Spot market. When a shipowner or vessel operator wishes to use the vessel for tramping services, on voyage charters only, he is said to offer his ship on the spot market.
The ship is available in competition with others and the ship can be placed in a certain “spot” or position at short notice. The competition may cause the charter of the ship to be fixed at a lower rate than the average freight rates for the particular service for which the vessel is being offered: In general, the expression “spot business” refers to business opportunities sought outside the general and usual business activities, usually for discounted prices, perhaps because of severe competition for the same business. No long-term contracts are contemplated on the spot market.
