Gafta has withdrawn its Charter Party and Arbitration Rules No. 127. The Association informed its members of this decision on 21 June 2021.
The Gafta Charter Party was designed by the Association specifically with those trading in the sphere of agricultural commodities in mind. The Charter Party's provisions incorporated Arbitration Rules No. 127, which were also developed specifically for use with charter parties or other forms of maritime transport.
Gafta did not explain the reasons for the withdrawal. However, we believe that it may be due to little interest in concluding charter parties under GAFTA terms.
The withdrawal took effect immediately.
Danil Hristich, Fortior's head of Gafta and FOSFA dispute resolution practice, comments: "Although Gafta haw withdrew the Charter Party and the Arbitration Rules, the parties may still refer their disputes to Gafta under the standard Gafta 125 Arbitration rules or under the 126 Rules for Simple Disputes and enjoy all benefits or prompt and inexpensive dispute resolution. This is irrespective of whether a dispute is purely "trading" or whether it is related to shipping."