Baltic Exchange has introduced a new Time Charter Equivalent (TCE) earnings calculator to improve clarity and consistency in freight assessments.
The tool is based on the Baltic’s TCE methodology that has been used since 2008 and aims to simplify comparison of earnings across vessel types and routes. The calculator displays the key components used in standard TCE evaluations, including income lines, expenses, and port and canal charges.
Baltic Exchange says this structure supports more accurate benchmarking at a time when vessel deployments are changing in response to geopolitical tensions and shifting global trade patterns.
“This calculator provides useful output from a complicated set of variables into a normalised and comparable format, including those related to emissions regulation,” said Martin Crawford-Brunt, Emissions Lead at Baltic Exchange. “It allows users to assess their vessel against the trusted Baltic market standard, enabling them to understand the differential in $/mt or $/day.”
“The clear display of the many freight components supports better-informed commercial decisions as it allows users to test alternative speeds and consumptions by route. It’s a practical tool for owners, charterers and brokers alike, to shows the potential commercial benefit of efficiency measures.”
“The goal is to provide a tool that improves the quality of conversation between freight buyers and sellers, enabling better decision-making and more accurate pricing. This is an evolving tool, and we welcome feedback from users to help us refine and enhance its capabilities.”
The calculator currently covers dry bulk carriers, crude and product tankers, LNG carriers and LPG carriers, aligned with standard Baltic routes. Further development is planned to incorporate more detailed emissions regulations and operational variables as market requirements evolve.
