21.07.2023

Rules of transportation by sea. What does the customer need to know?

Maritime cargo transportation is rightfully considered one of the most promising areas. Every year, the volume of trade is growing exponentially, competition in this area is increasing, and more and more booking companies are expanding the scope of cooperation by developing new modes of transport. Since sea freight is carried out within the framework of international trade, rules and standards for shipping are developed at the expense of international freight transport organizations. What is relevant for the customers of the service? How to track innovations?

Basic conditions of transport operations

“Freight” is a specialized term that refers to transportation by sea. In fact, this is the rental of a place on board a ship, which is necessary for the placement of the transported cargo. All terms of cooperation are negotiated. It is important to clarify: the type of cargo, its volume, mode of transportation, direction, place of loading and shipment, cost of services, the person making the payment.

In the legislation of the Russian Federation, this term is fixed in the Code of Maritime Navigation. “Freight” is the fixed fee paid by the charterer or recipient for the transportation of shipments of goods. The price includes:

  • The base fee. It depends on the distance and properties of the cargo, the delivery time and the type of vessel used.;
  • Allowances. This is a fee that is paid to cover expenses not included in the base cost, such as maintenance of transport terminals, preservation of cargo properties due to changed weather conditions, and difficulties with customs clearance of shipments.;
  • The price for additional services. It is stipulated in the contract, although it can be presented as an additional proposal in the process of providing freight. Most often, carriers offer customers the cleaning of containers after cargo transportation, the installation of special equipment for fixing goods or rigging work, transportation of oversized items that significantly exceed the standard size of the container, cold reloading, control of the atmosphere (temperature, humidity, ventilation).

Important rules of cargo transportation

The linear carrier is responsible for the movement of shipments, their integrity and safety. The basic terms are fixed in the rules of merchant shipping:

  • Loading or shipping of products carried out at the expense of the seller or the customer (FIO (Free in, Free out));
  • Rigging works are carried out at the expense of an automated line, unloading is carried out at the expense of the client’s finances (LIFO (Liner in, Free out));
  • Loading/unloading via an automated line at the expense of a transport terminal — LILO (Liner in, Liner out);
  • Loading and unloading operations paid for by the supplier, unloading is carried out at the expense of the line (FILO (Free in,Liner out));
  • LI-Door (Liner in,Door) – additional delivery “to the door” of the customer, loading at the port, for which payment is made by the provider of port services.

Cargo placement rules

When signing cargo transportation contracts, the placement of cargo on board is taken into account. The volume and weight of the container, special conditions of movement, temperature and humidity conditions of delivery are taken into account. The most popular locations:

  • “Along the side of the ship” (FAS). The cargo placed along the side is fully insured by the carrier. The latter is considered one that will fulfill its obligations if the goods are delivered to the port of shipment without damage.;
  • “Cost and Freight” (CFR). The seller of the cargo bears the transportation costs, pays the freight and customs clearance costs. In turn, the buyer risks product damage, spoilage, and unexpected costs.;
  • “Free on board” (FOB). The buyer bears the risks associated with the delivery of products when the sender delivers the containers with the goods on board the ship at the previously agreed port of shipment.;
  • “Cost, Insurance and Freight” (CIF). The seller is responsible for the costs of chartering, customs clearance and insurance of the delivered goods for the risk of accidental damage or death. The probability of damage to the container is borne by the buyer, but the cost must be 100% reimbursed.

Types of vessels involved in cargo transportation

Different types of vessels are used for intercontinental transportation:

  • Dry cargo ships are cargo vessels that are supplied for the transportation of individual goods, small–sized, heavy loads that do not require special storage conditions. The ships have a large carrying capacity;
  • Container ships are used to transport products in special containers. The sides have a separate fastening system for placing aluminum packaging;
  • Light trucks transport goods in specialized packages, have a huge tonnage, and are towed by an auxiliary vessel.;
  • For liquid cargoes (petroleum products, oil, wine, cement solution, chemicals and dangerous substances, liquefied gas), special containers are used, called tanks, respectively, and the sides that transport them are called tankers.;
  • Gas carriers provide transportation of gases in specially equipped spherical tanks on ships capable of maintaining the required pressure level.;
  • Bulk carriers are used for the transportation of bulk cargoes. Cement, coal, minerals, sand, and grain products are placed in huge holds with special covers.
  • Roller carriers are a type of ships that are used to move trailers, cars, and shipments of products on pallets or pallets.

Instead of conclusions

When choosing a transport company that will deliver goods on a turnkey basis, be guided by:

  • Her reputation;
  • The cost of services;
  • Working in different directions;
  • Availability of express delivery services;
  • A large list of services provided;
  • An online service for tracking the shipment stage;
  • The possibilities of an individual approach.

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