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INTRO CH 6
LINERS
Question | Answer |
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WHATS THE DIFFERENCE BETWEEN LINERS AND TRAMPS | LINERS ARE ON A SCHEDULED SERVICE WHICH ARE USUALLY ADVERTISED. SAILINGS ARE ON FIXED DAYS OF THE WEEK. TRAMPS ARE ON NO SCHEDULE AND MOVE FROM C/P TO C/P |
WHAT TYPES OF CARGO DO LINERS CARRY? A.) BREAK BULK B.) RAW MATERIALS C.) GENERAL CARGO | A + C, TRAMPS TAKE B |
WHY DONT LINES USE CHARTER PARTIES TO NEGOTIATE THE CONTRACT OF CARRIAGE. WHAT DO THEY USE INSTEAD. | THERE ARE MANY SHIPPERS AND RECEIVERS. SHIPPERS USE THE LINES STANDARD TERMS ON THE BILL OF LADING. THE TERMS ARE ALMOST NEVER NEGOTIATED. |
DOES THE FREIGHT PAID INCLUDE TERMINAL HANDLING CHARGES AND LOADING/UNLOADING OF THE CARGO. | NO ONLY LOADING AND UNLOADING IS INCLUDED. |
HOW IS TIME COUNTING AND DEMURRAGE CALCULATED | THERE ARE NO DEMURRAGE OR TIME COUNTING, UNLESS THE SHIPPER IS LATE WITH THE CONTAINER DELIVERY. |
HOW DID STEAM PROPULSION HELP THE SHIPPING INDUSTRY. | STEAM PROPULSION ENGINES ALLOWED FOR MORE ACCURATE VOYAGE TIME ESTIMATES. THEY WERE NOT AT THE MERCY OF THE WEATHER. |
WHO BENEFITTED FROM STEAM PROPULSION. WHAT DID THE LINES INITIALLY CARRY | ORIGINALLY THEY CARRIED PASSENGERS , MAIL AND CARGO TO THE COLONIES OF EUROPEAN COUNTRIES,LOOKING TO FORGE DEEPER LINKS WITH THEIR EMPIRES. |
HOW DID THE LINES CHANGE OVER TIME | THE LINES SPLIT THE BUSINESS INTO PASSENGER AND MAIL ONLY TO ENSURE THAT PASSENGERS WERE TREATED TO THE HIGHEST LUXURY AND COMFORT. SEPARATE LINES WERE DEVELOPED FOR CARGOES. |
WHAT REALLY IMPACTED THE PASSENGER LINES | THE ADVENT OF AIR TRAVEL IN THE MID 20TH CENTURY. ONLY FERRIES AND CRUISE LINERS NOW REALLY RUN ON A LINER BASIS. |
LINERS IMPROVED SPEED AND EFFICIENCY OF SERVICE. WHAT HAMPERED ANY FURTHER ECONOMIES OF SCALE. | THE CARGO LOADED WAS ALL SHAPES AND SIZES WHICH MEANT THAT ALL THIS BREAK BULK CARGO HAD TO BE SKILLFULLY STOWED BY STEVEDORES. THE BIGGER THE VESSEL THE LONGER THE SHIP WAS IN PORT |
HOW DID LINERS TRY TO OVERCOME THE DEFICIENCIES IN LOADING AND HOW DID THEY TRY TO ENCOURAGE SHIPPERS | UNITISING THE CARGO BY PLACING IT ON SKIDS OR PALLETS. THEY OFFERED SHIPPERS DISCOUNTS IF THE CARGO WAS ALREADY PALLETIISED BEFORE HAND. |
WHEN DID THE CONTAINER REVOLUTION REALLY HAPPEN | AMERICA IN 1956 FIRST EXPERIMENT. 1960'S LATER HALF WERE CONTAINERS INTRODUCED. |
CONTAINER PRODUCTIVITY SHOT UP TO? | 30 MT PER MAN HOUR. |
WHAT WERE THE FIRST INTERNATIONAL STANDARDS FOR CONTAINERS | ORIGINALLY 8FT WIDE BY 8FT TALL AND THEY CAME IN 10,20,30,40 FEET LENGTHS. |
WHAT HAS THE STANDARD 20 TEU CHANGED TO | STANDARD SIZES 8FT WIDE BY 8FT 6 HIGH BY 20 FT LONG. |
EXPLAIN WHAT THE LATEST TRENDS ARE IN EUROPE AND USA FOR CONTAINER SIZES | EUROPE ARE DESIGNING VESSELS TO ACCOMMODATE 45 FT PALLET WIDE BOX. USA MOST LAND TRANSPORT IS DONE ON 48 AND 53 FT LENGHTS. |
GIVE EXAMPLES OF CONTAINER STANDARDISATION AND WHICH ARE THE MOST IMPORTANT | 1. AIR AND WATER TIGHT 2. SECURITY DOORS 3. ** CORNER CASTINGS. - ALLOWS MULTI MODAL TRANSPORT AND QUICK LASHING |
HOW ARE CONTAINERS LASHED TO A VESSEL | USE OF LASHING RODS AND LATELY FULLY AUTOMATIC TWIST LOCKS THAT SIT BETWEEN CONTAINERS - SEE LLOYDS GUIDE FOR DETAILS |
NAME FIVE DIFFERENT TYPES OF CONTAINER AND EXPLAIN THEIR USE. | 1 REEFER - HAS OWN REFRIGERATION UNIT 2 VENTILATED - IN TOP AND BOTTOM SIDE RAILS ALSO KNOWN AS COFFEE CONTAINERS 3 TANK CONTAINERS - TANK HELD IN STEEL SKELETON FRAME. 4 FLAT RACK - FOLDS FOR EASY STORAGE 5 CURTAIN WALL - FOR EASY SIDE ACCESS |
WHAT ARE THE MAIN BENEFITS FROM CONTAINERISATION | REDUCTION OF CARGO HANDLING COSTS. REDUCTION IN SHIP TURNAROUND TIME. INCREASES SHIP PRODUCTIVITY MASSIVE ECONOMIES OF SCALE USING LARGER VESSELS MULTI MODALISM I.E. DOOR TO DOOR DELIVERY. REDUCTION IN CARGO HANDLING AND THEFT |
WHAT ARE THE DRAWBACKS OF CONTAINERISATION | 1. MASSIVE INVESTMENT IN PORT INFRASTRUCTURE 2. STOWAWAYS AND DRUGS AN ISSUE - USA HAS OFFICALS IN FOREIGN PORTS TO FIGHT THIS. 3. REQUIRE A LOT OF LAND FOR CONTAINER STORAGE. 4. PORTS NEED OT BE DEEPER TO ACCOMMODATE LARGER VESSELS |
WHAT WAS THE FIRST CONSORTIUM OF LINES AND WHERE. | OPERATING BETWEEN EUROPE AND AUSTRALIA IT WAS THE OVERSEAS CONTAINER LINE. EUROPE AND ASIA LINES FOLLOWED. |
WHAT ARE THE SIZES OF CONTAINER VESSELS NOW | AROUND 12,000 TEU WITH TEN 18,000 TEU ORDERED FOR THE MAERSK LINE. |
WHAT DO FCL AND LCL MEAN | FULL CONTAINER LOAD AND LESS THAN CONTAINER LOAD. |
HOW DID FREIGHT FORWARDERS MAKE MONEY ON LCL | OFFERED SHIPPERS BETTER LCL RATES THAN THE LINES AND CONSOLIDATED THE CARGO INTO FCL LOADS. THE AGGREGATE LCL INCOME ORE THAN OFFSET THE COST OF AN FCL SLOT. |
EXPLAIN WHAT SIGNIFICANCE THE "COMMON" MEANS IN NVOCC | COMMON CARRIER IS A LEGAL TERM IN THE USA AND NVOCC NEED A LICENCE TO OPERATE. |
WHAT DOES AN NVOCC DO | SPECIALISES IN HOUSE TO HOUSE SERVICES ON A GLOBAL SCALE. MANY PURCHASE MORE FCL SLOTS THAN THE SHIPPPING LINE. |
WHAT EVENT TRIGGERED THE 1ST LINER CONFERENCE AND WHAT WERE THE REPERCUSSIONS. | THE SUEZ CANAL OPENED IN 1869 WHICH DRASTICALLY REDUCED THE DISTANCE FROM EUROPE TO INDIA. THIS MEANT AN OVER SUPPLY OF VESSELS CHASING THE SAME CARGO VOLUMES. |
WHAT IS THE PRINCIPLE OBJECTIVES OF A LINER CONFERENCE | 1. REDUCE OUTSIDE COMPETITION AS ITS A SEMI MONOPOLY. 2. REDUCES THE COMPETITION WITHIN THE CONFERENCE BY HAVING SET TARIFF WHICH IS THE CHIEF OBJECTIVE |
WHAT ARE THE BENEFITS TO THE SHIPPER OF A CONFERENCE. | 1.GUARANTEED A CERTAIN STANDARD OF SERVICE 2.FREIGHT/PASSANGER RATES ARE PUBLISHED 3.NO VESSEL AVAILABILITY ISSUES 4.REBATES FOR LOYALTY |
NAME SOME DISADVANTAGES TO THE SHIPPER OF LINER CONFERENCES. | 1.THE CONFERENCE HAS COMPLETE CONTROL OF RATES AND AVAILABILITY OF VESSELS 2.SEVERE PENALTIES CAN BE IMPOSED IF THE SHIPPER USES VESSELS OUTSIDE THE CONFERENCE. |
WHY DID THE UN INTRODUCE A CODE OF CONDUCT IN 1982 ON LINER CONFERENCES. | THIS WAS NOT TO OUTLAW BUT PROTECT DEVELOPING NATIONS SHIPPING INDUSTRY BY ENSURING THAT THEY WOULD BE GUARANTEED A % OF CARGO. ON A GIVEN ROUTE. |
HOW DO LINER CONFERENCES FARE TODAY. | DUE TO THE EXPANSION OF FAR EAST AND SOUTH EAST ASIAN MARKETS, MANY NEW SHIP OWNERS IN THAT AREA ARE BEING USED INSTEAD OF LINER CONFERENCES. |
WHAT ARE LINER CONSORTIUMS | THESE ARE WHERE SHIPPING LINES USE JOINT SERVICES ON A PARTICULAR ROUTE TO MEET THE DEMAND FOR FIXED SCHEDULES. LINES WILL HAVE SLOTS IN EACH OTHERS VESSELS FOR THEIR OWN CARGOES. |
EXPLAIN WHAT AN ALLIANCE IS? | LINERS GLOBALLY COMING TOGETHER TO OFFER SERVICES ACROSS DIFFERENT ROUTES SEAMLESSLY. NEW ALLIANCE G6 INCLUDES 6 SHIPPING LINES COVERING FAR EAST-EUROPE AND FAR EAST -MED. OFFERS DAILY SAILING FROM PORTS. |
WHAT ARE THE BENEFITS OF ALLIANCES | 1.OPERATIONAL SYNERGIES - BETTER ALLOCATION OF VESSELS 2.MARKET CONTROL - ABILITY TO EXERT INFLUENCE ON MARKET SHARE 3.ECONOMIES OF SCALE - LARGER VESSELS |
WHAT ARE THE THREE FUNCTIONS OF THE BILL OF LADING | 1.RECEIPT OF CARGO 2.EVIDENCE OF A CONTRACT 3.DOCUMENT OF TITLE |
WHY IS THE BOL CALLED A "COMBINED TRANSPORT BILL OF LADING". WHAT IS ITS INTENDED USE? | ITS CALLED "COMBINED" BECAUSE IT NEEDED TO DIFFERENTIATE ITSELF FROM BREAK BULK CARGO. THE DOCUMENT CAN COVER THE CARGO FROM SHIPPERS ADDRESS RIGHT THROUGH TO CONSIGNEES PREMISES VIA RAIL, FEEDER VESSELS ETC |
WHAT WOULD YOU EXPECT TO SEE ON THE FACE OF A COMBINED TRANSPORT B/L | 1. SHIPPER (CONSIGNOR) 2. RECEIVER (CONSIGNEE) 3. NOTIFY PARTY 4. PLACE OF RECEIPT 5. PLACE OF LOADING 6. PLACE OF DISCHARGE 7. FINAL DESTINATION |
WHAT NARRATIVE IS CLEARLY MARKED ON THE FACE OF THE B/L IN RELATION TO ITS CONDITION AND WHY | "RECEIVED FROM THE SHIPPER TO THE CARRIER IN APPARENT GOOD ORDER AND CONDITION" IF THE SHIPPER STUFFS THE CONTAINERS AS FCL THE CARRIER WONT SEE THE GOODS |
WHEN IS A COMBINED TRANSPORT B/L NORMALLY ISSUED | AT THE POINT THE CARRIER RECEIVED THE GOODS, WHICH ISN'T ALWAYS AT THE PORT. |
WHEN THE B/L IS ENDORSED "SHIPPED ON BOARD", WHAT HAS IT BECOME. | THIS THEN BECOMES THE RECEIPT FOR THE GOODS ON THE NOMINATED VESSEL |
TRUE OR FALSE: THE B/L IS THE ACTUAL CONTRACT | FALSE IT IS ONLY EVIDENCE OF CONTRACT. THE CONTRACT IS WHEN THE ORDER IS PLACED AT THE TIME OF BOOKING. THE BILL IS JUST EVIDENCE OF SUCH A CONTRACT EXISTS |
THE B/L AS A RECEIPT OF CARGO COVERS WHAT | THE QUANTITY AND CONDITION OF THE CARGO |
WHY IS THE RECEIPT OF CARGO IMPORTANT | THE RECEIVER IS ENTITLED TO RECEIVED THE GOODS AS DESCRIBED ON THE B/L |
WITH FCL CONTAINER WHAT IS THE NARRATIVE USED ON THE FACE OF THE B/L TO DESCRIBE THE GOODS | SAID TO CONTAIN. AS THE CONTAINER IS PACKED BY THE SHIPPER THEY CANNOT VERIFY THE QTY AND CONDITION. |
IF THE CONTAINER IS LCL HOW IS THIS DESCRIBED | USUALLY STUFFED BY THE CARRIER OR NVOCC AND DESCRIBED THE ACTUAL NUMBER AND TYPE OF CARGO. |
THE B/L IS NORMALLY ONLY EVIDENCE OF CONTRACT, WHAT CAN THE LINES USE IN RARE CIRCUMSTANCES AS A CONTRACT | BOOKING NOTE - USED IF CARGO IS BASED ON A FIXED PRICE FOR A CIVIL ENGINEERING PROJECT ETC. |
WHAT IS THE DEFINITION OF TITLE WHEN REFERRING TO LINER DOCUMENTATION. | THE RIGHT TO OWNERSHIP OF PROPERTY WITH OR WITHOUT POSSESSION. |
HOW IS OWNERSHIP OF CARGO DETERMINED IN THE LINER TRADE | WHOEVER LEGALLY HOLDS THE BILL OF LADING HAS RIGHT TO THE GOODS. |
WHAT TYPE OF DOCUMENT IS A B/L. | ITS A NEGOTIABLE DOCUMENT AND TITLE CAN TRANSFER TO WHOEVER HAS THE DOCUMENT. |
WHATS ANOTHER NAME FOR DOCUMENTARY CREDIT | LETTER OF CREDIT |
WHATS THE PURPOSE FOR USING A LETTER OF CREDIT | IT SAFEGUARDS THE SHIPPER AGAINST NON PAYMENT. |
HOW ARE SEAWAY BILLS DIFFERENT TO B/L | THEY ARE USED WHEN THE BUYER IS NOT GOING TO SELL THE GOODS ON. THEREFORE THEY ARE NOT DOCUMENTS OF TITLE OR NEGOTIABLE. |
WHATS THE BIGGEST ISSUE FACING THE INDUSTRY THAT IS TRYING TO MOVE TO E-DOCUMENTS | BANKS ARE CONCERNED ABOUT THE RISK OF B/L. AS THESE DOCUMENTS ARE NEGOTIABLE. |
GIVE AN EXAMPLE OF AN ALLIANCE | THE G6 SIX CARRIERS FAR EAST-EUROPE AND MED. APRIL 2012. |
WHAT ARE THE MAJOR DIFFERENCES BETWEEN A CHARTER PARTY B/L AND LINER | 1. CHARTER PARTY B/L HAS ALL THE TERMS OF THE CONTRACT ON THE CHARTER PARTY ITSELF. THEREFORE THE CONSIGNEE WONT BE ABLE TO SEE THESE ON PRESENTATION OF THE B/L. ALL TERMS ARE ON THE LINER B/L |