13 Trade and Other Receivables

US$'000 2016 2015
Non-current receivables    
Prepayments 5,405 5,559
Current receivables    
Trade receivables - gross 32,960 37,406
Less: provision for impairment (1,685) (2,749)
Trade receivables - net 31,275 34,657
Other receivables 26,296 43,117
Prepayments 23,369 9,712
80,940 87,486

The carrying values of trade and other receivables approximate their fair values due to their short-term maturities.

Trade and other receivables are mainly denominated in United States Dollars.

Accounting policy – Trade and other receivables

Trade receivables mainly represent freight and charterhire receivables which are recognised initially at fair value and subsequently measured at amortised cost using effective interest method, less provision for impairment.

Please refer to Note 5 for the accounting policy on impairment.

At 31 December 2016, the ageing of net trade receivables based on invoice date is as follows:

US$'000 2016 2015
< 30 days 24,872 21,824
31-60 days 800 3,270
61-90 days 345 2,988
> 90 days 5,258 6,575
31,275 34,657
Movements in the provision for impairment of trade receivables are as follows:
US$'000 2016 2015
At 1 January 2,749 1,935
Provision for receivable impairment 976 2,123
Reversal of prior year overprovision (552) (189)
Total charge to income statement 424 1,934
Amount written off during the year (1,488) (1,120)
At 31 December 1,685 2,749

Credit policy

Trade receivables consist principally of voyage-related trade receivables. It is industry practice that 95% to 100% of freight is paid upon completion of loading, with any balance paid after completion of discharge and the finalisation of port disbursements, demurrage claims or other voyage-related charges. The Group will not normally grant any credit terms to its customers.

There is no concentration of credit risk with respect to trade receivables, as the Group has a large number of international customers.

As at 31 December 2016 and 2015, net trade receivables are all past due but not impaired as no customer is expected to have significant financial difficulty. All other items within trade and other receivables do not contain past due or impaired assets.


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