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25/9/2018 Methods of international transport

Methods of international transport

13 Ottobre 2016
Categoria: Dogane e trasporti

Transport and distribution have an important role in international trade. It is


necessary for companies to choose the right method of transport to ensure their
packages to be e cient and cost-e ective. There are various factors that will
in uence company’s decision on which type of transport to use. These factors
can be about business’ requirements, destination country, and the type of goods.

Road, sea, rail and air are four ways of import and export. As a rst step the
company has to consider all part of their project, rstly, it is important what has
to be distributed including size, weight and which type of goods. For example, for
the transportation of foods or fruits, speed is important and it’s important to
choose the shortest and quickest way. Sending cost is another element very
important and depends on the agency. Destination, countries’ law, value of goods,

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risk of transport are other elementsMethods
to be of international transport
considered and depend on company,
country of destination and customers’ requirements. So who wants to deal with
international transportation has to balance quality, cost, time and conditions.

Air transport for international trade

Air transport o ers numerous advantages for international trade, depending on


the requirements. It can:

• deliver items quickly over long distances


• give high levels of security for sensitive items
• be used for a wide range of goods

However, there are the following risks:

• air transport can involve higher costs than other options, and is not suitable for
all goods
• ights are subject to delay or cancellation
• there are taxes to be paid in each airport
• fuel and currency surcharges will usually be added to freight costs
• further transportation may be needed from the airport to the nal destination

General cargo insurance is available in three levels A, B or C. Air transport can


also use the Institute Cargo Clauses (Air). The level of insurance is re ected in
the premiums that must be paid. So it’s necessary to match the level of insurance
to the potential risk of the shipment.

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Sea transport for international trade

If the business needs to transport large quantities but there is no pressure to


deliver quickly, shipping by sea may be suitable.
Sea Transport advantages include:

• possibility to ship large volumes at low costs


• shipping containers can also be used for further transportation by road or rail

However, there are also risks for sea transport:

• shipping by sea can be slower than other transport systems and bad weather
can add further delays
• routes and timetables are usually in exible
• tracking the goods’ progress is di cult
• port duties and taxes
• further transportation overland might be needed to reach the nal destination
• basic freight rates are subject to fuel and currency surcharges

Who wants to transport goods by ship have to protect their shipment with an
insurance. But under the maritime transport conventions, there are limited
insurances, so it’s advisable to get additional insurance, such as general cargo
insurance.
For the shipping of dangerous goods, it’s necessary to complete a dangerous
goods declaration which includes the Dangerous Goods Note.

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25/9/2018 Methods of international transport

Road transport for international trade

Road transport can be the most exible option for international business. It is
usually quick and e cient.

Road transport advantages:

Low cost
Extensive road networks
Possibility to schedule transport and tracking the location of goods
Safe and private delivery

Risks for road transport:

long distances overland can take more time


there can be tra c delays and breakdowns
there is the risk of goods being damaged, especially over long distances
toll charges are high in some countries
di erent road and tra c regulations on some countries

It’s possible to choose own vehicles, or carriers. Operating with own vehicles,
needs to consider licenses, fuel costs, regulations, driver training and taxes.
The international transport of dangerous goods by road is subject to
international legislation, in particular the European Agreement on the
International Carriage of Dangerous Goods by Road (ADR
(h p://www.unece.org/trans/danger/publi/adr/adr_e.html) ). Drivers of vehicles carrying
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dangerous goods must hold an ADRMethods
trainingof international transport
certi cate in handling dangerous
goods. All commercial vehicles that carry dangerous goods must pass the ADR
test, and some of them need to be built with special standards. These classes of
goods are de ned as dangerous: corrosive substances, explosive substances and
articles, ammable liquids and solids, gases, oxidizing substances, radioactive
substances and toxic substances.

Rail transport for international trade

Rail transport is a cost-e ective and e cient way to move goods. It o ers the
following advantages: fast rail network throughout Europe. It is environmentally
friendly compared with other transport systems.

Risks for rail transport:

routes and timetables available can be in exible, especially in remote regions


can be more expensive than road transport
mechanical failure or industrial action can disrupt services
further transportation may be needed from a rail depot to the nal
destination, increasing costs and a ecting delivery schedules

The Convention Concerning International Carriage by Rail (COTIF


(h p://www.cit-rail.org/en/rail-transport-law/cotif/) ) is the system of law which applies in the 45
states in Europe, North Africa and the Middle East that are members of OTIF, the
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International Organization for International Carriage by Rail.
CIM (Convention Internationale concernant le transport des Marchandises par
chemin de Fer) is a consignment note that sets the conditions for transporting
non-dangerous goods by rail. CIM rules mean that ythe carrier only takes
responsibility for insuring the shipment against loss or damage from the time
they take possession of them until they are delivered. For the transportationof
dangerous goods that have a UN dangerous goods code, or that ther carrier
considers to be dangerous, it’s necessary to complete a dangerous goods
declaration. Part of this declaration is the Dangerous Goods Note.

Fonte: a cura di Exportiamo, di Morvarid Mahmoodabadi,


redazione@exportiamo.it (mailto:redazione@exportiamo.it)

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