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1. SEA & OTHER TRANSPORTATION
SYSTEM
BY:-
KUMAR JYOTIRADITYA

2. MODES OF TRANSPORTATION
• AIR
• SEA
• ROAD
• RAILWAYS
• Other transportation system such as
Ropeways, pipe line etc.

3. AIR TRANSPOTATION SYSTEM
• Used wherever fast delivery required
• IATA acts as medium fixing the tariff for
airlines
• Constituents of IATA rate structure-
General cargo rates (GCR)
Specific commodity rates(SCR)
Freight all kind rates(FAK)
Govt. Mandatory rates

4. Items transported by air
• High value products
• Perishable products
e.g. short shelf life as cheery, strawberries.
• Emergency products
e.g. medical & spare parts for machinery
• Live animals
e.g. race horses
• Fashion items
e.g. short sales life items

5. Advantage & disadvantages
ADVANTAGES
• Faster
• Broad service range
• Increasing capabilities
Disadvantage
• High cost
• Weather condition affect flights
• Limitation for heavy products

6. WATER TRANSPORTATION
• Used for low value to weight ratio products as
timber
• Offers less cost per ton kilometer for bulky
products like iron ore, coal, chemical,
petroleum products ,cements etc
• Water transportation uses Ships.Two types of
shipping service-
Liner (fixed schedule)
Tramp(not fixed)

7. WATER TRANSPORTATION CONTD…
CLASSIFICATION:-
• Inland waterways –rivers,canals,lakes
• Domestic coast ways
• Seaways

8. LINER CONFERENCE
• Group of two or more vessel operating carriers
providing international liner service for carriage
of cargo on defined routes within specified
geographical limit on mutually agreed terms &
conditions at common freight rates.
• Over 360 liners conferences working in world
• It has its own constitution & organization setup
• Freight rates determined by the committees

9. Advantages of Liner service
• Regularities of sailing to scheduled
• Uniform rates for all shippers
• Cover wide range of ports
• Sometimes give rebates based on loyalty
agreements
• Stable freight rates

10. FREIGHT RATES FOR LINER
CONFERENCE
• Conference rate system
• Loyalty agreements
Deferred payment system
The dual rate system
Immediate rebate system

11. Conference rate making
• Conference determine tariff with its rules &
regulation.
• Rate fixation is based on characteristics,
density,volume,distance, storage, DC & IDC ,
insurance charges etc
• Two other factors are competitiveness &
economic viability of the proposition.

12. Loyalty agreements
• Some rebates offered on Freight rates
determined by conference rate system for
exclusive patronage of the conference
members.
• Three rebate system are in practice

13. Contd….
• Deferred rate system- Given for shipper who
utilizes the vessels of member lines of
conference for carriage b/w ports receive
certain %(~10% )for his freight
payment.Rebate is computed for a period
called shipment period but paid after deferred
period on the condition that shipper has
supported conference line during shipment
&deferred period.

14. Contd…
• The dual rate system- Shippers who are
exclusive patronage with conference get
benefit of lower rate than others.
• Immediate rebate system –Given immediate
rebate or cash(~9.5%)for their cargoes.

15. Tramp shipping
• Chartering of ships on an “ad hoc” or special
purpose basis.
• Tramp ship operate in all parts of world
without a fixed shipping route & sailing
schedule.
• Ships are chartered either in voyage charter
or time charter form or demise charter.

16. Contd…
• Voyage charter- ships are charted for specific
voyage.eg 10000 ton iron from china to Japan.
• Time charter- ships charted for specified
period of time. Charterer may employ ship in
voyage acc. to his requirements.
• Demise charter- Normally opted by a ship
owner bcoz he has to equips the ship with
fuel, floating personnel & other necessities &
operate the ship.

17. Mode of cargo shipments by ships
• General cargo
• Containerization- It may be flat or collapsible or
open top or tank container or refrigerated or
specific designed container.
• Tankers
• Multi purpose vessels
Liner type vessel
Boro vessels
Barge system
Combination container & RO/RO vessels

18. Procedure for booking of cargo by sea
• Goods forwarded by clearing & forwarding agent.
• Preparation of shipping bill.
• Pay export duty if any
• Obtain carting order from shipping company
&carts down goods from godown to docks.
• Receiving of Mate’s Receipt by port authorities
after shipper pays the port charges on the cargo.
• Move to shipping company,takes Bill of Lading,fill
it & submit the Mate receipt.

19. Bill of lading
• It is the carrier’s receipt in ship transport.
• It is negotiable & contains- Name of ship, flag
of nationality, shipper's name, no. of
packages, description of goods, freight rates,
net weight, order & notified party.
• B/L should be clean, any remark on Mate
receipt should be indicated on B/L.
• It is prepared at port of shipment.
• It is prepared by shipping company.

20. Inland water transport
• Started in India in 1823 but gradually losing tariff
over the years due to lack of clarity,lack of
expertise,devlopment of waterways,lack of
awareness about waterways.
• National transport policy committee then later
declares some rivers as national waterways &
develops viable policy.
• Advantage- mass movement of bulk material, low
cost, large capabilities.
• Disadv.- suitable for specific items,not quicker
transit

21. Pipe line movement
• Ideal for transporting large qty. of fluids over
long distance.
• Also for solids in slurry forms iron
ore,coal,limestone etc.
• Now a days best mode for petroleum
products,gases,crude.

22. Advantages of pipe line
• Reliable,continuous,all weather means of
transport
• Low cost due to low energy consumption
• Low maintenance &operating cost
• No space occupied
• Losses in transit minimum
• Safe method
• Traverse difficult terrain
• Economic

23. Disadvantage
• Not suitable for solids &heavy equipments.
• Initial cost of laying pipeline is very high

24. Ropeways transportation
• Connects two places with large difference in
altitude easily
• Rate of rise or altitude gain within a horizontal
distance is much higher
• Least damage to the ecology of region
• Capable of transporting bulk materials over
short distances
• Ideal for hilly region

25. Advantages & disadvantage
Advantage-
Suitable for hilly & Inaccessible areas
Bulky items transportation
Short haulages(less than 50km)
Areas for which other transportation method
uneconomic
Disadvantages
Heavy initial investment
Limitation as to size & qty.of haul.

26. ANY QUESTION ?

27. THANK YOU