
File photo of an MSC container ship
| Photo Credit:
Eduardo Munoz
March 4 Swiss shipping major Mediterranean Shipping Company (MSC) has announced “end of voyage” for shipments destined for ports in the Arabian Gulf, effectively halting delivery to the originally contracted destinations due to the Iran-Israel war. ‘End of Voyage’ in shipping parlance means the ship terminates its journey at a port other than its original intended destination, usually due to unavoidable circumstances and emergencies.
This means containers currently under MSC’s custody — whether at sea or ashore — and bound for the Arabian Gulf, will not reach their intended ports. Instead, the container ships will divert to the next safe port of discharge, where cargo will be placed at the customers’ disposal for local recovery and onward arrangements.
Sources said other shipping lines may follow suit with similar announcements.
$800 mandatory surcharge
MSC said a mandatory surcharge of $800 per container will apply to all affected shipments without exception to cover deviation costs. The charge will be borne by the shipper.
It is unclear how many MSC vessels were en route to the Arabian Gulf at the time of the announcement. Industry sources indicated that other global carriers could consider similar steps if disruptions persist.
Discharge costs on cargo owners
The carrier stated that all discharge-related expenses — including handling, storage, and ancillary charges — will be for the sole account and risk of the cargo owner. This is in line with the MSC Sea Waybill / Bill of Lading Terms and Conditions, particularly Clause 13 covering “Special Circumstances.”
The measure also extends to empty containers already released for stuffing and intended for export to Arabian Gulf destinations.
Industry reaction
J Krishnan, Partner at Chennai-based S Natesa Iyer Logistics LLP, said shipping lines are entitled to exercise what is commonly referred to as an “abandoned voyage” clause.
“Seasoned exporters normally cover this peril in their insurance. Having correctly worded insurance coverage in such exceptional circumstances is critical,” he said.
Edwin Samuel, Managing Director of the Thoothukudi-based Pearl Shipping Agencies, said this is the usual way in which lines manage such risks, and it is done under proper legal insulation and instruments. Shippers/ importers are only affected, leading to huge supply chain disruptions.
Capt K Ramakrishnan, a Master Mariner, said while the Bill of Lading does provide for such eventualities, it is not commonly applied. During the Iran-Iraq war, some Indian shipments to Iraq were offloaded by the carriers at Dubai.
With all the Gulf states in a state of war, the Lines could have taken this option since both sides have vowed to prolong the war, he added.
Amanda Bradfield, Director, End to End Logistics, Fremantle, Western Australia, explained in a social media post that when a carrier declares the voyage ended early, it is effectively stating that it will no longer complete the originally planned delivery.
“Carriers normally complete scheduled port calls unless there is a significant disruption such as security risks, port closures, extreme weather, or safety concerns,” she said.
Under an “end of voyage” declaration, vessels divert to a safe port, discharge their containers, and place them at the cargo owner’s disposal. From that point onward, the responsibility and cost shift back to the cargo owner.
“This is not a routine delay or schedule change. It reflects exceptional circumstances and carries real commercial consequences for shippers,” she added.
French shipping major CMA CGM said that emergency measures are being implemented for all shipments to and from the following countries: Iraq (Port of Umm Qasr), Bahrain, Kuwait, Yemen, Qatar, Oman, the United Arab Emirates and Saudi Arabia.
These measures include, but are not limited to, vessel deviations to contingency ports. Such diversions are carried out pursuant to Clause 10 of the CMA CGM Bill of Lading and are subject to applicable Force Majeure provisions. Customers will subsequently be requested to provide further instructions regarding the onward handling of their cargo.
Available Options
The options available are delivery at the contingency port (BL accomplished). The equipment must be returned at the at contingency port; delivery to the place of your choice by road or rail, subject to agreement on price and availability; change Of Destination (COD) to the port of your choice, subject to agreement on price, service & port availability in the current circumstances.
All costs arising from the application of the above Bill of Lading provisions would be for the account of the cargo, it said.
Published on March 4, 2026