Unit III

 Transportation Functionality and Principles

 Multimodal Transport
 Modal Characteristics
 Modal Comparisons
 Legal Classifications
 International Air Transport
 Air Cargo Tariff Structure
 Ocean Mode of Transportation
 Pipelines as a Mode of transportation
Transportation Functionality
• Multimodal transport (also known as combined transport) is
the transportation of goods under a single contract
• performed with at least two different modes of transport
• the carrier is liable (in a legal sense) for the entire carriage
• even though it is performed by several different modes of transport
(by rail, sea and road, for example).
International air transport
• The movement of passengers and cargo by airplanes and helicopter
• Useful for long distance and time savings
Find??

• Key players??
• Main business?
• Future flight you wanted to be??
Air cargo
• A freight rate is referred as the pricing of certain cargo that is
delivered from one given point to another or from the arrival point
towards its destination.
Factors that Influence Freight Rate
• Cost of Merchandise
• Fuel Charge
• Weight of Merchandise
• Size of Cargo
• Delivery Time
• Mode of Shipment
• When it comes to air freight, weight and volume are key factors.
• Air carriers will charge by either volumetric weight (also known as
dimensional weight) or actual weight, depending on which is more
expensive.
• The global rule of thumb is to calculate the volumetric weight is to
multiply the item’s volume in cubic meters by 167.
• For example, the volume of a package that has width 40cm, height 40cm
and length 40 cm is .064 (the product of all sides divided by one million).
On multiplying this by 167, you get a volumetric weight of 10.67 kg.
• If the volumetric weight exceeds the actual weight of the product, the
volumetric weight becomes the chargeable weight.
Activity
• Find out the rates in air cargo for different airlines
• Find out the different labelling and meaning for it
• Find out the carriers that have their own criteria for charges
Ocean transportation
• Ocean transportation is any movement of goods and/or passengers
using seagoing vessels on voyages that are undertaken wholly or
partly at sea
 features
• (i) Good adaptability to cargoes of different sizes, weight and shape.

• (ii) Low unit transportation cost.

• (iii) Large capacity trade volume

• (iv) The ships' transportation capacity is large.

• (v) The port equipment and facilities are generally provided by the government.

• (vi) More than 75% of the total volume of international trade is carried out through it.

• (vii) Cheapest means of transport between nations.

• (viii) It is used to move bulky goods from one country to another during international trade.
Types