To define the guidelines for the design of a Mewis duct for a small bulk cargo ship, a numerical study was carried out to investigate the effects of a fan-shaped Mewis duct on propeller performance of a 38,000 t bulk cargo ship with a three-blade propeller. Calculations were performed using the STAR-CCM+ software based on the solution of the Reynolds averaged Navier-Stokes (RANS) equation. Computations were carried out for a wide range of locations from 0.11D to 0.21D upstream from the propeller disc, a radius of trailing edge from 0.65R to 1.05R, and angle of attack of the inner fins, where from 0° to 10° of the fan-shaped Mewis duct, where D is the diameter of the propeller and R is the radius of the propeller. With the installation of the duct, the axial mean wake fraction on the propeller disc decreased, while the tangential mean wake fraction increased significantly. As the installation position was far away from the propeller, the axial mean wake fraction varied in a wave pattern, while the tangential mean wake fraction increased. With the increase of the radius and the angle of attack of the inner fins of the duct, the axial mean wake fraction first decreased and then increased, while the tangential mean wake fraction increased gradually. Correspondingly, the propeller force coefficients and efficiencies with the duct were all more than those without the duct and changed with the variations of the duct parameters. When the propeller and duct were taken as a propulsion system, the efficiency of the system was less than that of only the propeller. At the same time, with variations of the location, radius, and angle of attack of the inner fins of the duct, the efficiency of the system first increased and then decreased gradually, which indicates that there was an optimum design value for all of the duct parameters. Moreover, only when the design of these duct parameters are reasonable can energy savings be achieved; otherwise, the opposite effect is produced. Eventually, with the installation of the fan-shaped Mewis duct, the wake harmonic degree on the propeller disc can be significantly improved.