Ocean Transport - Global Supply Chain Management SCM 475...

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Global Supply Chain Management SCM 475 International Ocean Transportation
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Types of Service Size of Vessels Types of Vessels Flag Liability Conventions Non-Vessel-Operating Common Carriers Security
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n Why Maritime Trade? Review of Maritime Transport 2012 (UNCTAD)  - Seaborne trade reaches 8.7 billion tons in 2011 - World fleet grew by 37% in just 4 years to reach 1.5 billion DWT - China, Japan & South Korea built 93% of tonnage in 2011 - 572.8 million TEU throughput - Transportation consumes 50% of fossil fuels releasing 25% of CO2  emissions
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n Types of Service Liner Charter / Tramp A ship that operates on a regular schedule, traveling from a  group of ports to another group of ports. A ship that does not operate on a regular schedule and is available  to be chartered for any voyage, from any port to any port. Cargo can move by ocean under one of two types of services:
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n Liners vs. Charters - Liners - Fixed schedule - Conferences - Bill of Lading (evidencing contract of carriage) - Master of the vessel issues B/L - Break-bulk cargo - Carrier / shipper - Mandatory liability based on conventions - Freight forwarders / Customs house agents - Charter / Tramp - Supply and demand - No fixed schedule - Bulk cargo (tanker and dry cargo) - Ship-owner / charterer - Contract for transportation (chartering) / contract of affreightment - Charterer issues B/L - Baltic Exchange
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n Types of Charter - Voyage Charter - Net form (cargo is loaded, discharged, and trimmed at the charterer's expense) - Gross form (cargo loading, discharging and trimming is on the owner) - Lay days - Demurrage - Cesser clause - Time Charter - Control with charterers - Payment usually made in advance - Bareboat Charter - Control with charterers - Need to furnish crew, fuel, provisions, cargo, insurance - Demise Charter - Form of hire-purchase and similar to bareboat charter - Charter period is for years
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n Vessel Measurements Displacement tonnage Deadweight tonnage (dwt) The maximum weight that a ship can carry. It is expressed in long  tons (or metric tonnes) and includes bunker and stores. The total weight of the ship when fully loaded, measured by using  the weight of the water being displaced, expressed in long tons.
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