The document discusses multimodal transport, which involves transporting goods using at least two different modes of transportation from origin to destination. It covers the definition of multimodal transport, requirements like infrastructure and legal framework, advantages like reduced costs and risks, and examples of combining modes like sea-air and air-road transport. The key aspect is that multimodal transport provides an integrated transport solution using multiple modes under a single transport document.
The document discusses multimodal transport, which involves transporting goods using at least two different modes of transportation from origin to destination. It covers the definition of multimodal transport, requirements like infrastructure and legal framework, advantages like reduced costs and risks, and examples of combining modes like sea-air and air-road transport. The key aspect is that multimodal transport provides an integrated transport solution using multiple modes under a single transport document.
The document discusses multimodal transport, which involves transporting goods using at least two different modes of transportation from origin to destination. It covers the definition of multimodal transport, requirements like infrastructure and legal framework, advantages like reduced costs and risks, and examples of combining modes like sea-air and air-road transport. The key aspect is that multimodal transport provides an integrated transport solution using multiple modes under a single transport document.
The document discusses multimodal transport, which involves transporting goods using at least two different modes of transportation from origin to destination. It covers the definition of multimodal transport, requirements like infrastructure and legal framework, advantages like reduced costs and risks, and examples of combining modes like sea-air and air-road transport. The key aspect is that multimodal transport provides an integrated transport solution using multiple modes under a single transport document.
Multimodal Transport Content Chapter 1: Overview of multimodal transport Chapter 2: Modes of transport in multimodal transport Chapter 3: Multimodal transport operation Chapter 4: Customs clearance in multimodal transport Chapter 5: Cargo Insurance in Multimodal transport Chapter 1: Overview of multimodal transport
1. Introduction of transport 1.1. Definition of transport Transport is the actual movement of goods from one location to another using a means of or a vehicle of transport (e.g. trains, trucks, boats) and a transport infrastructure (e.g. roads, railways, cannals) (Tolga Bektas, 2017). 1.2. Actors in transport ⎼ Shippers ⎼ Carriers ⎼ Intermediaries: freight forwarder
3 1. Introduction of transport 1.3. Modes vs means of transport
⎼ Water (ships in oceans, ⎼ Vessel, barges, ..
barges in rivers) ⎼ Plane ⎼ Air ⎼ Truck ⎼ Land (road, rail, off- ⎼ Train road) ⎼ Others: pipelines, cable transport
4 1. Introduction of transport 1.3. Modes vs means of transport
(Tolga Bektas, 2017)
5 1.4. Advantages and disadvantages of each mode of transport
v Sea transport
Advantages Disadvantages ⎼ Sea transport ⎼ Slow speed ⎼ High volume, Bulk cargo ⎼ Risky ⎼ Eco – friendly ⎼ Long lead – time ⎼ Reasonably freight ⎼ Transport of perishable goods
6 1.4. Advantages and disadvantages of each mode of transport
v Road transport
Advantages Disadvantages ⎼ Cost effective ⎼ Traffic jam ⎼ Fast delivery ⎼ Accident ⎼ Door to door service ⎼ Flexible
7 1.4. Advantages and disadvantages of each mode of transport
v Air transport
Advantages Disadvantages ⎼ High speed, quick service ⎼ Costly ⎼ Natural route ⎼ Limited capacity ⎼ Transport of perishable ⎼ Huge investment goods, emergency, ⎼ Targeted by terrorism seasonable, valuable … ⎼ Limited range of goods ⎼ Safe ⎼ Complicated customs procedure
8 1.4. Advantages and disadvantages of each mode of transport
v Rail transport
Advantages Disadvantages ⎼ Cost effective for long-haul ⎼ Requires a large investment ⎼ High capacity, good for bulk of capital. cargo ⎼ Lack of flexibility ⎼ Safety ⎼ Uneconomical for short distances and small traffic of goods
9 2. International transport 2.1. Definition International transportation is the movement of goods or people from one country to another. 2.2. Right of transport
The party who is responsible for Right of transport
paying the freight and organizing the carriage of goods
10 2.2. Right of transport
- Buyer wins the transport right
• Pay the seller the price of the goods at the place of the seller • Pay the cost of carrige to bring the goods from the seller place to the named place of destination (the buyer’s country) • Organizes the carriage of the goods from the seller’ s country to the buyer’s country.
11 2.2. Right of transport
- Seller wins the transport right
• The buyer pays the seller the price of the goods (freight included) • The seller organizes the carriage of the goods to the named place of destination (the buyer’s country)
12 2.2. Right of transport
How to determine the right of transport?
13 2.2. Right of transport
Why is it necessary to win transport right?
⎼ For the sellers/ buyers • Select reliable carriers, • Negotiate the terms of the charter party with favorable conditions • Be proactive in organizing the transportation and delivery of the goods. ⎼ For the countries • Develop the domestic transportation industry. • Reduce foreign currency spending and increase foreign currency revenue
14 2.2. Right of transport
Some situations that the buyer/seller shoud avoid the transport
right: • Freight rate tend to increase (compared to the time of signing the contract) • The price difference does not cover the freight difference (FOB and CFR) • Don’t have knowledge of chartering • Need to sell or need to buy goods that the other party wants to win the transport right • National law
15 3. International Multimodal Transport
3.1. Definition ⎼ Multimodal transport refers to the transportation or carriage of goods from point A to point B by at least two different models of transport. ⎼ “International multimodal transport is the carriage of goods by at least two different modes of transport on the basis of a multimodal transport contract from a place in one country at which the goods are taken in charge by the multimodal transport operator to a place designated for delivery situated in a different country” (the MT Convention, 1980).
16 3.2. Characteristics of international multimodal transport ⎼ Using at least 2 different modes of transport ⎼ A single document of carriage (multimodal transport bill of lading) ⎼ One operator (Multimodal transport operator - MTO) ⎼ The carriage of goods between two or more countries (Source: Singapore Logistics Association)
17 3.3. Differentiate some terms ⎼ Multimodal transport vs intermodal transport: • Intermodal freight transport is the concept of utilizing two or more ‘suitable’ modes, in combination, to form an integrated transport chain aimed at achieving operationally efficient and cost-effective delivery of goods in an environmentally sustainable manner from their point of origin to their final destination (………..) • Intermodal transport: use of several modes of transport • Goods remain in the same loading unit • Without intermediate handling
18 3.3. Differentiate some terms
⎼ Unimodal transport: transportation of goods using one mode of
transport. ⎼ Bimodal transport: Carriage of goods by two modes of transport ⎼ Combined transport ⎼ Segmented transport
19 3.4. Advantages of multimodal transport
⎼ Save cost ⎼ Reduce risk of loss or damage at transhipment points ⎼ Multiple documentation and other formalities reduced ⎼ Minimizing confusion (single point of contact) ⎼ Speedy transit time ⎼ Reduce cost of export
20 3.5. Requirements for the development of multimodal transport ⎼ Infrastructure ⎼ Legal basis • Multimodal liablity regime • Customs procedures
21 3.5. Requirements for the development of multimodal transport
v Infrastructure - Unit load • Container • Pallet • Swap body • Semi trailer • ULD
22 Container
23 Pallet
24 Road trailer/Semi trailer
25 Swap-body (Rail/road)
26 ULD (Unit loading device)
27 3.5. Requirements for the development of multimodal transport
v Sea – air ⎼ Faster than sea, cheaper than air. ⎼ Sea air can cost as much as 40% to 50% less than pure airfreight. ⎼ Sea-air service is ideal for transporting high value items, high seasonal demand.
Vessel Plane
Sea port Sea port Destination
33 3.6. Combining modes of transport
v Air – road (truck)
⎼ This combination is featured by air carriage and road transport. ⎼ Many airlines provide road feeder services (RFS). ⎼ Airlines can provide road transport using their own vehicles, or highway common carriers will do so.
34 3.6. Combining modes of transport
v Rail/Road/Inland Waterway - Sea - Rail/Road/Inland
Waterway
Rail/road ILW Sea
Cambodia Phnom Penh Cai Mep (Shipper’s Port Port Mỹ warehouse) (Vietnam)
Road Road ILW (truck) Tây Ninh (truck) Cai Mep Thi Vai ICD Port Transimex Cambodia
35 3.6. Combining modes of transport
v Land – sea – land
Empty container
Road Rail/road Sea Road (truck)
Shipper’s Sea port Sea port Rail-head warehouse
Road (truck)
Consignee’s warehouse
36 3.6. Combining modes of transport
v Sea train This mode of transportation uses a rail car that is transported by sea to the destination country where it is again connected to the railway to complete delivery to the consignee
37 3.6. Combining modes of transport
v Ro-Ro (Roll – on Roll-off)
The ro-ro mode combining sea and road, is usually used to transport new cars. Shipped by sea, the cars are then driven off the vessel to the importer’s warehouse or to a free trade zone (FTZ) . Heavy and oversized cargo is suitable for ro-ro transport. (https://www.youtube.com/watch?v=yMs94VRJqiw)
38 v Lash (lighter aboard ship) ILW (lighter) LASH Rotterdam Sea port Rhine river (Mississippi) Destination (Germany) Port Atlantic
39 3.6. Combining modes of transport
v Landbridge Containers are shipped overland as part of a sea – land route in the land bridge system of transport. Road Sea Sea (vessel) (train) (vessel) New York China Los Angeles Hamburg
40 Landbridge - Trans Siberian Railway
Trans Siberian Railway
Europe Far Estern Landbridge
41 Landbridge - Trans Siberian Railway
13,000 km vs 21,000 km
42 3.6. Combining modes of transport
v Minibridge A container is moved on a vessel from a port in one country to a port in the destination country. The containers are then moved by rail to a second port in the destination country. Sea Road (vessel) (train) Mumbai NewYork Colorado
43 3.6. Combining modes of transport v Microbridge Road Sea (train) (vessel) Salt Lake HongKong Los Angeles City
44 3.6. Combining modes of transport v Piggyback - Combination of transport by road and rail (https://www.youtube.com/watch?v=bNQh5IIzbGw)
45 How to select the transport mode?
46 3.7. Multimodal Transport Operator (MTO) ⎼ Definition MTO means any person who on his own behalf or through another person acting on his behalf concludes a multimodal transport contract and who acts as a principal, not as an agent or on behalf of the consignor or of the carriers participating in the multimodal transport operations, and who assumes responsibility for the performance of the contract (United Nations Convention on International multimodal transport of goods 1980 – MT Convention)
47 3.7. Multimodal Transport Operator (MTO)
⎼ Types of MTO • Vessel operating MTO (VO-MTO) • The non-vessel operating MTO (NVO-MTO)
48 3.7. Multimodal Transport Operator (MTO)
⎼ Types of MTO • Vessel operating MTO (VO-MTO) This MTO typically does not own or operate the road, rail or air modes of transport, but he can make arrangements for them by sub contracting that particular segment.
49 3.7. Multimodal Transport Operator (MTO)
⎼ Types of MTO • Non-vessel operating MTO (NVO-MTO) ü Is a transport operator who does not own an ocean vessel, although he may own some means of transport such as truck. ü Generally, he sub-contracts the inland, sea or air legs of the operation. ü A freight forwarder is also an NVO MTO
50 3.8. Scope of services ⎼ Full container load (FCL) ⎼ Less than container load (LCL)/consolidator • General consolidator: LCL (many sellers) - LCL (many buyers) • Buyer’s consolidator: LCL(many sellers) – FCL (one buyer) • Shipper’s consolidator: FCL (one seller) - LCL (many buyers)
51 3.8. Scope of services
⎼ Other activities • Packing • Customs clearance, export and import formalities, foreign exchange transactions. • Issuing multimodal transport document • Booking of space • Customs liaison • Insurance coverage • Return of leased containers • Communication
52 Packing Verified Gross Mass (VGM): went into effect on 1 July, 2016. (The Safety of Life at Sea convention, SOLAS (1980)).
53 MSC Napoli was a United Kingdom- flagged container ship that developed a hull breach due to rough seas and slamming in the English Channel on 18 January 2007. She was deliberately run aground at Lyme Bay to avoid an environmental disaster and broken up by salvors.
Investigation and report
This was due to the loading on the structure due to the ship, containers and the rare sea state exceeding the capacity of the hull girders in this area. No deficiencies were found in material or construction and the earlier grounding in 2001 did not contribute to the loss. 54 3.9. MTO with intervening parties
Scope of services MTO with intervening parties
⎼ Carriers (ship owners, road transport operators, railways, airlines, inland waterway transport operator). ⎼ Organizations at sea port: container terminals, port operators, CFS, CY, customs authorities, packing. ⎼ Other parties: banks, insurers, exchange control authorities, government agencies.
