Multimodal Transport. Air, Road, Rail Freight. AWB (Air Waybill)

Course summary (Multimodal Transport):

International Air Transport. Multimodal and Intermodal Transportation. Documentation. Conventions. Freight. CMR, FCR, TIR, CIM, TIF.

International Air transport.

In recent years air freight has been developing rapidly and air carriers have been able to offer an ever widening range of services. Freight costs can be paid in advance, at destination or against reimbursement. The main advantage of air freight is speed, which makes it invaluable for the carriage of high-value goods and perishable goods such as fish, flowers, and other goods which have a short life span.

The Incoterm suitable for air transport are the following: EXW, FCA, CPT, CIP, DAF, DDP, DDU. The most often used Incoterm is FCA.

The AWB (Air Waybill) is issued by airlines in a set of 3 originals and minimum 6 copies. The air waybill can be issued by an airline agent as well.

Air Cargo is a US$50 billion business that transports 35% of the value of goods traded internationally and a critical part of the airline business which, as a whole, is the US$490 billion heart of a value chain that supports 32 million jobs and US$3.5 trillion of economic activity.

IATA is an International trade body, created over 60 years ago by a Group of airlines. Today, IATA represents some 230 airlines comprising 93% of scheduled international air traffic.

Example of the course Multimodal Transport:

International road transport

Road freight is the only mode of transport perfectly suited to provide door-to-door services, that is the goods can be collected at the exporter's premises and delivered directly to the importer by the same trailer. The following Incoterms are used for this mode of transport: EXW, FCA, CPT, CIP, DAF, DDP and DDU. The most commonly used Incoterms are FCA and DAF. Road freight is very convenient in terms of facilitating loading and unloading operations. Due to its flexibility, it is also an indispensable mode of transport for factories that work on Just-In-Time (JIT) basis.

CMR Convention. This convention regulates international road traffic within Europe. The document used under this convention is the CMR Consignment Note, which evidences the existence of the contract of carriage and that the goods have been received by the carrier.

TIR is a system involving the issue of a carnet to road hauliers which allows loaded vehicles to cross national frontiers with minimum customs formalities. The signatories of the convention are countries in Europe, the Middle East, North Africa and North America.

Germany, Spain, France, UK, Italy and Poland dominated the demand for road freight transport in Europe (tonnes loaded and unloaded) in 2007, accounting for 70% of the European total. Germany was the main partner in all types of transport.

International transport flows accounted for 5% of the total and Germany showed the biggest absolute growth in international road freight transport. The fast relative growth in Poland (17%) was outstripped by even stronger rises in some of the other new member states, notably Slovakia, Latvia and Hungary.

Rail Transport

Today rail transport is one of the safest modes of transport. It can carry various consignments from small packages to containers. In terms of cargo capacity rail transport can compete with marine transport. Due to its environmental benefits, rail freight is being considered an alternative to road freight in Europe. Rail freight is carried out under the document called the CIM Rail Consignment Note.

The Shinkansen High Speed Rail Network. Japan's main island Honshu is covered by a network of high speed train lines that connect Tokyo with most of the island's major cities and Fukuoka on the island of Kyushu.

Multimodal Transport

Carriage by multimodal transport is the continuous movement of goods by more than one means of transport (marine, land, etc.) under one and the same document and one contract of carriage. The definition of the United Nations Convention on International Multimodal Transport of Goods (1980) is as follows:

"International multimodal transport" means the carriage of goods by at least two different modes of transport on the basis of a multimodal transport contract from a place in one country at which the goods are taken in charge by the multimodal transport operator to a place designated for delivery situated in a different country. The operations of pick-up and delivery of goods carried out in the performance of a unimodal transport contract, as defined in such contract, shall not be considered as international multimodal transport."

The goods carried by multimodal transport are normally palletised or containerised. The advantages of using a container are:
- The time of loading and unloading is reduced up to 70 %;
- The manual operations of stevedores are reduced up to 70 %;
- The possibility of damages and thefts is reduced;
- Delivery periods and carriage charges are reduced;
- Paper work is simplified;
- A better tracking of the goods in transit is provided (electronic services).

Multimodal transport operator (MTO) means any person who concludes a multimodal transport contract and assumes responsibility for the performance thereof as a carrier.

Multimodal, transport, Air, Road, Rail, Freight, AWB, Air, Waybill, International, Air Transport, Intermodal, Transportation, Documentation, Conventions, CMR, FCR, TIR, CIM, TIF