving at discharge berth(s) and port(s) with an acceptable safe arrival draft and must meet all berth/port restrictions. Any lightening required as a result of vessel’s failure to meet berth and discharge port restrictions is for owner’s account. Owners to be fully responsible for any and all costs in reaching safe draft.  In case partial lightening, then lighterage to be for owners' time, risk and expense. If owners intend to lighten at berth(s), owners shall certify in their offer that they have obtained authorization from the Dar Es Salaam Port Authority. Vessel must meet all requirements of the applicable Dar Es Salaam Port Authority.

In the event vessel has to lighten at disport whether full lightering or partial lightering, all lightering operations shall be at ship owner’s time, risk and expense. For all lightering (full or partial) the lighterage vessels, must be geared ocean-going bulk carrier vessel, classed highest in Lloyds or equivalent, certified by a licensed surveyor that all cargo compartments are clean and entirely fit to receive and carry contracted cargo and that all winches/cranes are in good working order.  If the cargo is lightened using vacuvators from mother vessel to daughter vessels, vacuvators cannot be used again to discharge the daughter vessel(s). Laytime allowed, whether full or partial lightering, shall be based on the bills(s) of lading weight.  In the event of partial lightering, vessel will not be considered ready until owners have arranged lightering and vessel has reached a safe draft for berthing.  All time lost before vessel reaches said draft is not to count as laytime used.  Laytime is not to commence prior 0800 on the next working day following completion of lightering and presentation of valid notice of readiness.  In the event of full lightering laytime shall commence at 0800 on the next working day after daughter vessel(s) have presented their notice(s) of readiness to discharge and demurrage/despatch rate shall apply only to the daughter vessel(s).  Mother vessel (partial lightering) and daughter vessels (full or partial lightering) to take turns at discharge and time on second and subsequent vessels not to count until previous vessel completes discharge and has vacated the berth.  Time for shifting into berth not to count as laytime or time on demurrage.

10. Vessels must be able to be fumigated with an aluminum phosphide preparation in-transit, in accordance with USDA/FGIS Handbook and program notice FGIS-PN-05-02 dated Jan 7 2005, and vessels that cannot be so fumigated will not be considered. At final loading port, commodity supplier will arrange and pay for in-transit fumigation performed by a certified applicator. 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. Tween-deck vessels are acceptable only when a certified applicator states that the vessel has been inspected and found to be suitable for in-transit fumigation and such written statement from certified applicator should be submitted with offer.

11. At the discharge port and upon inspection by government/receivers inspectors, if cargo and/or vessel is found to be infested, and provided clean bills of lading were issued, fumigation costs, if any, are for owners (vessels) account, and time used is to count for U.S. flag vessels; and not to count for non U.S. flag vessels.

12. Freight rate to be quoted in U.S. dollars per metric ton basis vessel load/free out basis one loading port to one discharging port. Additional freight charge must be stated for additional loading port(s) and will be considered in determining lowest landed cost in those situations where commodities are likely to be loaded at more than one port.

If owner intends to lighten, the offer to specify the cost of lightening and whether partial or full lightening.  If intended lightening is not performed at discharge port and vessel discharges directly at berth, USDA will deduct the cost of lightening from the ocean freight.

13. Freight offers should not contain a "detention rate". Freight offers will not be considered non responsive solely because a detention rate was given however the related charter parties and liner booking contracts may not contain a detention rate.

14. Non U.S. flag vessels must be registered highest in Lloyds or equivalent and must not be more than 20 years old – date of original construction, not rebuilt date to govern.

15. Non-vessels operating common carriers (NVOCC) may not be employed to carry U.S. or foreign flag shipments.

16. Any extra insurance on cargo and freight due to vessels age, class, type, flag, configuration or ownership of the vessel is to be for owners account, but not to exceed New York market rates for U.S. flag vessels and London market rates for non U.S. flag vessels.  If offerors assert that overage insurance is not applicable, then offer(s) must include documentary evidence substantiating same.  Such substantiation must be clear, specific and up to date.  In any case, same is subject to review and acceptance by Charterers and cargo receivers and does not  guarantee relief of owner’s obligation to pay for extra insurance should Charterers/receivers determine substantiation to be  insufficient to protect the cargo interests.

17. Cargo shall not be loaded into deep/wing tanks and other spaces which are not directly accessible to grab discharge.

18. U.S. flag approved freight rate(s) will be reduced to a level not higher than the Maritime Administration fair and reasonable rate in the event that originally approved vessel is substituted by a lower cost vessel.

One way rate must be quoted in addition to round trip rate for U.S. non liner vessels whose date of original "repeat" original (not rebuilt date) construction exceeds 15 years from date of fixture.

Freight rate for U.S. flag vessels offering basis full cargo but loading less than a full cargo, the less than full cargo freight rate will be subject to a reduction to meet any revised Marad freight rate guideline due to vessel loading other additional cargo.

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

U.S. flag vessels offered subject to Marad approval will not be considered. If Marad approval of vessel is required, same must be obtained before submission of offers.

U.S. flag vessels over 15 years old must offer an alternative freight rate to be applicable in the event the vessel is either scrapped or vessel ownership is transferred to another owner after discharge at destination, but prior to its return to the United States.

19. Offers received shall be considered to warrant that the offered vessel is free from any lien and encumbrance fully insured and entered in a P and I Club.

20. ISM and ISPS code compliance: owner guarantees that this vessel, if required by the ISM (non self-propelled barges are exempt), and ISPS code issued in accordance with International Convention for the Safety of Life at Sea (1974) as amended (SOLAS) complies fully with the International Safety Management (ISM) code and the International Ship and Port Facilities Security (ISPS) code and will remain so for the entirety of her employment under this charter party. Upon request, owners to provide Charterers with a copy of the relevant Document of Compliance (DOC) and Safety Management Certificate (SMC) in regard to the ISM code and the International Ship Security Certificate (ISSC) in regard to the ISPS code. Owners are to remain fully responsible for any and all consequences from matters arising as a result of the owner or the vessel being out of compliance with the ISM and ISPS code.

21 ISPS clause:
A. From the date of coming into force of the International Code for the Security of Ships and of Port Facilities and the relevant amendments to Chapter XI of SOLAS (ISPS code) in relation to the vessel, the owners shall procure that both the vessel and “the company” (as defined by the ISPS code) shall comply with the requirements of the ISPS code relating to the vessel and “the company”. Upon request the owners shall provide a copy of the relevant International Ship Security Certificate (or the interim International Ship Security Certificate) to the Charterers. The owners shall provide the Charterers with the full style contact details of the Company Security Officer (CSO).

Except as otherwise provided in the charter party, loss, damage, expense or delay, excluding consequential loss, caused by failure on the part of the owners or “the company” to comply with the requirements of the ISPS code or this clause shall be for the owner’s account.

B. Owner to specify any information required from Charterers in order to comply with ISPS at time vessel tenders pre-advice notice for this cargo. The Charterers shall provide the CSO and the Ship Security Officer (SSO)/master with their full style contact details and any other information the owners require to comply with the ISPS code.

22. Compliance with Section 408 of the U.S. Coast Guard Authorization Act of 1998: Public Law 105-383 (46 USC paragraph 2302(e)), establishes effective January 1, 1999, with respect to non-US flag vessels and operators/owners, that substandard vessels and vessels operated by operators/owners of substandard vessels are prohibited from the carriage of government impelled (preference) cargo(es) for up to one year after such substandard determination has been published electronically. As the cargo advertised in this IFB is a government impelled (preference) cargo, offerors must warrant that vessel(s) and owners/operators are not disqualified to carry such government impelled (preference) cargo(es).

23. War risk premium: Carriers shall include all actual and anticipated war risk insurance premiums in their offered rates. Owners bear the risk of any increase in war risk premiums.

24. Offerors are encouraged to include all information as listed below and in the format as follows:

            a. Vessel Name, Flag, Year Built, Vessel Type, DWT, Holds, Hatches(sizes), Gear, LOA, Beam, Speed, Class, Owners Name, Salt Water Arrival Draft at Disport
            b.         Cargo
            c.         Load/discharge ports
            d.         Load/discharge rates
            e.         Laydays
            f.          ETA at load port
            g.         Freight rate per MT and additional freight for additional port(s)
            h.         Demurrage-despatch
            i.          Transit time and ports of call in transit, if any
            j.          Commissions
            k.         Terms
            l.          Remarks
            m.        Name and telephone number of contact person.

25. All offers and subsequent awards of contracts will be subject to the provisions of the Food for Progress program and all applicable U.S. Department of Agriculture regulations pursuant thereto.

26. Offers must be submitted basis current Mercy Corps - Food for Progress Bulk Wheat Adapted December 2011. Proforma charter party is available upon request from Panalpina, Inc.

27. Freight payment will be made via electronic transfer as detailed in charter party proforma.

28. Brokerage commission is payable by owners on gross freight, deadfreight, and demurrage to Panalpina, Inc. as follows: 2.5 percent if the fixture is arranged without owner's broker and if owners' broker is involved, 2/3rds of 2.5 percent is payable to Panalpina, inc.1/3rd of 2.5 percent is payable to owners' broker.

29. To determine lowest landed cost, all carriers are required to submit offers electronically for the cargoes advertised by this RFP via the U.S. Department of Agriculture (USDA) a Web Based Supply Chain Management (WBSCM) system for the solicitation number(s) referenced above. All offers are subject to all requirements of WBSCM and of the afore-mentioned solicitation(s), including the deadline(s) for submission of bids therein.

The Web Based Supply Chain Management System can be accessed through the following website:  http://www.USDA.gov/wps/portal/USDA/USDAhome?navid=WBSCM .

Carriers must be assigned an USDA e-authentication Logon ID and Password to access the WBSCM system.  Contact the WBSCM help desk for information regarding Logon IDs, Passwords, and WBSCM systems questions or concerns:

Telephone:  (877) 927-2648

E-mail:  WBSCMhelp@ams.USDA.gov

Freight payment:  Freight payment shall be processed through the WBSCM system and paid by   USDA.  Instructions for the freight payment procedures through WBSCM are available from:

Panalpina, Inc.           


30. Submission of Freight Offers:

Offers to be submitted to WBSCM no later than 1000 hrs U.S. central time (1100 hrs     Washington, D.C. time) on Tuesday, January 3, 2012. 

Freight offers are to remain valid until 1700 hours Washington, D.C. time January 5, 2012.

In addition to submitting offers to WBSCM – fax offers should also be submitted to Panalpina at (703) 733-4353.

      Only firm offers can be submitted.

      Only offers that are responsive to the terms of the tender will be considered and no negotiation will be permitted.

            No phone offers or offers via e-mail will be accepted.

31.       For further information is needed contact Panalpina, Inc., 703-674-2317 or sherry.sons@panalpina.com .


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