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Chapter 1

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THE SHIPPING INDUSTRY PROCESS

1.1 Introduction to the Study

Almost all international trade in goods is transported by sea. Thus, ocean shipping plays
a central and essential role in the world economy and in world trade. The United States is the world’s
largest trading nation, and international markets are increasingly important to U.S. industries. Shipping
is the most cost effective method of transportation of goods.

About three forth of surface of earth is covered by water and there is long
distance between countries with raw materials and industrialized countries. Seaborne trade is about
90% of the total world trade and seafarers contribute substantially by ensuring that this trade
is continuously performed as per schedule with minimum delays or loss to cargo, life or environment.

Further modern container ships carry large number of containers with finished goods
to places where they are in demand. Passenger shipping while diminished due to the slow speed of
the ships, a new type of cruise shipping is fast developing in a big way where large ships with all
modern amenities provide excellent holidays to interested people.

In the year 1948, the Government of India implemented the mixed economy standard,
which characterized the co-existence of private and public sectors. It facilitated both the expansion of
public sectors and reorientation of the private sectors, to the needs of a planned economy.

The functions, vision and mission, performance and welfare facilities extended to their
employees are elaborated in this chapter. The Public sector in India has come to occupy a key position
in the nation’s economy especially in fuel production, basic metals industries, non ferrous-
metals industries and fertilizers. The commanding role of the Public Sector is most unlikely to
diminish significantly in the foreseeable future notwithstanding the policies of liberalization and
deregulation and encouragement to the private sector and multinationals.
The Public sector is often criticized for draining the nation’s resources without yielding
adequate returns on investment. This is largely because all along the sector has had to contend with
multiple goals. From the 1970’s, when profit was not considered, particularly in the Public Sector, it is
rather impracticable to expect a dramatic ‘U-turn lumping all public sector undertaking (PSUs)
together and assigning 50 percentage weightage probably alone in assessing their performance
under the Memorandum of Understanding (MOU).

The employment in Central PSUs increased from 0.7 million to 1.57 million between
1970- 71 and 2007-08. During the corresponding period, the per capital emolument increased from
Rs.5,920 crores per annum to Rs.4,08,609, crores while the cost of price index rose during this
period by 1,478 percent, the per capita emoluments increased by 6,819 percent. It is important to note
the sector wise

Variations in wages and wage revisions in Public Sector. While a policy of parity across
sectors was followed till 1992 in terms of revisions in basic wages, house rent allowance and dearness
allowance, thereafter, disparity was followed with only profit making enterprises being allowed to revise
wages and not the others. A last wage revision was effected during 2012 in the central Public Sector
Units (which number over 240). Significantly wage costs range from less than 2 percent in petroleum
companies to over 38 percent in coal and lignite and agro based companies and 41 percent in tourism
services. Wage costs in Engineering and Metal industries are over 21 percent. The thumb rule is that
no engineering company the wage cost of which exceeds 20 percent is very profitable.

This may not be due to labor; rather, it is symptomatic of inefficiency in the


managing of the enterprise. Notwithstanding the merits or demerits of the arguments about
surplus labor and unproductive wage costs in the Public sector, the fact is that, significant cost
reduction and savings are possible in areas other than labor and for that, cooperation between labor
and management is crucial. Also, as will be noted subsequently, wage costs are not equally critical to all
Public enterprises.

Ports are the principal conduits through which the economic life line of a maritime
nation flows. As maritime gateways, port lie at the interface between sea and land links and have to
handle smaller flows for distribution to hinterland by surface transport or inland waterways.
India has a coastline spanning 7516 kilometers, forming one of the biggest peninsular in
the world. It is serviced by 13 major ports, 200 notified minor and intermediate ports. The 200 non-
major ports are situated in the following States:- Gujarat (42); Maharashtra (48); Tamil Nadu (15);
Karnataka (10); Kerala (17); Andhra Pradesh (12); Odisha (13); Goa (5); West Bengal (1); Daman
and Diu (2);
Lakshadweep (10); Pondicherry (2); and Andaman & Nicobar (23).

The Indian Ports Act 1908, formulated under British Rule lays down the procedures and
conditions to be followed in waterways by the port authorities as well as the marines right from the
entry of the vessels within the port limits,
1.2 Objective of the study.

 To study about the organization and their nature of work

 To know about the technology being used by them

 To know about the shipping industry process

 To know about the customs procedure in clearance of goods

 To know their more sustained profit

 To know the relationship between exports and importer in shipping industry.


1.3 Scope of the Study.

The Indian economic growth is largely dependent on import and export of goods
to foreign countries. Most of these goods are transported to various shores with the help of
efficient shipping companies in the country.

Today there are a number of industrial shipping companies in India which guarantee
timely delivery of goods to different parts of the world.The shipping industry is one of our
oldest industries and still plays an important role in our modern society.

Today, over 55 000 cargo ships are active in international trade. The fleet
is represented in over 150 countries, crewed with over 1.5 million sailors working around the world. The
different types of cargo being transported are goods for consumers, food, raw material, cars and fuel,
just to name a few.

Safety:
Complying with Group policies, we ensure the safety of lives, environmental protection
and the safety of vessels and cargoes. Company procedures comply with international
industry requirements ensuring good and safe vessel operation. All aspects of our business are
conducted with honesty and integrity.

Planned Maintenance System:


We operate with electronic and web based Planned Maintenance Systems.
These systems ensure that our office staff and vessels are continuously updated and synchronized in
order to perform and monitor high quality within budgetary limits.

Quality Standards:
We are certified to the highest quality standards of ISO 9001:2008, ISO 14001:2004
and OHSAS 18001:2007 and hold ISM Documents of Compliance for several flags. We also hold the
MLC Management System Certificate.
1.4 Importance

Shipping industry – relevant in the past, present and the future

The shipping industry is one of our oldest industries and still plays an important role in
our modern society. Today, over 55 000 cargo ships are active in international trade. The fleet is
represented in over 150 countries, crewed with over 1.5 million sailors working around the world.

The different types of cargo being transported are goods for consumers, food,
raw material, cars and fuel, just to name a few. About 20 million containers are traveling across the
oceans every day. If we lined up all the world’s containers, the line of containers would stretch halfway
around the planet.
1.5 Needs for the study

 Integrated complete reporting and planning functionally.

 Drill down in multiple dimension

 Time offsets for easy comparative reporting.

 Customized logic that allows you to specialize business processes.

 Planning the effective use of available resources.


1.6 Statements of the problems:
Seafarers perform an admirable service to the people by helping move different
types of ships and a variety of cargo from one port to the other, complying with a number of
regulations and facing dangerous risks such as maritime terrorism and rough weather.

There are five types of problems


1. Lenient Registries:
Today, maximum seafarers working on ships belongs to countries such as Philippines,
Ukraine, China, Bangladesh, Pakistan, and Sri Lanka, and are employed on flags of countries such as
Belize, Marshal Islands etc.

One of the main issues faced by the shipping industry today is the
emergency of registries such as Belize and Marshal Islands. Every one of us would have seen
advertisements claiming to issue COC and CDC of Belize and Marshal Islands expeditiously.

Advertisements in prominent newspapers about recruitment of seafarers from


unknown and improperly registered entities are increasing. Under the Maritime Shipping (MS) Act, it is
our duty to eradicate such unscrupulous recruiters, trainers, and issuers of documents; but it is quite
evident that we are failing miserably.

2.Mindless Security Measures at Ports:


Until some years back, before theInternational ship and port facility security (ISPS)
code, it was very convenient for ship’s crew to finish the work by late afternoon and then easily go
out to refresh themselves ashore. However, now with mindless security the freedom of a seafarer to
go ashore has been substantially curtailed.

True Incident: Once our agent dropped me at a seamen’s club of the Cape Town and
asked me to wait there until the ship berths at night. Though he promised to come back and
take me onboard ship, there was no news from the agent until late evening.
3.Difficulty to Join Ship:
With fast loading and discharging rates of the cargo at ports, especially for the former,
it has become increasingly difficult for a seafarer to fly out and join a ship in a distant port. This
is because by the time the visa is processed, the ship is already loaded and ready to sail.

4.Not Enough Time for Maintenance Work at Ports:


Seafarers are not finding enough time to carry out maintenance work on ships
as a result of short port stay and reluctance of port authorities to grant ship immobilization. Port
authorities want ships to finish loading and discharging of the cargo and move out of the ports as soon
as possible.

This gives very less time to the seafarers to carry out important maintenance work
before the ship starts sailing again . International maritime organization (IMO) should issue requests to
port administrations to assist the ships as far as practicable.

5.Lack of Proper Training:


In the matter of seafarer training, greater emphasis should be given to on-board
training involving marine equipment manufacturers and shipyard personnel. Shore based
training by conventionally certified Masters and Chief Engineers though good is not enough and even
useless if such training is being imparted in an improperly registered college run by those who have
never set their feet on board ships in last few decades.

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1.7 Limitation of the Study:

 There are various issues such as the Turn Round Time, Pre Berthing Detention, Yard

management etc., focusing which the operational efficiency of a container terminal can

be improved.

 Equally, the above issues have to addressed in the project under study with in the given period

of time and the time that would be required to assess a terminal’s performance using all such

parameters will definitely be more whereas the Researcher has to conclude the study

providing constructive and useful solutions in the development of the Terminal operations and

benefit the trade users greatly.

 The short time provided for the study and more number of issues to be addressed

poses a limitation to the study.


CHAPTER - 2
2.1 About the industry
Shipping industry
Almost all international trade in goods is transported by sea. Thus, ocean shipping plays
a central and essential role in the world economy and in world trade. The United States is the world’s
largest trading nation, and international markets are increasingly important to U.S. industries.

Between 1970 and 1980, the value of U.S. international trade more than doubled, and
the ratio of U.S. exports to gross national product rose from 4.4 to 8.5 percent. Maritime trade
generally is divided into three broad categories: liquid-bulk, dry-bulk, and general cargo (see fig. 1).
Petroleum alone accounts for nearly all of the liquid-bulk trade and for almost half of the total world
tonnage shipped.

About one-fourth of world tonnage consists of dry-bulk commodities—principally


mineral ores, coal, and grain. The remaining one-fourth consists of the variety of manufactured goods
and consumer products called general cargo, The two principal modes of ship operation are the liner
mode, which serves the general cargo trade, and the bulk mode, which serves both the dry-
and the liquid-bulk trades.

The liner industry carries general cargo from port to port at fixed rates and on
regular schedules. Modern containerships are typical of the vessels used in liner trade.The
liner industry commonly operates within conferences—international groups of private liner companies
that collectively agree on routes, schedules, rates, and other aspects of liner service.

The bulk industry normally does not form conferences. It employs a variety of ships,
usually on a time- or voyage-charter (rental) basis, to carry single, large-volume commodities (e. g.,
iron ore, grain, coal, crude oil) over fixed and sometimes long periods of time.

The liner industry thus tends to manage competition among major companies, while the
bulk industry operates under much more open competition. The liner trades involve by far the largest
portion of world trade when measured by dollar value, while the bulk trades account for the largest
portion by volume or tonnage.
Shipping is the most cost effective method of transportation of goods. Seaborne trade
is about 90% of the total world trade and seafarers contribute substantially by ensuring that this trade
is continuously performed as per schedule with minimum delays or loss to cargo, life or environment.

The economy of scale has resulted in development of large ships for carrying oil and
other raw materials so as to keep the transportation costs low. Further modern container ships carry
large number of containers with finished goods to places where they are in demand.

Liner shipping
Liner shipping is the service of transporting goods by means of high-capacity, ocean-
going ships that transit regular routes on fixed schedules.

There are approximately 400 liner services, most sailing weekly, in operation today.
Liner vessels, primarily in the form of containerships and roll-on/roll-off ships, carry about 60 percent
of the goods by value moved internationally by sea each year.

Scope of industrial shipping service in India


The Indian economic growth is largely dependent on import and export of goods
to foreign countries. Most of these goods are transported to various shores with the help of
efficient shipping companies in the country.

Today there are a number of industrial shipping companies in India which guarantee
timely delivery of goods to different parts of the world.

 Shipping industry – relevant in the past, present and the future

 The shipping industry is one of our oldest industries and still plays an important role in our
modern society. Today, over 55 000 cargo ships are active in international trade.

 The fleet is represented in over 150 countries, crewed with over 1.5 million sailors working
around the world.

 The different types of cargo being transported are goods for consumers, food, raw material,
cars and fuel, just to name a few.

 Short facts about the greatness of the shipping industry

 It is not every day that the greatness of the shipping industry comes to mind. To give
you a better understanding for the importance of shipping in the transportation industry, we

want to highlight eight interesting facts:

 About 20 million containers are traveling across the oceans every day. If we lined up all
the world’s containers, the line of containers would stretch halfway around the planet.

 Containers are marked with a BIC code, which you can compare to a license plate on a car.

 The BIC code is made in a standard format [XXX-U-123456-1]. “XXX” signify the owner and
“U” defines the container’s category (U= Freight Container, J= Freight related equipment, Z=

trailers or chassis).

 The six following digits are a unique serial number and the last number is a check digit.
SHIPPING INDUSTRY PROCESS
Shipping industry process there are three types :-
 Custom House Agent (CHA)
 Freight forward
 Liner
Custom House Agent (CHA) :-
 In India, a customs house agent (CHA) is licensed to act as an agent for transaction of any
business relating to the entry or departure of conveyances or the import or export of goods

at a customs station.

 CHAs maintain detailed, itemized and up-to-date accounts.

 A CHA license may be temporary or permanent.

 CHA licensing regulations, 1984

 “Custom House Agent” means a person licensed, temporarily or otherwise, under the
regulations made under sub-section (2) of section 146 of the Customs Act, 1962.

A person is permitted to operate as a customs house agent, temporarily under


regulation 8(1) and permanently under regulation 10, of the Customs House Agents Licensing
Regulations, 1984.

The services rendered by the custom house agent are not merely limited to the
clearing of the import and export consignment.

The CHA also renders the service of loading/unloading of import or export goods
form/at the premises of the exporter/importer,

The packing, weighment, measurement of the export goods from the custom station to
the importers premised, carrying out of various statutory and other formalities such as payment of
expenses on

 account of de-stuffing/ palletisation terminal handling fornication,


 drawback/DEEC processing, survey /amendments fees,

 dock fees,

 repairing and examination charges, statutory labor etc this expenses paid on behalf of importer
and exporter.
 The CHA is ordinarily reimbursed by the importer/ exporter for whom the above
services are rendered.
 No ceiling on the number of CHAs who may be appointed in a customs house
 A regular licence is preceded by a temporary license
 Criteria of experience and financial soundness must be met.
 A regular licence is subject to passing an examination, A minimum volume of business and
compliance with Regulation No. 14.Changes in the constitution of a partnership or firm do not
affect the operations of a CHA Prescribed fees prevent overbilling by CHAs.

Multi model transport operators (CHA):


Multi model transport operators (MTOs) are appointed under the multi modals goods
transportasation act,1993 by the ministry surface transport.

Their works involves carrying goods by more than one mode of transport between India
and aboard

This does not confer a right on them to obtain an appointments as steamers


agents or CHAs unless they are otherwise qualified for the appointment.

License type :-
Tempory .
After accepting an application, a one year temporary licence is granted under regulation
8 in form B.

Before receiving a temporary (or regular) licence , the applicant must execute a bond
forms D and E . For major ports ,the surety amount is RS 25000/- for other ports RS 10000/-

Surety may also be given in the form of National Saving Certificates or portal security.

Which should be pledged in the name of the commissioner.

Since a regular licence-holders is allowed to work in more than one customs station
,separate bond and surety must be posted for each custom station.

Custom clearance:-
 Import custom clearance
 Export custom clearance

Custom Clearance (Imported)


With updated and complete knowledge of customs regulations, custom clearing
services and procedures we handle customs clearance of import consignments by sea, air and road
efficiently and easily.

When the custom formalities are completed the Insoorya Express Cargo deliver the
consignments to the said destination as per our client's needs.

As we receive the said documents, our qualified custom clearing agent or custom
house agent professionals try to provide the best possible benefit to the clients with reference to the
custom notifications and exemptions.

With a technical professional staff we avoid the delay in clearance and other detention
charges such as heavy demurrage etc.
Custom Clearance (Exported)
Our employees have updated knowledge of rules and regulations of customs which
helps them to clear air, sea and road consignment with ease.

Our main services in custom clearing include advice to the clients in


preparing documents related to export, timely completion of appraisement and examination
procedures and payments.

We are totally dedicated to provide our clients with effective as well as economical
freight forwarding services related to by air and by sea through our team of competent professionals.

Inbound buyer's consolidation services, Cost effective and time bound LCL consolidation
services and Inbound FCL Services from across the world. We provide best solution for Door to door
services and delivery/distribution of cargo.

We follow the transit cargo from the time of pickup to delivery and Pre-alert/status
information.

Thus Insoorya Express Cargo's qualified workforce very efficiently arranges for
the documents needed by the customs, transfers and receives shipments, scrutinizes the goods and
lastly handles the cargo from airport and ICD's to your warehouse.

Freight forwarder:
The freight forwarder, forwarder , or forwarding agent ,also known as a non-
vessel operating common carrier (NVOCC) , is a person or company that organizes shipments for
individuals or corporations to get goods from the manufacturer or producer to a market, customer or
final points of distribution .
Forwarders contract with a carrier or often multiple carriers to move the
goods. A forwarder does not move the goods but acts as an expert in the logistics networks .

These carriers can use a variety of shipping modes , including ships, airplanes, trucks,
and railroads ,and often do utilize multiple modes for a single shipment .

Firm specializing in arranging storage and shipping of merchandise on behalf


of its shippers.

It usually provides a full range of services including: tracking inland


transportation, preparation of shipping and export documents, warehousing, booking cargo space,
negotiating freight charges, freight consolidation, cargo insurance, and filing of insurance claims.

Freight forwarders usually ship under their own bills of lading or air waybills (called
house bill of lading or house air waybill) and their agents or associates at the destination (overseas
freight forwarders) provide document delivery, deconsolidation, and freight collection services.

International freight forwarders

International freight forwarders typically handle international shipments.


International freight forwarders have additional expertise in preparing and processing customs
and other documentation and performing activities pertaining to international shipments.

Information typically reviewed by a freight forwarder includes the

 Commercial Invoice,

 Shipper's Export Declaration,

 Bill Of Lading

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 And other documents required by the carrier or country of export, import, and/or
transshipment. Much of this information is now processed in a paperless environment.

The FIATA shorthand description of the freight forwarder as the "Architect of


Transport" illustrates the commercial position of the forwarder relative to its client.

In Europe, some forwarders specialize in "niche" areas such as rail-freight, and


collection and deliveries around a large port

FMC – Federal Maritime Commission (FMC) is in charge of governing vessel operators


and non-vessel operators such as NVOCC’s and Freight Forwarders

Freight Forwarder – freight forwarder, forwarder, or forwarding agent is a person


or company that organizes shipments for individuals or corporations to get goods from the
manufacturer or producer to a market, customer or final point of distribution.

OTI – Ocean Transportation Intermediary (OTI) is licensed by the FMC to be an ocean


freight forwarder, a non-vessel operating common carrier (NVOCC), or an ocean freight forwarder and
NVOCC.

NVOCC – Non Vessel Operating Common Carrier (NVOCC) is a consolidator or freight


forwarder who does not own any vessel, but functions as a ‘carrier’ by issuing its own bills of lading or
air waybills and assuming responsibility for the shipments. Similar to a Freight Forwarder but typically
they have better ocean freight rates and can issue bills of lading.
Note the difference between a freight forwarder and NVOCC is that a freight
forwarder acts as the agent of a principal (typically a shipper or consignee) and the NVOCC is a
transportation company (carrier) that is physically responsible for the carriage of goods and acts as
its own principal.

IAC – Indirect Air Carrier (IAC) refers to any person or entity within the United
States not in possession of an FAA air carrier operating certificate, that ships cargo belonging to
any other person or entity.

IATA / CNS – International Air Transport Association (IATA) / Cargo Network Services
(CNS),

Independent Freight Forwarder

An independent freight forwarder is one that is not part of the Global 25 Freight
Forwarders.

They do not have an office in every major country and use different agents
around the world for various services depending on what their customer’s requirements are

The term freight forwarder is also overused and a very general term that applies to a
long list of service providers. You may need a company that has these licenses and/or services an:

FMC licensed NVOCC for Ocean Freight,


IATA or CNS licensed IAC (indirect air carrier) or Air Freight,

Customs House Broker for US Customs Clearance,

Intermodal Drayage/Trucker for US Domestic Container Trucking,

Rail Consolidator for US Domestic rail moves,

Domestic LTL/FTL Trucker for Domestic Trucking within the US,

Warehousing (pick and pack, order fulfillment, reverse logistics, cross docking, container
loading/unloading deconsolidation, storage, etc),

CFS (container freight station),

Documentary Services (document legalization services)

or Notary Public for notarizing documents.

All of these services are grouped under “Freight Forwarder” and not all freight
forwarders offer all of these services. You may not even need all of these services, but may need
them in the future, so knowing what these services are and what they can do for you is
important.

Determining whether they are a “3PL” or “4PL” is less important than really
understanding what services they offer that meet your needs and which licenses or certificates they
have from their respective governing body such as the FMC or IATA. Create a checklist of
requirements you have in order for the freight forwarder to understand your needs. Keep a proactive
approach to your shipments; don’t rely on your freight forwarder for everything, because ultimately you
are responsible if something happens with your shipment such as a mis-declared shipment or incorrect
HTS classification.

A good freight forwarding service can save you untold time and potential
headaches while providing reliable transportation of products at competitive rates.
A freight forwarder is an asset to almost any company dealing in
international transportation of goods, and is especially helpful when in-house resources are not versed
in international shipping procedures.

There are many advantages to using a freight forwarder. Here are a few listed:

 A Freight Forwarder handles ancillary services that are part of the international
shipping business

 Insurance

 Customs Documentation

 A Freight Forwarder provides to consolidators as well as individual shippers:

 Non-Vessel Operating Common Carrier documentation

 Bills of Lading

 Warehousing

 Risk Assessment and Management

 Methods of International Payment

 A Freight Forwarder insists on personal communication and great customer service.


LINER :
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LINER SHIPPING WORKS
Liner shipping is the service of transporting goods by means of high-capacity, ocean-
going ships that transit regular routes on fixed schedules.

There are approximately 400 liner services in operation today, most providing weekly
departures from all the ports that each service calls.
Liner vessels, primarily in the form of containerships and roll-on/roll-off ships,
carry about 60 percent of the goods by value moved internationally by sea each year.

Liner Shipping means liner services when a Shipping Company engage their fleet
of ships to carry cargo between predetermined ports at regular intervals, under publicly
advertised schedule. The special features of this service can be highlighted as under

 The service is offered at regular interval, say weekly or fortnightly basis.

 Obligation to accept cargo from all customers and to sail on the date fixed by a published

schedule even if ship is not fully loaded.

 A fixed port rotation or itinerary or schedule to follow.

 The service is comparatively cheaper and reliable.

Benefits of Liner Shipping

International liner shipping is a sophisticated network of regularly scheduled services


that transports goods from anywhere in the world to anywhere in the world at low cost and with
greater energy efficiency than any other form of international transportation.
Efficiency

Liner shipping is the most efficient mode of transport for goods. In one year, a single
large containership might carry over 200,000 container loads of cargo.

While individual ships vary in size and carrying capacity, many container ships can
transport up to 8,000 containers of goods and products on a single voyage.

Similarly, on a single voyage, some car carrier ships can handle 7,600 cars. It would
require hundreds of freight aircraft, many miles of rail cars, and fleets of trucks to carry the goods that
can fit on one large liner ship.

Global Economic Engine

Liner shipping connects countries, markets, businesses and people, allowing them to
buy and sell goods on a scale not previously possible.

Today, the liner shipping industry transports goods representing approximately one-
third of the total value of global trade. Additionally, as a major global enterprise in its own
right, the international shipping industry is responsible for millions of existing jobs and plays a
crucial role in stimulating new jobs.

It contributes hundreds of billions of dollars to the global economy annually


thereby increasing gross domestic product in countries throughout the world. Moreover, as the lifeblood
of global economic vitality, ocean shipping contributes significantly to international stability and security.
Low Environmental Impact

Ocean shipping is the most carbon-efficient mode of transportation and produces


fewer grams of exhaust gas emissions for each ton of cargo transported than air, rail, or road
transport.

In addition, new International Maritime Organization regulations establish strict


standards for vessels' NOx, SOx, and particulate matter emissions. Also, the millions of containers that
are used around the world are now 98 % recyclable.

How liner shipping works:


 Every day, thousands of containers arrive at seaport from countries all around the world .

 They are carried aboard liner ships, which offer regularly scheduled service on fixed routes –

much like a bus or train service does each shipment represents a specific supply chain.

 Every supply chain is somewhat unique because it involves the timely and accurate transfer of

goods between various modes of transport

 Goods transported by ocean containers on liner ships can be placed into the container

at the factory origin The container is locked and sealed so that goods can remain safely

secured inside the the container until it arrives at the purchaser’s warehouse ,factory or store.

 Up to the beginning of 1960s, cargo carried by liner shipping was known as "general cargo" and

the vessels used to carry those general cargo , were small general dry cargo ships (twin-

decker & multi- decker ship).


How to start liner shipping

The pattern of liner services that has evolved over last century to meet the changing
requirements of world economy is very extensive.

The largest volume of trade linking three major industrial centers of the world are,
 North America,

 Western Europe, and

 Far East Asia.

The following three major liner trade routes are operating to cover these industrial
centers.

 The North Atlantic route covering the trade between north-west Europe, East Coast
Canada and the United States.

 North America to the Far East route covering trade between East and West Coast of

 North America & the Far East, stretching from Japan to Singapore.

 Western Europe to the Far East route covering the trade between Western Europe and
the Far East countries.
Again Shipping Lines work under different types of Conferences as mentioned below:

 Closed Conferences

 Open Conference

 Outsiders

Closed Conferences:

The most common arrangement is the closed conference which restricts membership,
sets freight rates for the conference and often fixes the trade share of each member of the
Conference. This helps conference members to adjust capacity to demand & avoid unnecessary
duplication of port calls. Inspite of many criticism against closed conference, it’s existence for more
than a century proves that this arrangement still fulfill the prime need of transport industry.

Open Conference

Under this arrangement, membership is not restricted. Any shipping line can join in
open conference and enjoy unit revenue set by the conference. Since there is no control on trade
shares or number of ships to be employed in service by new member, there is always a risk of
overtonnaging in open conference resulting in undercut of existing freight rate.

Outsiders:

There are Shipping Companies that set up liner services on a route without joining
the conference. Outsiders can attract shippers in a route by offering lower freight, if the
rate set by conference system is higher.
The following basic items to be considered in general by liner company to set up freight tariff:

Freight charges are the first important item to consider which will cover cost
of transporting the consignment from port A to port B. This charge is listed item wise in the
conference ‘rate book’ which provides information regarding rate per freight ton(charged by weight
or volume whichever is higher) for each commodity between ports or regions served by liner
company. For some commodities, particularly those shipped in large volume, shipping line may
negotiate with the shipper to fix up a separate price.

Port charges This includes expenses payable to the port authority when a vessel calls
in port for cargo loading and unloading operation. This are generally separate because freight
charges in the rate book are often quoted on a regional basis. Within a region, ports may have
different charges. Some conferences absorb port charges into the ocean freight.

Service additional. If the shipper undertakes additional services for the customer –
for example, storage of goods, customs clearance or trans-shipment, then there would be additional
charge for this.

Cargo additional . Some cargoes attract additional charges because they are
difficult or expensive to transport – steel pipe over a certain length, heavy lift, or liquids that involve
tank cleaning for example.

Banker Adjustment Factor(BAF). It is difficult for shipping line to maintain a


stable freight rate as per declared ‘rate book’, when sudden & unexpected increase occurs in
the cost of bunker price in the international market. This leads to proportionate increase in the
operating cost on

30
long routes. To avoid revising the ‘rate book’, this is generally dealt with by a bunker adjustment factor,
which is added to the freight.

Port congestion surcharges. In a situation of prolong port congestion, liner company


faces unscheduled delays in port for loading & discharging and it increases operating cost in terms of
higher port charges & fixed operating cost to the vessel account. To compensate this financial loss,
shipping line has to impose a congestion surcharge for cargo destined for congested port.

Currency Adjustment Factor. The shipping line within the conference may face
a problem that they submit freight invoice to the shipper in one currency but incur all their cost in
another currency. If the rate of exchange of the currency through which shipping line is to settle their
expenses, abnormally falls down compared to the currency rate of freight payment, then the line is
subjected to great losses. Currency Adjustment Factor takes care of this adverse situation. It is based
on an agreed basket of costs which keeps tariff revenue same, regardless of fluctuation in the tariff
currency rate of exchange.

Discount or loyalty rabate. A discount allowed by the conference for the genuine
customers who are loyal to the conference for supporting.

General rate increase. Due to cost inflation in the economy, sometimes shipping line
has to raise or adjust freight tariff for each commodity proportionately which is known as General
rate increase and is notified to the trade accordingly. This kind of general rate increase is
sometimes negotiated with shippers / shippers council before implementation.
Commodity box rate. In case of container freight, commodity box rate applies in general which means
shippers to pay fixed amount per box irrespective of weight of its contents. This criteria can not be
applied to a special type of container which requires special treatment on board the vessel and
thereby need to fix up higher freight.

FAK(Freight of all kinds) is also used as fixed rate per box but this can not
differentiate between high value commodities with low value commodities. Here pre and post
shipment charges viz terminal handing charges, container service charges, LCL charges, port levies,
container demurrage charges etc to be considered for freight calculation of a container. In case Inland
transport services is required on carriers haulage, then cost to be included in the freight.

SHIPPING FORMALITIES
1. Getting IEC no.
2. Requirements for the IEC NO:
3. Order from Overseas Buyer:
4. Authorizing CHA:
5. Documentation
6. A.O Officer (Appraisal Officer)
7. Shipment Process
8. P.O (Preventive Officer)
9. E.O (Examination officer)
10.Streamer agent process
11.Customs Verification
12.Customs Release order
13.CFS charges Payment
14.Cargo Delivery To the Importer

1. Getting IEC NO:


Getting the import Export Code Number is one of the important thing. Only if
the exporter get the number he/she can do export or else exporting or importing is
impossible
2. Requirements for the IEC NO:
 Registered Company name

 Current A/C of the registered company

 PAN number

 Photo Copy of the proprietor

 Attested copy by the respective bank in which they have a/c

 Bankers Certificate

3. Order from Overseas Buyer:


Getting Order for the Requirement of the overseas buyer. First the exporter will get
order from the importer who is in the other state or country. .

4.Authorizing CHA:
The importer can import goods only with help of CHA. The importer have to
appoint a CHA in his state or country in order do import goods from exporter.

5. Documentation
After authorizing a CHA the importer will forward some documents to the agent. It includes
 Invoice
 Bill of Lading
 Packing list
Referring those documents the agent will file a bill of entry which will consists of all the
information to submit to the customs to get bill of entry number. This number is referred by the
officer who is releasing the goods from the port to the agent.
The invoice bill consists of
 Invoice number
 Port of loading
 Final destination
 Exporter name and address
 Consignee name and address (user)
 Goods description, quantity, unit price, total amount and weight or volume.
 Payment term
 Delivery term
 And other formalities like date, seal, signature etc.,

The packing list consists of


 Packing list number
 Customer name and address
 Delivery address
 Invoice number for reference
 Goods code
 Order number
 Weight and width
 FCL/LCL
 And other formalities like date, seal, signature etc.,

The bill of lading consists of


 Exporter name and address
 Consignee name and address
 Place of receipt
 Port loading
 Place of delivery (yard, warehouse)
 Description of goods, weight, amount etc.,
 Package kind or category(FCL/LCL)
 Place and date of issue
 Payment mode
 And other formalities like date, seal, signature etc.,

6. A.O Officer (Appraisal Officer)


Bill of entry will be assess by the A.O so that all the documents should be
submitted to that officer (systematically)

7. Shipment Process
After The assessment the A.O will issue the examination order for importing the
goods.

8. P.O (Preventive Officer)


Preventive officer will verify the examination order and forward the goods to
the examination area in CFS.

9. E.O(Examination officer)
The examination officer will verify the goods to be exported and issue examine
certificate . It will certify systematically.

10. Streamer agent process


 Streamer agent will send cargo arrival details to CHA

 Streamer Agent charges Requisition

 Payment through Demand Draft or cheque

 Streamer agent issues the delivery order and plot letter


11. Customs Verification
The customs officer will verify the goods which is need to be imported with the
reference of supporting documents Bill of entry, delivery order and plot letter.

12. Customs Release order


Now the custom officer will release the order to import the goods from the
CFS.

13. CFS charges Payment


The agent should pay the fee to the customs freight station for the storage
purpose and also for the labor purpose

14. Cargo Delivery To the Importer


The exporter will appoint a local yard near the customs freight Station . So
that the Customs House agent will deliver the goods to the Importer and return the empty container
to the yard and get seal that the container has been received.
2.2 Competitors companies

 Hatch Freight Logistics pvt.ltd

 Bharathi Transports and Travels

 Venjoh Logistics pvt.ltd

 Lead king consolidators pvt.ltd

 Jupiter Sea and Air Service pvt.ltd

 Guru Bhargav Freight Forwarders pvt.ltd

 Seashine Logistics

 Dinesh Enterprises
2.3 MARKET SHARE

INSOORYA EXPRESS CARGO Logistics was established in 2012 with highly skilled workforce.
Our Exclusive Sales & Marketing Team with a professional background takes the Company to the
path of growth with their hard work and determination towards the objectives of being trusted
name in the Industry. Our sound financial base and longstanding multi-trade customer base is our
backbone.

Our mission is to make INSOORYA EXPRESS CARGO Logistics a from Well reputed name
in the business community & local shipping industry to an Industry Leader by carrying excellent
rapport with local port and terminal authorities to the new heights.

The Alliance: an East-West alliance consisting of Happing-Lloyd, K-Line, MOL, NYK and Yang
Ming, began operations in April 2017.

Ocean Alliance: which began operations in April 2017 is an East-West alliance involving CMA-
CGM, COSCO, Evergreen, and OOCL.

 Mares completed its purchase of Hamburg-Sod in December 2017.

 Hamburg-Sod purchased CCNI in 2015.

 Happing-Lloyd acquired CSAV in December 2014 and more recently UASC in 2017.

The cycle of consolidations and Mass is far from over. Orient Overseas Container Line (OOCL)
is to become part of China Ocean Shipping Company (COSCO) sometime this year; their combined
share in the deep sea trades is estimated to be around 12%. In April 2018 the container divisions of
Nippon Yusen Kabushiki Kaisha (NYK), Mitsui O.S.K. Lines (MOL) and Kawasaki Kisen Kaisha (K
Line) will merge, forming a joint venture called Ocean Network Express (ONE). We estimate their
combined share of the deep sea trades to be 8.7%.
2.4 Global Scenario:
After the economic adviser to US President Gary Kon demonstratively resigned,
refusing to support Tramp’s proposed tariffs on steel imports at 25% and tariffs on aluminum imports
of 10%, some analysts panicked, believing that this was nothing more than a the Smoot-Hawley 2.0 law.

It is also worth noting that the announced tariffs fall only on a small part of the US
trade. The Goldman chart shows that the volume of imports of steel and aluminum in the US is only 1.8%
of the total imports of goods to the US and may exceed average tariffs for imports in the US by 0.3%.
Most of all it will concern such trading partners, as Canada, Brazil and South Africa.

However, even in the case of Canada, tariffs will affect only 2.9% of total exports of
goods.

The initial panic reaction of the market is explained by the fact that tariffs along
with talk about greater protection of industries run counter to the trend towards greater free
trade.

The average tariff of the USA fell from 20% in the 1930s. up to 1.5% recently.
This is a fact that suggests that Trump is against a factor that has caused global
anger among trading partners, many of whom have vowed to take counter measures against the US if
they are also not granted benefits. And although the threats have not yet gone into concrete
actions, the response seems likely, given that Goldman believes that tariffs on a number of US goods,
including jeans, whiskey and motorcycles, are likely.

This is reflected in the Goldman table below, which indicates the most likely
response measures, and how serious the response may be.
What happens next is most interesting.
According to Jan Hatzius of Goldman, “the effects of the announced tariffs and
the expected response are likely to be extremely insignificant.” “Declared tariffs will lead to a
reduction in US imports by 0.2% if Canada and Mexico are released, and 0.4% if they are included,”
he said.
However, economist Goldman notes that this concerns the effects that will affect the
sphere of trade, and ignores the broader results of protectionism measures. He adds that macro-
expenditures will grow particularly strongly in the event of an intensification of the trade war:
“A tough trade war, in which everyone will set tariffs for everyone else, will lead to
higher inflation in the world, tightening monetary policy and slower growth, which will be exacerbated in
the event of a fall in stock prices around the world: financial conditions are an important channel
for negative side effects.In this scenario, the most affected will be open economies with trade
surpluses, such as the euro area.”
Goldman considers 4 scenarios for further developments in terms of tightening
conditions:

 Tariffs of the United States, which will not lead to reciprocal measures. We declare tariffs to 1% of total
imports, in part because the Trump administration has already announced several specific tariffs, and
in part because some additional restrictions are possible even in conditions of weak conflict. We allow
the interest rate and the exchange rate to react endogenously to tariffs, but we assume that stock
prices will remain unchanged.

 Trade war, focused on the United States. We assume that US tariffs will lead to a response from the
side of trading partners and further tariff growth in the US. In this case, tariffs for all trade in the US
and the US will increase by 5 percentage points. However, we also assume that the trading partners
will not set tariffs for each other. For example, the EU and China will set tariffs against US imports,
but will not create trade barriers between themselves.

 The Global Trade War. Let’s say that each country sets a tariff of 5% for all others. For example, the
EU will set tariffs against China in response to US tariffs on steel to prevent the introduction of
Chinese steel into Europe.

 The global trade war with a global sale of shares. World stock markets will fall by 10% in addition to the
global tariff of 5%.
Goldman gives examples of the impact of these 4 scenarios on the global economy:

40
Scenario 1
Given that the trading partners will not apply retaliatory measures, tariffs on US imports
will have a small positive impact on real US GDP.
The increase in import prices will reduce imports and increase domestic production and,
consequently, GDP.
Scenario 2
In the trade war everyone will lose.
This currently has a negative impact on the US, since foreign tariffs slow US exports,
inflation is higher than under the baseline without a tariff, the Fed in response slightly raises interest
rates, and the dollar grows even more.
Scenario 3
The world cost of protectionism will most significantly increase if a serious trade war
breaks out, in which tariffs will grow everywhere.
Now, the growth of world inflation is more perceptible, which has an impact on world
consumer spending and forces central banks to raise interest rates. In this scenario, the dollar is no
longer growing. The most negative impact is on open economies and countries with a positive
trade balance, especially in Europe.
Scenario 4
The costs of a trade war will grow even more if the markets for risky assets collapse.
The decline in stock prices will intensify the negative consequences of the trade
war. As expected, adverse market reactions will have more serious consequences in countries with
large stock markets, especially in the US, and the dollar will begin to fall in this scenario.
Here, the effects of GDP in 4 scenarios on 4 channels are displayed. Here’s
what Goldman observes: “We see that US tariffs (without retaliatory measures) will pave the
way for the small growth of the US and this will have a serious impact on Canada and Mexico, given
their large trade with the US (blue stripes). But will help trade partners, especially Canada, with a
trade deficit (light blue stripes), the external trade war (gray bars) will be especially painful
for countries with a surplus, including the euro zone, Japan and China. But DM economies are
more than EM economies (green bands). ”
2.5 Future of the Study

Sustainability Outlook carried out extensive industry-wide surveys and interviews


amongst various stakeholders to uncover 10 opportunity areas for sustainability focused businesses in
the short and mid-term future. Following that, detailed survey and in-depth interviews with 60
innovative sustainability ventures providing solutions in these 10 opportunity areas were conducted.
Through these interactions, Sustainability Outlook has identified 10 opportunity areas for next
generation technology innovators and gained insight into the various technological solutions that exist
in the market today, the current market uptake of these solutions and the challenges faced by them in
scaling up.

Just like any other industry, logistics is feeling the effects of advancing technology
and globalization. Changes in the industry mean that companies have to keep up with how
everything is shifting if they want to make sure they don’t fall behind. There are new technologies to
consider, as well as the skills to go along with them. If you own a logistics company or work in logistics,
it’s essential to be aware of how things are changing if you want to be successful. You need to know
which skills are in demand or what sort of talent you should be looking for. You should anticipate
how forthcoming tech could have an influence in the next decade or so, as well as how it’s changing
the industry now.

 Technology of the Road

 Globalization

 New Skills Needed

 Keeping Up with Other Companies


CHAPTER - 3
3.1 About the Company
The First Stone of Insoorya Express Cargo was laid down in 1998 as a Custom Broker.

After getting the successful support from our valuable clients we laid down the Second
Stone of Freight Forwarding In 2005 as an International Freight Forwarder.

Insoorya Express Cargo is a prompt customs house agent located in all port of
South India with Head office in Chennai providing services as custom broking and
transportation company and in 2017 we were registered in AEO.

Insoorya Express Cargo is a prompt multi model transporter and services


provider at domestic and global level providing cost-effective,efficient and quality services.

International Freight Forwarding and Custom Broking Company having mutual trade
relation all over the world.
 Managing Director : Mr. S . MURUGAN

 Year of Establishment : 2005

 Primary Business Type : Service Providers

 Estimated Annual Sales (USD) : 0.75 – 1.00 Million

 Number of Employees : 50 -

70 Focus Markets: World Wide

Markets
Insoorya Express Cargo is a prompt multi model transporter and services
provider at domestic and global level providing cost-effective,efficient and quality services. we are an
international freight forwarding and custom broking company having mutual trade relation all
over the world.
Today we are operating integrated shipping related services ranging from
 Custom Broking,

 International Freight Forwarding ,

 Transportation Services,

 Warehousing Services,

 International Trade Consultants,

 Liaison Services,

 Indenting.

Taking into consideration the demand of the customers we offer all types of
transportation services of shipments by rail, road, sea and air.

Consignments are picked up from the desired location as mentioned by the


customers and are delivered at their doorstep. An excellent network of global associates promises
safe and timely delivery of the cargo to client's destinations. The company also provides a
comprehensive range of value added distribution services for exports and imports of shipments (Less
than Container Loads/LCL or Full Container Loads/ FCL) by air/ocean.

FACILITIES FOR ITS EMPLOYES


 Incentive on exceeding target production

 Provident fund

 Employees state insurance benefits

 Free transportation

 Clean and specious working space

 First Aid facilities

 Fire Extinguishers
LOGISTICS:
The Insoorya Express Cargo's expertise in this field will offer you not just the ease of
operations but also significant reduction in capital costs. Supply Chain Management (3PL/4PL) Supply
chain management (SCM) is the process of planning, implementing, and controlling the operations of
the supply chain as efficiently as possible

The logistics department in an organization is constantly weighed down by carriage


of inventory and freight cost, labour cost, consolidation blues, special tariffs, escalating of
transportation charges, custom clearance laws and procedures not to mention red tape, destination
country laws and tariffs. Now you can discover the unlimited benefit by handing over the logistics
activities to the house of Insoorya Express Cargo.

Fast Forward Freight's SCM refers to 3PL/4PL services.


 Improving your competitive edge.

 Reducing operational costs.

 Using FFPL's advanced IT platform.

 Gaining access to FFF's in-house specializations.

 Full control of FFF's information flow.

Today we are operating integrated shipping related services ranging from


 Custom Broking,

 International Freight Forwarding ,

 Transportation Services,

 Warehousing Services,

 International Trade Consultants,

 Liaison Services,
Transportation Services
Taking into consideration the demand of the customers we offer all types of
transportation services of shipments by
 Railways

 Roadways

 Seaways

 Airways.

An excellent network of global associates promises safe and timely delivery of the

cargo to client's destinations.

The company also provides a comprehensive range of value added distribution services for
exports and imports of shipments by airways/seaways.
o LCL (Less than Container Loads)

o FCL (Full Container Loads)

We are a dominating offering Door to Door delivery services.


Insoorya Express Cargo mostly used transport
 Seaways Frieght

 Airways Frieght
Sea Freight
Insoorya Express Cargo have expertise in providing expert international sea freight
forwarding services to companies big and small worldwide....

Air Freight
Insoorya Express Cargo creates effective and flexible supply chain solutions for
customers by coordinating air freight globally.
Prompt and timely delivery at the least cost is our unique strength.

We offer time definite air freight services with no size on weight restrictions all around the
global network of hubs.

Services on Insoorya Express Cargo:


 Licensed Customs Brokerage

 International Freight Forwarding

 World - wide Container Services (FCL and LCL)

 Bonded Warehousing

 3PL services Worldwide.

 Exim Trade Consultants

 Transport Services

 Transport Insurance

 Project Logistics

 Storage, Cargo Handling, Packing, Distribution Quality of Services

(a) Looking into the interest and requirement, timely service is offered to our valued.
(b) Quality service is the first priority of our company.
(c) To acquire customer's satisfaction, consignments are packed and dispatched with due
protection to the mentioned destination.
(d) We maintain trade secret exactly as our customers maintain for themselves.
(e) We also keep in mind that the containers in which goods are moved are of international
quality standards.

Insoorya Express Cargo have consistently gained popularity for providing hassle
free services. Over the last 5 years, our dedication and commitment have made us one of
the best organizations as customs brokerage agents in this industry. The international standard
services of the company have also been widely accepted by the client's world wide.

Quality services in insoorya express caego:

Quality Services
Insoorya Express Cargo is committed to maintain its position as a
leading organization to provide efficient and effective Logistic Solution to its customers.

Our focus is always on Your Satisfaction On dot time response


Professionalism Facilities and flexibility Quality Objectives Improvement in the efficiency of services
provided to customers Customer satisfaction Strengthen Human Resources Development Continuous
improvement of systems, processes and resources Grow into Apex level logistic company
3.1 Vision and
Mission: Vision :-
To acquire the status of being the highly recognized professionals in the
Global Freight-Forwarding industry.
Mission:
Insoorya Express Cargo wishes to be a prompt multi model
transporter and service provider at domestic and global level providing cost-effective, efficient and
quality services.

We as an international freight forwarding and custom clearing


company wish to establish new and mutual trade relation all over the world ocean and multimodal cargo
movement combined with warehousing and domestic distribution facilities makes it possible for a
customer to arrange.

50
3.2 Overview of the company

Managing Director: Mr. S . MURUGAN

Year of Establishment: 2005

Primary Business Type: Service

Providers Estimated Annual Sales (USD): 1.00 – 3.00

Million Number of Employees: 70-100

Focus Markets: World Wide

Markets Senior Manager Mr. M.ARUMUGAM

Company old name Intel Express Cargo

OTHER BRANCHES:

Other branches in place s

 Coimbatore,

 Tirupur,

 Tuticorin,

 Krishnapatnam,

 Bangalore
Chapter .4
4.1 REVIEW OF LITERATURE

4.1.1 ARTICLES

1,2,** 1
4.1.1.1 Simone Caschili and Francesca Romana Medda (2011): A REVIEW OF THE
MARITIME CONTAINER SHIPPING INDUSTRY AS A COMPLEX ADAPTIVE SYSTEM -:

If we consider the worldwide maritime shipping industry as a system, we observe that


a large number of independent rational agents such as port authorities, shipping service
providers, shipping companies, and commodity producers play a role in achieving predominant
positions and in increasing market share. The maritime shipping industry can, from this perspective,
be defined as a Complex System composed of relatively independent parts that constantly search,
learn and adapt to their environment, while their mutual interactions shape obscure but recognizable
patterns. In this work we examine the maritime shipping industry through the Complex Adaptive
System (CAS). Although CAS has been applied widely to the study of biological and social
systems, its application in maritime shipping is scant. Therefore, our objective in the present
paper is to provide a literature review that examines the international maritime industry through the
lens of CAS. We also present some of the goals that may be achieved by applying the CAS
approach to the container shipping industry in particular. The construction of a tenable ontological
framework will give scholars a comprehensive view of the maritime industry and allow them to
test the stability and efficiency of the framework to endogenous and exogenous shocks.

4.1.1.2 Nandakumar,CG (2012)”DEVELOPMENT OF BEST PRACTICES


FOR SHIP RECYCLING PROCESSES” -: ship recycling has
been considered as the best means to dispose off an obsolete ship
.the current state of art of technology combined with the demand sustainable development from the
global maritime industrial sectors has modified the status of erstwhile ‘ship breaking ‘involving ship
scrap business to a modern industry undertaking dismantling of ships and recycling reusing the
dismantled products in a supply chain of pre owned products market by following the
principles of recycling industries will have to formulate a set of best practices and blend them with
the engineering activities for producing better quality products, improving the productivity and
for achieving improved
performances related to sustainable development improved performance by industries in a sustainable
development perspective is accomplished only by implementing the 4E principles ,ie… ecofriendliness ,
engineering efficiency , energy by conservation and ergonomics in their core operation .the present
study has done a comprehensive investigation into various ship recycling operations for formulating
a set of best practices .being the ultimate life cycle stage of a ship ,ship recycling /reusing of
various parts of vessel ,thorough knowledge regarding these background procedures in ship
recycling in essential for examining and understanding the industrial business operations associated
with it .as a first step the practices followed in merchant shipping operation regarding the decision
on decommissioning have been and made available in the thesis .brief description about the
positioning methods and important preparation for the most feasible ship recycling methods ie
… beach method has been provided as a part of the outline of the background information .available
sources of guideline ,codes and rules and regulations for ship recycling have been compiled and
included in the discussion ,very brief summary of practices in major ship recycling destination has
been prepared and listed for providing an overview of the global ship recycling activities

1 2* 3 4
4.1.1.3 YUI-YIP LAU ; ADOLF K.Y. NG ; XIAOWEN FU ; KEVIN X. LI (2013): THE EVOLUTION
AND RESEARCH TRENDS OF CONTAINER SHIPPING -:

The shipping industry was transformed by the expansion of international trade


and technological innovation, notably containerization, since the 1960s. Accordingly, this was
followed by a significant increase in research addressing different aspects of container shipping.
Despite such availability, important questions have remained unanswered: what are the major
contributions that the research community has made to the container shipping industry, global and
regional economies? Have their contributions been skewed towards particular themes, directions
and geographical areas? What can the shipping research community learn from the evolution
and trends of container shipping research, so that they can continue to contribute to the
well-being of the global and regional economies? To address these queries, the paper
undertakes a critical review and analysis on the evolution and trends of research in container
shipping in the past four decades, based on a collection of 282 papers investigating
different topics in container shipping featuring in major scholarly journals between 1967 and
2012. The study enables the shipping research community to
enhance self-understandings, and identifies major gaps for further research.

4.1.1.4 Daniel M. Bernhofen, Zouheir El-Sahli and Richard Kneller(2013):- Estimating the effects of
the container revolution on world trade -: We quantify the effects of the container revolution on
a large panel of product level trade flows during 1962-1990. We exploit time and cross-sectional
variation in countries’ first adoption of container facilities to construct a time-varying bilateral container
technology variable and estimate its effects on trade in the panel. On North-North trade, the
cumulative average treatment effects of containerization over a 20 year time period amount
to about 700%, can be interpreted as causal and are larger than the standard policy liberalization
variables. In a nutshell, we provide the first econometric evidence for containerization to be a
driver of 20th century economic globalization.

4.1.1.5 M.K.Michael Ng, Y.H.Venus Lun,Kee-hung Lai and T.C.ECheng (2013) :-Research on
shipping studies -: Shipping research has proliferated significantly in recent years. Researchers have
devoted considerable effort to advance the knowledge frontier of shipping studies as well as the
theoretical foundation. Scholarly journal publications are important to facilitate knowledge
sharing among researchers. This paper attempts to analyse the development, trends, and
classifications of shipping studies. Another objective is to assess the impact of academic shipping
research from a longitudinal perspective. We have collected shipping research data from
Thomson Reuters’ Web of Knowledge database between 1987 and 2011. We analysed a total
of 405 articles published in 17 reputable shipping-related journals and categorised them into ten
key topic areas. The results show a significant growth in volume in shipping research in recent years.
Based on the findings, we discuss their implications and provide suggestions for future research on
shipping.

a b c a,n
4.1.1.6 Choong Bae Lee , Junbin Wan , Wenming Shi , Kevin Li (2014) : A cross-country study
of competitiveness of the shipping industry -: For the last 50 years, international trade has
been increased in both volume and speed, which has in turn brought about ever-increasing competition
among major maritime nations and required a correspond-ing shipping policy. This study is to
identify and weight the factors influencing a country’s shipping competitiveness and shipping policy.
According to the results of questionnaires and Delphi method, 24 factors have been chosen from a
practical perspective while weights of factors are determined by the application of analytic
hierarchy process (AHP) from a
theoretical perspective. Then, on the basis of factors and their weights, a shipping competitiveness
index (SCI) is constructed to quantitatively measure and rank the main maritime countries. In addition,
the results of cluster analysis, based on each country’s present and potential competitiveness, provide
some implications and policy suggestion for each group of nations with similar background
and development conditions.

4.1.1.6 Dr. Gyanesh Kumar Sinha (2016) : Study of Indian Logistics Industry in
Changing Global Scenario -: Logistics management is increasingly becoming a topic of interest
among academia and practitioners, since it may lead to reduced operational costs, improved
delivery performance and increased customer satisfaction levels. The global logistics industry is
estimated to be worth USD 300 billion. Though most of the large service providers are headquartered
in Europe, the biggest market is the US, which captures about one-third of the world market. The global
logistics industry is characterized by high costs of operations, low margins, shortage of talent,
infrastructural bottlenecks, demand from clients for investing in technology and providing one-stop
solutions to all their needs, and consolidation through acquisitions, mergers and alliances. The logistics
industry in India is evolving rapidly and it is the interplay of infrastructure, technology and new types
of service providers that will define whether the industry is able to help its customers reduce their
logistics costs and provide effective services (which are also growing). Changing government policies
on taxation and regulation of service providers are going to play an important role in this
process. Coordination across various government agencies requires approval from multiple
ministries and is a road block for multi modal transport in India. At the firm level, the logistics
focus is moving towards reducing cycle times in order to add value to their customers.
Consequently, better tools and strategies are being sought by firms in order to enhance their decision
making. In this paper, we provide a perspective on these issues, outline some of the key
challenges with the help of secondary information, and describe some interesting initiatives that some
are required to compete through excellence in managing their logistics
4.1.1.7 M. Grazia Speranza (2016):- Trends in transportation and logistics -: Problems in
transportation and logistics had to be tackled long before computers and Operational Research (OR)
became available to support decision making. After the rst optimization models were developed, OR
has substantially contributed in making transportation systems e cient and companies with complex
transportation and logis-tics problems competitive. Over the years, technology has evolved and the
same has done OR. In this paper, the history of problems and OR contributions in transportation and
logistics will be shortly reviewed together with the evolution of technology. Then, the future trends in
this area will be discussed together with potential OR contributions.

1 1
4.1.1.8 Markus Fruth and Frank Teuteberg (2017) : Digitization in maritime logistics—What is there
and what is missing -: The global seaports are of pivotal importance for the world economy. Since
1990, global container traffic has grown by an average of 10% annually. Equally, the steady growth of
ship sizes poses major logistical and technical problems worldwide. Given these facts, shipping
and maritime logistics would largely benefit from Big Data as well as the emerging digital technologies.
Apart from the many positive effects of digitization in maritime logistics with respect to efficiency,
safety and energy saving, there are, however, also risks (e.g. data abuse, cybercrime). Based on a
systematic literature review, this article provides an overview of the current state of
digitization in maritime logistics, discusses existing problem areas, and shows potential for
improvement. The results show that it is essential to capture the development potential in order to
be able to benefit from the advantages.

However, research is still in its initial stages, and there is a lack of theoretical and
empirical work as well as explanatory approaches to appropriate recommendations for action
and restructuring. Subjects: Environment & Economics; IT Security; Hacking &; Viruses; Management
of IT; Computer Engineering; Information &; Communication Technology (ICT);
4.1.2 News paper and Magazines
4.1.2.1 Cargo Shipping Market: Expert research on current scenario, market analysis, product
analysis & regional analysis from 2018 to 2025

Extensive analysis of the “Cargo Shipping Market” is conducted by following key


product positioning and monitoring the top competitors within the market framework. The report
will assist reader with better understanding and decision making.

This report studies the Global Cargo Shipping Market size, industry status and forecast,
competition landscape and growth opportunity. This research report categorizes the global
Cargo Shipping market by companies, region, type and end-use industry.

4.1.2.2 Cargo Shipping Market 2018 Trend, Segmentation And Opportunities Forecast To 2025

This report “Cargo Shipping Market” investigates new project feasibility with a purpose
of enlightening new entrants about the possibilities in this market. This report will help the viewer in
Better Decision Making.
This report studies the Global Cargo Shipping Market size, industry status and forecast,
competition landscape and growth opportunity. This research report categorizes the global
Cargo Shipping market by companies, region, type and end-use industry.

4.1.2.3 UN shipping body mulls curbs on industry influence, citing climate concerns

The UN shipping body will consider measures to curb industry dominance, seen as a threat to its
climate goals.

The International Maritime Organization’s (IMO) governing council agreed on Tuesday to


set up a working group, in response to concerns raised by campaigners and backed by 12 countries.

A diverse coalition submitted a proposal ahead of the meeting, including major


flag registries Liberia and Bahamas; oil and gas exporters Iran and the UAE; and developed
countries Australia, Canada and Spain.
4.2 Research gap:

Research gap is a research question or problem which has not been answered
appropriately or at all in a given field of the study. Research gap is actually what makes your research
publishable, because it shows you have a deep understanding of the status of the body of knowledge in
your chosen field: and finally it shows that you have conducted a research if fulfils that gap in the
literature.

For starters, considering the gap finding issue, three classes of researchers can be
distinguished
:
The first class is mainly the class of researchers who act according to their personal
enthusiasm. These researchers have complete proficiency in their chosen field which is the result of
years of experience or a rich body of knowledge acquired after covering all the important papers in
their field of study.

The second class is encouraged by peripheral factors. For instance, a researcher may
choose a particular college and a certain professor. That professor might have a specific project in
hand and he may suggest this project to you. The, you would investigate and if the project is close to
your expectations for a masters or PhD degree, you will select it.

It is really the same story with the third group. Again a peripheral factor, this time not
the professor, forces the researcher to select a topic. For instance, the environment the researcher
has grown up in, and the needs of that environment, i.e. society, will force him to focus mostly.

These papers conducted the study on various exporters, but there are no such any
research on the export companies. So I conducted study on insoorya express cargo ltd which is a
functioning in 24/7
4.3 PROPOSED RESEARCH MODEL:

 A Study on the shipping industry process

 A Study on customer clearances of shipping services

 A Study on imports and exports in the shipping services

 A study on the custom house agent process on the company

60
CHAPTER - 5
5.1. RESEARCH HYPOTHESIS

A Hypothesis is a proposed explanation for an observable phenomenon. The


term derives from the Grerk-hypothesis meaning “to put under” or “to suppose.” For a hypothesis to
be put forward as a scientific hypothesis, the scientific generally base scientific method requires
that one cannot satisfactorily be explained with the available scientific theories. Even though
the words “hypothesis” and “theory” are often synonymously in common and informal usage,
a scientific hypothesis is not same as a scientific theory. A working hypothesis is a
provisionally accepted hypothesis.

Hypothesis number: 1

Ho - There is no relationship between container vessel operation and experience.

Hypothesis number 2.

Ho- There is no relationship between TRT container vessel efficiency


operational terminal and experience.

Hypothesis number 3.

Ho-There is no relationship between effectiveness of yard management and


experience
.
5.2 RESEARCH METHODOLOGY

Research is a process or set of activities that are performed to achieve a


targeted Outcome. That is process involves a number of activities, which are carried out either
Sequentially or simultaneously. Therefore, methodology refers to various step and stages
Involved in research activity. Each of these step or stages, in turn, may contain a serious
of activities
When all these activities are completed in a satisfactory manner, a thesis is
produced however it is difficult to design an ideal research process it would depend on various
factors like research and ability, topics research, time available, the budget allocated.
Research is a scientific and systematic search for prominent information. The main aim of the
research is to find the truth which is hidden and which has not been discovered yet.
Research methodology is a way to systematically solve the research problem. The quality of the
project depends upon the methodology adopted for the study.Research methodology is turn depends on
the nature of the project work. The main strength ofthe project comes from the process that is
collecting, synthesizing and analyzing information.
5.3 RESEARCH DESIGN

A clear statement of the research problem. Procedures and techniques to be


used for gathering information

o The population which has to be studied

o The methods to be used in processing and analyzing data

These designs are determined for some specific purpose. It is focused on the accurate
description of the provided by the respondents in the questionnaire has been analyzed to find out
the study of infrastructural facilities that the shipping industry process
5.4 RESEARCH TYPE

DESCRIPTIVE RESEARCH

The method used here is based on the primary data that is from the questionnaire,
which is collected from the employees of the organization from the various departments. The research
is primarily descriptive in nature. The source of information is both primary and secondary data. A
well- structured questionnaire was prepared to collect the employee perception about infrastructural
facilities that the shipping industry process

QUESTIONNAIRE DESIGN

The questionnaire is the heart of the survey operation. This is a structured questionnaire, which
has been framed for conducting the survey. The questions are presented in the same order to all
the respondents.
The questionnaire framed for the research study is structure questions are
predetermined before conducting the survey. The form of questionnaire is two types are;

 General questions

 Multiple – Choice Questions

PERIOD OF THE STUDY


The study was done for (2 months) 02.05.2018 to 28.06.2018 for a period of 8 weeks in the
INSOORYA EXPRESS CARGO
During the period of the study, the following steps were undertaken.
 Objectives were set

 The questionnaire was framed and finalized

 The questionnaire was given to the employees and information were collected and

Seconded

 The report was analyzed and interpreted


5.5 SAMPLE SIZE

A sampling plan is a detailed outline of which measurements will be taken at what


times, on which material, in what manner, and by whom. Sampling plans should be designed in such
away that the resulting data will contain a representative sample of the parameters of interest and
allow for all questions, as stated in the goals, to be answered.

Sample size: This refers to a number of items to select from the universe to contribute a
sample. The size of the sample should be neither excessively large nor too small. An optimum
sample is not that fulfills the requirements of efficiency representatives, reliability and
flexibility. The size of the sample for the study is 115 samples out of 162 population.

Sampling Technique: Convenience sampling method is used in this study for data collection.

Convenience sampling: convenience sampling is a non-probability sampling technique where


subjects are selected because of their convenient accessibility and proximity to the researcher.
5.5 DATA COLLECTION METHOD
The data collected is of great significance for drawing correct and valid conclusion
from the investigation. The following are the main step in data collection process

 To decide on the type of information required in the investigation


 Establishing the facts that are available at present and additional facts required.
 Identifying the source from where the information can be collected
 Selecting the appropriate method of collection of data
 Data collection can be either primary or secondary

5.5.1 PRIMARY DATA


As nature can be required in many ways like observation, experiment, or surveys, the
method adopted here for a collection of primary data is direct personal interview method, were the
interviewer directly interviews the respondents with a well-structured questionnaire.

METHOD OF PRIMARY DATA COLLECTION

The methods of primary data collection are;

 Survey.

 Observation.

Among these methods, survey method is the best applicable method for the study.
SURVEY METHOD

The method is the systematic gathering of data from the respondents. Survey
is the most commonly used method for collection of data. The main aspect for using this method is
that,

 Its extreme flexibility.

 Its reliability.

 Understandability.

SURVEY TECHNIQUE

Survey technique is the technique used for conducting the survey. This
techniques used to conduct the survey are

 Personal interview.

 Telephone interview.

 Indirect interview.

Personal interview is the technique used for conducting the survey in the study.

5.5.2 SECONDARY DATA

It refers to the data that already been collected and analyzed by someone else.
For the purpose of the study, secondary data has been collected from the book and websites.
5.7 TOOLS FOR ANALYSIS

Mathematical concepts, formulas, models, techniques used in statistical analysis


of random data. In comparison, deterministic methods are used where the data is easily reproducible or
where its behavior is determined entirely by its initial stage and inputs.
The statistical Tools and test used for this study are

 percentage analysis
 Chi square
test PERCENTAGE
ANALYSIS
Percentage analysis used to describe the relationship c e needs of
that environment, i.e. society, will force him to focus mostly comparison of absolute figure that is
difficult to compute interprets. Percentages are used to make a comparison between two or more
series of data.

Number of Respondents

Simple percentage method = --------------------------------------- X 100

Total number of samples

Chi square test :-

A chi-squared test, also written as χ2 test, is any statistical hypothesis test


where the sampling distribution of the test statistic is a chi-squared distribution when the null
hypothesis is true. Without other qualification, 'chi-squared test' often is used as short for Pearson's chi-
squared test. The chi-squared test is used to determine whether there is a significant difference
between the expected frequencies and the observed frequencies in one or more categories.

In the standard applications of the test, the observations are classified into
mutually exclusive classes, and there is some theory, or say null hypothesis, which gives the probability

70
that any observation falls into the corresponding class. The purpose of the test is to evaluate how likely
the observations that are made would be, assuming the null hypothesis is true.

Chi-squared tests are often constructed from a sum of squared errors,


or through the sample variance. Test statistics that follow a chi-squared distribution arise
from an assumption of independent normally distributed data, which is valid in many cases due to
the central limit theorem. A chi-squared test can be used to attempt rejection of the null
hypothesis that the data are independent.

Also considered a chi-squared test is a test in which this is asymptotically true,


meaning that the sampling distribution (if the null hypothesis is true) can be made to approximate a
chi- squared distribution as closely as desired by making the sample size large enough.
5.8 LIMITATION OF THE STUDY
 To collect the delivery order through linear and consolidated agents is a very difficult one.

 Clearing the bills in customs is very hard to understand.

 In custom if, any document or file is missing or any mistake may arise the bills can’t not be

cleared.
Chapter 6
6.1 DATA ANALYSIS AND INTERPRETATION

Table 6.1 Gender of the

respondent

S.No Gender No.Of.Respondent Percentage

73.0434782
1 Male 84
6

2 Female 31 26.95652174

Total 115 100

Interpretation

From the above the table shows that 115 respondents nearly by 73 % of the respondents are male,
27% of the respondent are female

Figure 6.1 Chart shows gender respondent


Table 6.2 Designation of the respondent

S.No Designation No.Of.Respondend Percentage

1 Export Officer 35 30.43478261

2 Import Officer 32 27.82608696

3 Custom Officer 35 30.43478261

4 Accountant 13 11.30434783

Total 115 100

Interpretation

From the above table shows that ,30 % of the respondent are export officer ,28% of the respondent
are import officer , 30% of the respondent are custom officer 12% of the respondent are accountants

Figures 6.2 Designation of the respondent

Table 6.3 following system followed in your company


S,No Category No.Of .Respondent Percentage

1 Customhouse Agent 79 68.69565217

2 Freight Forward 0 0

3 Liner 0 0

4 All The Above 36 31.30434783

Total 115 100

Interpretation

From the above table shows that ,68.6956% of the respondent are export officer ,

0% of the respondent are freight forward , 0% of the respondent are liner,

31.3043% of the respondent are all the above

Figure 6.3 following system followed in your company


Table 6.4 Role of your company

S.No Category No.Of Respondent Percentage

1 Import 19 16.52173913

2 Export 27 23.47826087

3 Both 69 60

4 None 0 0

Total 115 100

Interpretation

From the above table shows that ,16.5217 % of the respondent are import ,

23.4782% of the respondent are export, 60% of the respondent areboth,0% of the respondent are none

Figure 6.4 Role of your company


Table 6.5 transportation are mostly used imports and export

S.no Category No.of.respondent Percentage

1 Airway 42 36.52173913

2 shipway 40 34.7826087

3 road 0 0

4 both 33 28.69565217

total 115 100

Interpretation
From the above table shows that ,36.5217% of the respondent are airways ,

34.7826% of the respondent are shipways , 0% of the respondent are road,

28.6956% of the respondent are both

Figure 6.5 transportation are mostly used imports and export


Table 6.6 contacts your customer

S.No Category No.Of .Respondent Percentage

1 phone/cell phone 29 25.2173913

2 e,mails 81 70.43478261

4.34782608
3 letter/corrier 5
7

4 direct contact 0 0

Total 115 100


Interpretation

From the above table shows that ,25.2173% of the respondent are phone /cell phone ,

70.4347% of the respondent are e,mail’s , 4,3478% of the respondent are letter

/corrier , 0% of the respondent are direct contact

Figure 6.6 Contacts Your Customer


Table 6.7 shipping CHA imported documents in importance

S.No Category No.Of.Respondent Percentage

1 invoice 37 32.17391304

2 packing list 0 0

3 bill of lading 10 8.695652174

4 both 68 59.13043478

total 115 100


Interpretation

From the above table shows that ,32.1739 % of the respondent are invoice ,

0% of the respondent are packing list ,8.6956% of the respondent are bill of lading ,

59.1304% of the respondent are both

Figure 6.7 Shipping CHA Imported Documents In Importance

80
Table 6.8 Mostly Important While Delivery Goods In The Shipping Custom

S.No Category No.Of .Respondent Percentage

1 Delivery Order 34 29.56521739

2 Bill Of Lading 0 0

3 Cfs 0 0

4 Both 81 70.43478261

Total 115 100


Interpretation

From the above table shows that ,29.5652% of the respondent are delivery order ,

0% of the respondent are bill of lading , 0% of the respondent are CFS,31.3043% of the respondent are both

Figure 6.8 Mostly Important While Delivery Goods In The Shipping Custom
Table 6.9 Easy To Deliver Goods Under Transport In Your Company

S.No Category No.Of.Respondend Percentage

1 Airways 43 37.39130435

2 Seaways 24 20.86956522

3 Roadways 4 3.47826087

4 Both 44 38.26086957

Total 115 100


Interpretation

From the above table shows that ,37.3913% of the respondent are airways ,

20.8695% of the respondent are seaways , 3.4782% of the respondent are roadways,

38.2608% of the respondent are both

Figure 6.9 easy to deliver goods under transport in your company


Table 6.10 Pay The Tax In The Import The Goods For The Customer

S.No Category No.Of.Respondend Percentage

64.3478260
1 Payment 74
9

2 Non-Payment 9 7.826086957

3 Either A Or B 32 27.82608696

4 None 0 0

Total 115 100


Interpretation

From the above table shows that ,64.3478% of the respondent are payment ,

7.8260% of the respondent are non-payment, 27.8260% of the respondent are either a or b,

0% of the respondent are none

Figure 6.10 Pay The Tax In The Import The Goods For The Customer
Table 6.11 Choose Custom Goods Loads Mostly Used For Under This Method In Our Company

S.No Category No.Of.Respondend Percentage

1 FCL 71 61.73913043

2 LCL 4 3.47826087

3 Either A Or B 40 34.7826087

4 Both 0 0

Total 115 100


Interpretation

From the above table shows that ,61.7391% of the respondent are FCL ,

3.4782% of the respondent are LCL, 34.7826% of the respondent are either a or b,

0% of the respondent are both

Figure 6.11 Choose Custom Goods Loads Mostly Used For Under This Method In Our Company
Table 6.12 Accept The Liner Company Cash Payments

S.No Category No.Of.Respondend Percentage

1 DD 15 13.04347826

2 Cash 58 50.43478261

3 Cheque 13 11.30434783

4 All The Above 29 25.2173913

Total 115 100


Interpretation

From the above table shows that ,13.0434% of the respondent are DD ,

50.4347% of the respondent are cash ,11.3043% of the respondent are cheque,

25.2173% of the respondent are all the above

Figure 6.12 Accept The Liner Company Cash Payments


Table 6.13 Store Customer Goods In Liner Company

S.No Category No.Of.Respondend Percentage

1 Container 59 51.30434783

2 Warehouse 40 34.7826087

3 Own Place 16 13.91304348

4 None 0 0

Total 115 100


Interpretation

From the above table shows that ,51.3043% of the respondent are containers ,

34.7826% of the respondent are warehouse ,13.9130% of the respondent are own place ,

0% of the respondent are none

Figure 6.13 Store Customer Goods In Liner Company


Table 6.14 Develop The Shipping Industry Process

S.No Category No.Of.Respondend Percentage

1 Stongly Agree 35 30.43478261

2 Agree 67 58.26086957

4.34782608
3 Neutral 5
7

4 Disagree 8 6.956521739

Total 115 100


Interpretation

From the above table shows that ,31.4347% of the respondent are strongly agreed ,

58.2608% of the respondent are agree,4.3478% of the respondent are neutral ,

6.9565% of the respondent are disagree

Figure 6.14 Develop The Shipping Industry Process


Table 6.15 Following Types Of Cargo Can Be Efficiently Transported Coastal Vessels

S.No Category No.Of.Respondend Percentage

1 Automobiles 80 69.56521739

2 Bulk Cargo 23 20

3 LCL 0 0

4 All The Above 12 10.43478261

Total 115 100


Interpretation

From the above table shows that ,69.5652% of the respondent are automobiles ,

20% of the respondent are bulk cargo ,0 % of the respondent are LCL ,
10.4347% of the respondent are all the above

Figure 6.15 Types Of Cargo Can Be Efficiently Transported Coastal Vessels


Table 6.16 Incentives In The Form Of Excise Duty Concession /Waiver Or Cash-Back Shall Encourage
Model- Shifts From Road To Sea Or Road To Air

S.No Category No.Of.Respondend Percentage

1 Stongly Agree 31 26.95652174

2 Agree 79 68.69565217

4.34782608
3 Neutral 5
7

4 Disagree 0 0

Total 115 100


Interpretation

From the above table shows that ,26.9565% of the respondent are strongly agreed ,

68.6956% of the respondent are agree,4.3478% of the respondent are neutral ,


0% of the respondent are disagree

Figure 6.16 Incentives In The Form Of Excise Duty Concession /Waiver Or Cash-Back Shall Encourage
Model- Shifts From Road To Sea Or Road To Air

90
Table 6.17 Maintenance Of Communication Network Within The Organization

S.No Category No.Of.Respondend Percentage

1 Very 57 49.56521739
Satisfied
2 Satisfied 53 46.08695652

4.34782608
3 Neutral 5
7

4 Dissatisfied 0 0

Total 115 100


Interpretation

From the above table shows that ,49.5652% of the respondent are strongly agreed ,

46.0869% of the respondent are agree,4.3478% of the respondent are neutral ,


0% of the respondent are dissatisfied

Figure 6.17 Maintenance Of Communication Network Within The Organization


Chi squared test :

Case Processing Summary

Cases

Valid Missing Total

N Percent N Percent N Percent

Would you choose custom goods


loads
115 99.1% 1 .9% 116 100.0%
mostly used for under this method in
our company * qualification
Will you accept the liner company cash
115 99.1% 1 .9% 116 100.0%
payments * qualification

Would you choose custom goods loads mostly used for under this method in our company * qualification Crosstabulation

Count

Qualification

export officer import officer custom officer Accountand


Total
Would you choose custom goods loads mostly full container loads (FCL) 23 24 19 5 71

used for under this method in our company least container loads(LCL) 0 0 4 0 4

either a or b 12 8 12 8 40

Total 35 32 35 13 115
Will you accept the liner company cash payments * qualification Crosstabulation

Count

Qualification

export officer import officer custom officer accountand


Total
Will you accept the liner company cash DD(demand draft) 5 5 5 0 15

payments cash 9 23 26 0 58

cheque 9 0 0 4 13

all the above 12 4 4 9 29

Total 35 32 35 13 115
Chapter 7
Findings :

1. Most of the respondents are work in the company 73% of the male and below of the
respondents are work in the company 27% of the female

2. Most of the respondents work in the company 30% of the export officer and custom officer
and majority of the respondents work in the company 28% of the import officer and below of
the respondents work in the company 12% of the accountant

3.Most of the respondents responds in 68.69% custom house agents and majority of the
respondents respond in 31.30% all the above

4. Most of the respondents responds in 60% both and majority of the respondents respond in
23.47% exports and below of the respondents respond in 16.52% imports

5.Most of the respondents responds in 36.52%airways and majority of the respondents respond in
34.78% shipways and below of the respondents respond in 28.69% both

6. Most of the respondents responds in 70% email’s and majority of the respondents
respond in 25.21%phone /cell phones and below of the respondents respond in 4.79% letter /courier

7. Most of the respondents responds in 59.13% both and majority of the respondents
respond in 32.17%invoice and below of the respondents respond in 8.69% bill of lading

8. Most of the respondents responds in31.30% both and majority of the respondents respond
in 29.60% delivery order and

9. Most of the respondents responds in38.26% both and majority of the respondents
respond in 37.39% airways and below of the respondents respond in 20.86%seaways
10 .Most of the respondents responds in 64.34 % payment and majority of the respondents
respond in 27.82% either a or band below of the respondents respond in 7.82% non-payment

11 .Most of the respondents responds in 61.73% FCL and majority of the respondents
respond in 34.78% either a or b and below of the respondents respond in 3.47% LCL

12.Most of the respondents responds in 50.43% cash and majority of the respondents respond in
25.21% all the above and below of the respondents respond in13.04% DD

13 .Most of the respondents responds in 51.30% containers and majority of the respondents
respond in 34.78%ware house and below of the respondents respond in 13.91% own place

14. Most of the respondents responds in 58.26 % agree and majority of the respondents respond in
31.43 % strongly agree and below of the respondents in 4.34 % neutral

15. Most of the respondents responds in 69.56% automobiles and majority of the respondents
respond in 20% bulk order and below of the respondents in 10.43% all the above

16. Most of the respondents responds in 68.69% agree and majority of the respondents
respond in 26.95% strongly agree and below of the respondents in 4.34% neutral

17. Most of the respondents responds in49.56% strongly agree and majority of the
respondents respond in 46.08% agree and below of the respondents in4.34% neutral
Suggestion:

 The cargo handling procedure should be standardized and employees should be


trained accordingly to avoid delay

 Provision of E-filling of shipping bill: it would be desirable if airport


complex implements e-filling of the shipping bill. this leads to reduce paper work
and the time involved in transaction can be reduced

 The cargo handling procedure should be standardized and employees should be

trained accordingly to avoid delay

 Update of technology with respect to cargo handling should be strictly practiced

 All rotten cargo must be maintaining cold warehouse.

 Must use bubble cover packaging for electronic devices.

 To developing company infrastructure.


Conclusion :

 Shipping is a challenging obstacle for any ecommerce business .the many


variables involved in shipping a product from point A to point B means every
businesses shipping strategy will be unique to their product ,customer ,business
and location

 Every business will have their own unique challenges they will need to
work through and overcome to develop the best and most efficient strategy
for them like many aspects of building your new business though ,it will
take time and tweaking to determine what works best.

 Understanding all the variables and evolving your shipping strategy with
your growing business vital to its long term health and success so once your
think you have it figured out don’t let it go state , reevaluate every six
months to make sure you’re delivering the absolute best possible services and
experience for the best possible price to your customers

 Throughout this guide we have provided lots of resources to help you ship your
products. we have rounded up these resources in this chapter for easy reference
as you build your shipping strategy
Bibliography:

https://www.researchgate.net/publication/262570922

https://www.researchgate.net/publication/271668597

https://www.researchgate.net/publication/302296551

https://www.researchgate.net/publication/316643943

https://www.researchgate.net/publication/306118502
Appendix :

 FCL Container Load

 LCL Least container load

 CFS Fright station

 CO Customer of origin

 DO Delivery Order

 3PL Third party logistics

 4PL Fourth Party Logistics

 SCM Supply Chain Management

 BOL Bill Of Lading

 PL Packing List

 GDP Gross Domestic Products

 DWT Dead –Weight Ton

 CFS Container Freight Station

 CHA Customs House Agent

10
0
Questionnaire:

THE SHIPPING INDUSTRY PROCESS ON INSOORYA EXPRESS CARGO

QUESTIONAIRE

Name :

Designation &

Qualification :

Gender: (a) male (b)

female Age :

1 . Which of the following system followed in your company ?

(a) custom house agent (b) freight forward (c) liner (d) all the

above 2 . Role of your company ?

(a) import (b) export (c) Both (d)None

3 .Which types of transportation are mostly used imports and export ?

(a) airways (b) shipway (c) Road (d)

Both 4 . How will you contacts your customer?

(a) phone / cell phone (b) E .mail (c)letter/courier (d) Direct contacts

5.would you prefer shipping custom house agent imported documents in importance ?

(a) invoice (b) packing list (c) bill of lading (d)Both

6 . Which document is mostly important while delivery goods in the shipping custom?

(a) delivery order (b) bill of lading (c) CFS (d) Both
7.Which way is easy to deliver goods under transport in your company

(a) airways (b) seaways (c) roadways (d)Both

8 . In our country to pay the tax in the Import the goods for the

customer?

(a) payment (b) non –payment (c) either A or B (d) None

9 . Would you choose custom goods loads mostly used for under this method in our company

(a) Full container loads (FCL) (b) Least container loads(LCL) (c)Either a or b (d) both

10. Will you accept the liner company cash payments ?

(a) DD (demand draft) (b) cash (c) cheque (d) All of above

11. How to store customer goods in liner company ?

(a) containers (b). warehouse (c) own place (d)None

12. Government of India has taken various initiatives to develop the shipping industry process

(a) Strongly Agree (b)Agree (c) Neutral (d) Disagree

13. Which of the following types of cargo can be efficiently transported coastal vessels ?

(a) Automobiles (b) bulk cargo (c) LCL (d)All of above

14. Incentives in the form of excise duty concession /waiver or cash-back shall encourage
model- shifts from road to sea or road to air?

(a) Strongly Agree (b)Agree (c) Neutral (d) Disagree

15. Are you satisfied with the maintenance of communication network within the organization?

(a) Very Satisfied (b)Satisfied (b)Neutral (c)Dissatisfied


LIST OF TABLE

S.NO TABLE PAGE .NO

6.1 Gender of the respondent

6.2 Designation of the respondent

6.3 following system followed in your company

6.4 Role of your company

6.5 transportation are mostly used imports and export

6.6 contacts your customer

6.7 shipping CHA imported documents in importance

6.8 mostly important while delivery goods in the shipping


custom

6.9 easy to deliver goods under transport in


your company

6.10 pay the tax in the Import the goods for the
customer
6.11 choose custom goods loads mostly used for under
this method in our company

6.12 accept the liner company cash payments

6.13 store customer goods in liner company

6.14 develop the shipping industry process

6.15 following types of cargo can be efficiently


transported coastal vessels

6.16 Incentives in the form of excise duty concession


/waiver or cash-back shall encourage model- shifts
from road to sea or road to air

6.17 maintenance of communication network within the


organization

10
4
LIST OF FIGURES

S.NO TABLE PAGE .NO

6.1 Gender of the respondent

6.2 Designation of the respondent

6.3 following system followed in your company

6.4 Role of your company

6.5 transportation are mostly used imports and export

6.6 contacts your customer

6.7 shipping CHA imported documents in importance

6.8 mostly important while delivery goods in the shipping


custom

6.9 easy to deliver goods under transport in


your company

6.10 pay the tax in the Import the goods for the
customer
6.11 choose custom goods loads mostly used for under
this method in our company

6.12 accept the liner company cash payments

6.13 store customer goods in liner company


6.14 develop the shipping industry process

6.15 following types of cargo can be efficiently


transported coastal vessels

6.16 Incentives in the form of excise duty concession


/waiver or cash-back shall encourage model- shifts
from road to sea or road to air

6.17 maintenance of communication network within the


organization
107

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