Much of our modern day information about the Maritime economy has been primarily based on the historical happenings in the global economy. As world become ever more globalized and interlinked, maritime shipping and port industries are experiencing challenges as well as enjoying greater business opportunities. Maritime shipping is mainly the primary means of transporting parts and the ﬁnished goods around the world, has recently attracted increasing attention from maritime economists. Because shipping is such an old industry, with a history of continuous change, sometimes gradual and occasionally catastrophe, Time and again we find that shipping and trade will slipway from the economy and then magical reappear in some new voyages No other industry has played such a central part in the economic voyages over thousands of years the airline industry, shipping’s closest counterpart, has barely 60 years of economic history The shipping industry plays a fundamental role in the economic development and trade of countries. In essence, economic development, trade and transport are mutually supportive. Approximately 53% of all the ﬁnished goods in America use maritime shipping to disperse international are dependent on the shipping industry (http://www.wto.org)
UNCTAD, (2010). Review of World Maritime Transport 2010. [Online] Available at: http://unctad.org/en/docs/rmt2010ch3_en.pdf (Assessed on: 5 December 2013)
As sea ice begins to melt, opportunity in sea transportation strikes as an interesting topic for the Canadian economy. Wintertime shipping has proven to be difficult in the Canadian arctic, due to heavier and thicker ice (Fergal & Prowse, 2007). Summertime has always been a preferable season for sea transportation partially due to the softened ice, and the amount of daylight produced, compared to wintertime darkness (Ferg...
This report provides an analysis and recommendation of current issues faced by Singapore-based Meli Marine, a leading container shipping company in the intra-Asian market, weather gain a presence in the Asia-North America trade routes through an acquisition of 16 vessels of Teeh-Sah Holdings. On the surface, this opportunity would expands Meli’s business and diversify it’s operations and provide a protect function against a downturn in intra-Asian market. But, this oppotunity will bring Meli lots of economic risks. It would return Meli to its former less flexible model with owning vessels also. I recommend that Meli giving up this opportunity and keeping going current excellent customer service then gradually into TransPacific
Although merchant ships spend most of their lifetime outside the territorial waters, the current international maritime legal regime is ironically revolved around nationality of the vessel. Every vessel engaged in international trade must register in a country and is subjected to the regulatory control of that country whose flag it flies as per the existing international maritime law. Resultantly, any country has the right to allow a vessel to fly its national flag and to therefore bestow its nationality upon that vessel. When a vessel owner registers a vessel with a nation, the owner agrees to abide by that nation’s law and regulations of that ‘flag state’ in return for protection and the right of its vessel to be of that sovereign state. A system commonly known as “Flags of Convenience” (FOC) has developed, in which commercial vessels register in countries with “open registries” and consequently the ships contain practically no link at all to the flag states in which they are registered.
“Factory ship from hell. (Shipping Briefs).” African Business Apr. 2002: 34. General OneFile. Web. 6 Nov. 2014.
An amazing assortment of goods are moved over the worlds ocean trade routes. Of necessity, the carriers charge for the service they render. These charges vary almost as widely as do the cargoes, for they mirror both the shipowner’s costs and the special conditions prevailing on the trade routes traversed by the ships. Ocean freight rates may be described as the prices charged for the services of water carriers. Each ship operator develops it’s own rates, usually without consultation with the shippers. The charges reflect the cost of providing the carriage, the value of this service to the owner of the goods, the ability of the merchandise to support the expense of transportation, and economic conditions in general. Freight rates truly reflect the working of the laws of supply and demand. In tramp shipping, particularly, it is possible to observe how these factors influence the rise or fall of freight rates from day to day and from cargo to cargo. Tramp ships transport, in shipload (or “full cargo”) lots, commodities which, like coal, grain, ore, and phosphate rock, can be moved in bulk. The fact that usually only one shipper and one commodity are involved simplifies the establishment of a freight rate for this particular movement. To the capital charges of ownership and the expense of administration and overhead must be added the cost of running the ship, handling the cargo, and paying port fees and harbor dues. Against this total is set the number of tons to be hauled, and the resultant figure is what the tramp must charge, per ton of cargo loaded, to break even on the contemplated voyage. If competitive conditions permit, a margin for profit will form part of the quoted rate. If however the prevailing economic climate is unfavorable, the owner has the privilege of retiring the ship to a quit backwater, there to wait until the financial skies are brighter. The tramp operator does not depend upon the longterm goodwill of the shippers, but is free to accept those offers which appear profitable at the moment. When adversity threatens, those charters are accepted which minimize anticipated losses. If there is a choice, the cost of temporary lay-up is contrasted with the loss which continued operation might produce, and the less expensive alternative is selected in a bow to the inevitable made with whatever grace that can be mustered.
Grouchier, C & Walton, L. 2013. The maritime world: The Atlantic, Pacific and Indian Ocean World. Vol 2. London & New York.
Despite the importance of globalization, the international intermodal transport systems have seen increased scrutiny to support new freight, volume, and distance regulations when freight moves. The technological improvements continue to permit larger quantities of freight to be moved more efficiently. The intermodal transport systems are crucial to further globalization. However, the transport systems themselves are not necessarily the grounds for greater international trade. Therefore, international trade necessitates dissemination groundwork that can secure the trade between numerous partners. The governing regulations within the international trade agreements substantiate trade measure accomplishments. These factors promote efficiencies or inefficiencies of the transportation groundwork. Furthermore, the transport systems infrastructure encourages or can impede the possibilities of international trade.
Going beyond South Africa is no feat. Taking a brand that customers are not familiar with in some markets, finding trusted expansion partners and getting the supply chain mix right are challenges that Ocean Basket will grapple with. Just on its supply chain, the business already imports and supplies 6 500 tonnes of seafood each year to its global restaurants.