It is always nice to get some feedback and inputs from the readers of the blog.. Here is one question that has come up :
Who is a multi-modal transport operator and how do they differ from a freight forwarder..??
Before we go to the question, lets discuss what is a Multi-Modal transport.. As the name may indicate, it is a method of transportation of goods from Point A to Point B using Multiple Modes of transportation, covered under one bill of lading.. This Point A and Point B are in different countries.. Multiple modes of transport include – road, rail, air and sea..
So who then is a Multi Modal Transport Operator..?? Based on the above definition, we can say that under the current scenario all of the below entities MAY be termed as a Multi Modal Transport Operator :
- Shipping Lines – because under Carrier Haulage, they undertake rail, road modes of transport – either via their own infrastructure or via 3rd party
- Freight Forwarder – because in a lot of cases specially where they issue House Bills, they are taking on the role of the carrier and as such may and in a lot of cases do offer rail, road and sea modes of transport – either via their own infrastructure or via 3rd party
- NVOCC Operators – because in most cases the NVOCC performs/undertakes the services of a Shipping Line/Freight Forwarder combined, alongwith the risks/responsibilities that comes with performing such services.. This could include but not restricted to offering rail, road and sea modes of transport – either via their own infrastructure or via 3rd party
- In short – any entity that signs a muli-modal contract, assumes the responsibility for the same, and issues a multi-modal transport document to the merchant..
As practically, there is a country, has no coast or land entrance, so it transferred their products via rails or other media, to any sea port in another country, this issue raise, to overcome such as case, and facilitate the smooth handling and improve the trade between the countries.
Multimodal transportation is the movement of one unit load from origin to destination by several methods or transportation under one document without breaking up the unit load. The development of container traffic has made this possible, as containers can travel from end to end without being opened/unloaded/reloaded during the course of the journey.