A Forward Freight Agreement is a cash contract for differences requiring no physical delivery based on freight rates on standardised trade routes.

Country where vessel is officially registered. Each flag state has various rules and regulations with respect to the vessels registered with it. It is the flag state that is responsible for investigations with respect marine casualties.

Collective term for vessels falling under a common category e.g flag, owner, type.

Free On Board. Cost of the delivery of goods is the seller’s responsibility only up to the port of loading. The freight is paid for by the buyer of the goods.

Forward Order Book represents estimated commissions collectable over the duration of the contract as principal payments fall due. The forward order book is not discounted.

Forward Ship Value Agreement. An FFA based product designed specifically for the sale and purchase market.

Usually the payment made for the carriage of goods by sea e.g. $ per tonne. Sometimes used to mean payments of hire for a vessel and rarely a term meaning cargo.