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1. 30212MG128 MULTI-MODAL
TRANSPORT AND RISK MANAGEMENT

2. UNIT I: INTRODUCTION
Concept of Multimodal Transportation in India – Multi-modalism / Inter-modalism - Routes - Evolution - Basic
Intermodal System - Modal Interface - Factors outline of shipper favour Multi-modalism - Factors in Development -
Features - Multi-Modalism Strategy - Components. Type of cargoes - Container leasing methods - Infrastructure
requirements - Consolidation of cargoes, deconsolidation - ICDs, CFSs, CYs. Cargoes loss prevention and insurance -
Impact of Stowage Planning - European Agreement concerning the Carriage of Dangerous Goods by Road (ADR).
UNIT II: MODES OF TRANSPORTATION
Modes of Transport and Multi-modalism - Rail, Road, Inland Waterways, Short Sea Shipping, Air -
Characteristics, Physical Assets for Multimodal Transport Logistics - Description and Use - Containers for sea, rail,
road and air; Handling Equipment for all modes, Physical Assets for MT Logistics - Description and Use –
Terminals: Ports, Rail, Road, Inland Waterways, Airport, Risk Management in Transportation.
UNIT III: CARGO HANDLING
Cargo and Container handling - terminal design and layout, operational flows, warehousing operations, value
addition, last mile connectivity - Special Cargo andcontainer handling - Hazardous, Refrigerated, ODC, other Special
types of cargo and containers, Documentary Credit and MT - INCOTERMS 2022, Customs Procedures – Indian
Experience and comparison with international norms.

3. • UNIT IV: CONVENTIONS RELATING TO MULTIMODAL TRANSPORT
Cargo Liability Convention: International Conventions relating to Bill of Lading (The Hague and Hague/Visby
Rules (Appendix 8) - Hamburg Rule - Convention relating to Through Transport operation by Land, Rail, Air -
Conventions relation to Dangerous Cargo - Carriage of Perishable Goods - International Convention for safe
containers, 1972 (CSC).
• UNIT V: PORT AGENCY
Agency Duties & Authority - General Principles of the Law of Agency - Types of agents in Maritime Business and
the duties performed by them - Duties and Rights of Principals - Duties and Rights of Agents - Role of Tramp ship
Agents (Port Agency) - Services offered by Port Agency - Services offered by Owners protecting Agency -
Preparation of Statement of Facts - Disbursement Account -Role of Liner Agents - services offered by Liner
Agency - Marketing activities performed by Liner Agents

11. Concept of Multimodal transportation in India
• Multimodal transport is the movement of good from point A to point B using different modes of transport by a single transport operator
• In the 1960s, Indian Railways played a crucial role in promoting multimodal transport in India. In 1966, Indian Railways containerized goods to give
birth to intermodal freight transport in India.
• Indian Railways then started moving cargo in specialized DSO containers. Standardized ISO containers began to be used from the 1970s and it was in
1981 when the first ISO container was moved inland by Railways to the country’s first ICD at Bengaluru (then Bangalore).
• In 1988, CONCOR was established as an offshoot of Indian Railways and took over the existing network of seven ICDs in the country.
• Multimodal transport was a monopoly on CONCOR till the early 2000s when licenses were given to private companies to operate their own freight trains.

12. • The Multimodal transport act was passed by Indian Parliament in the year 1993; the main objective of the act
was to establish a liability regime for Multimodal Transport operators.
• The major manufacturing hubs are located in Punjab, Haryana, Uttar Pradesh and National Capital Region and
they contribute a major part of exports. The states of Gujarat, Maharashtra and Tamil Nadu sum up the
remaining part.
• India’s international trade (both exports and imports combined) is growing at a brisk pace of 10 to 12 per cent
• Indian Railways had opened the container transportation to private players in 2006 with the intention of
bringing in more cargo to rail from road.

13. Intermodalism
• Intermodalism comprises the different means of transportation, including air, road, sea, rail and pipelines. However,
as each of these transportation modes have a drawback, rendering the sole use of a mode for all transportation needs
modes should be used to enable effective transportation of goods and services from the point of departure to the
• Purpose of Intermodalism
• Shipping companies need to use intermodalism to their advantage by ensuring that a combination of the best means
freight as effectively and cost efficiently as possible. Transport and freight companies need to match the product they
transportation. The following needs to be considered:
• The size and weight of goods transported
• The distance between the point of departure and destination
• The infrastructure available at the point of departure and destination
• The flexibility offered by the different transport modules
• The perishable nature of the goods being transported
• Each mode of transport holds its own advantages and some will be more suited for the products you need delivered
short to medium deliveries while rail and sea transport are more suitable for bulk commodities with longer transit

15. SAGARMALA
• The Sagarmala Programme is an initiative by the government of India to
enhance the performance of the country's logistics sector. The programme
envisages unlocking the potential of waterways and the coastline to minimize
infrastructural investments required to meet these targets.It entails investing
Rs. 8.5 trillion (2018) to set up new mega ports, modernizing India's existing
ports, developing of 14 Coastal Economic Zones (CEZs) and Coastal
Economic Units, enhancing port connectivity via road, rail, multi-modal
logistics parks, pipelines & waterways and promoting coastal community
development, with the aim of boosting merchandise exports by US$110
billion and generating around 10,000,000 direct and indirect jobs.

16. • Objectives of Sagarmala Project
• Port Led Development − Undertake development of Coastal economic zones with
projects likeport based industrialization, coastal tourism, Logistics parks, warehousing,
fisheries etc. SOURCE: Ministry of Shipping
• Port Infrastructure Enhancement − Action points on transforming existing ports into world
class ports by developing deep drafts, mechanization of existing berths, creation of new
capacity & greenfield ports
• Efficient Evacuation − Expansion of rail / road network / inland waterways connected to
ports & identification of congested routes − Find optimized transport solution for bulk and
container cargo

23. TYPES OF CARGO

34. • What is Deconsolidation?
• Deconsolidation is essentially the opposite of consolidation. It is the
logistics technique of breaking down an inbound shipment into multiple
shipments so that they can be distributed to a retailer through the
outbound vehicle. This allows manufacturers to send goods to multiple
locations more efficiently and in a more cost-effective manner.

36. • An inland container depot (ICD) or a dry port is a container storage facility situated mainly on the
hinterlands, away from any major ports. Many shipping companies store their containers in ICDs before and
after transporting them through ports. ICDs are very well connected with ports through rail and road.
• Why is an inland container depot important?
• Inland container depots can help freight forwarders and shipping lines to reach out more customers in the
hinterland. For example, ICDs play a huge role in the USA for landlocked state shippers by providing them
with facilities to arrange their shipments away from the ports. Additionally, organising cargo in-house and
sending them to ports saves money for both freight forwarders and their clients.

37. • A CFS is a space, usually a large warehouse, that specialises in the consolidation and de-
consolidation of LCL cargo. Consolidation is the process of combining multiple LCL shipments
to form a full container load (FCL) while de-consolidation is its reverse. This does not mean a
CFS deals only with LCL cargo. It handles CFS-stuffed FCL cargo too (FCL being the mode of
shipping one large consignment that takes up an entire container and belongs to a single
shipper).
• A CFS is also a place where goods for import and export are stored temporarily. It is an
extension of a port or terminal and was conceived with the objective of clearing congestion at
India’s ports and terminals. While CFS might have started off as an Indian concept, it is now
part of the international shipping vocabulary.
• CFS is located close to a port, terminal or inland container depot (more on this later). It might
sometimes be found near a major railway hub as well. Container freight stations are owned by
shipping lines and terminals or are privately owned. A CFS is involved in the import-export
business at the points of origin and destination. Container freight stations are, thus,
categorised as “origin CFS” and “destination CFS”.

38. • Functions and Responsibilities of CFS
• Receives and consolidates LCL shipments for export
• De-consolidates container at destination and dispatches shipment for final delivery
• Prepares container load plan
• Stuffs and de-stuffs containers (for both LCL and FCL cargo)
• Marks and seals containers for identification
• Serves as temporary storage space for cargo, empty and laden containers
• Moves empty containers from container yards (CY) and laden containers to port/terminal
• Stacks, sorts, tracks and tallies containers before and after shipping
• Maintenance and repair of containers
• Transit operations by road/rail to and from port/terminal
• Organises customs clearance procedures such as classification, examination and
assessment of goods
• Keeps goods safe till they are shipped or picked up
• Deals with break bulk (loose, non-containerised) cargo originating or terminating in the
immediate hinterland of the port or terminal and with rail-borne traffic to and from inland
locations

43. •CY is short for ‘Container Yard’, which is where containers are
stored on the terminal or dry port before they are loaded or
offloaded from a ship. Containers are either stored for loading
to be transported elsewhere, or offloaded as they arrive into
the port or terminal

45. • What is cargo insurance?
Cargo insurance is a form of insurance that protects goods transported from loss, damage, or
theft covering various transportation modes, including air, sea, rail, and road. Shippers and
freight forwarders can face significant financial losses without this insurance.
• Importance of cargo insurance
Cargo insurance in international trade protects importers and exporters against the risk of loss or
damage during transit. It ensures that businesses can continue to operate smoothly in the event
of any unforeseen circumstances that may arise during transportation.Without cargo insurance,
businesses risk losing their goods in transit due to theft, natural disasters, or accidents.

46. • What are the benefits of cargo insurance?
Some of the common benefits of cargo insurance are:
• Protects businesses from financial losses
Cargo insurance protects your business from financial losses resulting due to damage or
loss of goods.Without this, your business may be liable to bear the full cost of lost or
damaged goods, resulting in significant financial losses.
• Compliance with international regulations
For businesses that export goods, cargo insurance is often required as an international
regulation. Many countries need businesses to provide proof of insurance before they
import goods into the country.
• Protection for different types of cargo
Different types of cargo require different types of insurance coverage. Cargo insurance can
be customized to cover specific types of goods, such as hazardous materials or perishable
goods.This ensures that your business has the appropriate coverage for the type of cargo
being shipped.

50. Typical
process
Tonnage Planning
•Allocation of vessel type
to trade
•Based on long term
forecast
•Only cargo volume
available in forecast
Voyage Planning
•Assignment of vessel to
route
•Based on short term
forecast
•Required cargo area and
deck type now available
in forecast
•Voyage number created
•Booking allocations
created
Stowage Planning
•Booking list with some
cargo properties now
available
•Voyage schedule
available
•Booking allocation
management is ongoing
Stowage Registration
•Load list with additional
cargo id property now
available
1 year until 6 month
before loading
6 month until 6 weeks
before loading
6 weeks until 1 day
before loading
Day of loading
Focus area
2016-07-01 5
0

51. Main issues
Issue Consequences Solutions
1. Complete booking
list is available too
close to stowage
plan deadline from
stevedores
Poor stowage plan quality with risk for:
• Too many stevedores are ordered and causes
unnecessary stevedore cost
• Too few stevedores are ordered and causes extended
port stay and high stevedore overtime cost
• Too short time for elaboration over planning options
when planning complex cargo mix may cause reduced
space utilization
• Plan readability is dubious and subject to errors in the
execution (loading). This may cause unnecessary shifting
cost and even damage to cargo and vessel
Stowage Planning
System
2. Incorrect and/or
missing
information in
cargo deck
drawings
Vessel Editor
3. Assessment of
vessel stability and
floating condition
is cumbersome and
takes long time
• Inadequate stability calculation before any operation such
as loading, discharging, ballasting or bunkering is posing
risk for excessive list followed by cargo shifting and
ultimately capsizing
• Sailing with poor floating condition (draft and trim) will
increase bunker consumption
Autoload
Stowage Planning Stowage Registration

52. Main issues
Issue Consequences Solutions
1. Stowage plans made
by planmakers in port
is often not entirely
correct
• Preliminary stowage plans for following ports becomes
inaccurate. This will often force plan deviation decisions
to be taken “on the fly” with costly impact.
• Incorrect stability calculation that put ship safety in
jeopardy
ScanPlan
2. Stowage plans are
often too general
• Not possible to locate specific cargo from land based
office. Onboard manual time-consuming search with
risk for cargo damage is required.
• Not possible to locate where Alternative Fueled Vehicles
are stowed. Additional information is required.
3. It is difficult to
validate services
performed in
stevedore invoice
• Risk for being overcharged
Stowage Planning Stowage Registration
2016-07-01

53. Stowage Planning System
Fully customizable
toolbar
Bookings with EDI from
database, file import or
manual entry
Key info from selected
lineitem(s) in Booking
List
Detailed deck plan
showing location of all
types of cargo in correct
scale
Schedule with EDI from
database, file import or
manual entry
Key deck property data
Key cargo data for
selected object
Typical users: Stowage Planners, Planmakers in
port, Chief Officer
2016-07-01

54. Autolo
ad
Cargo weights
with coordinates
from SPS
Tank contents
from sensors or
manual input
6
Section with
essential data to
assess ship safety
Sections showing
ship floating
condition
Typical users: Chief Officer and/or Stowage
Planners

55. Vessel
Editor Menu line include
functions like:
Save to Database,
Info sheet report,
plus all functions
required for
creation of a
vessel model
Expandable tree
view for easy drill
down to property
window
Property window
for data entry
Deck plan window
include all
functions required
to draw deck plan
and data entry for
efficient stowage
Typical users: Autoship and/or SPS superusers

56. European Agreement concerning the International Carriage of
Dangerous Goods by Road
• The European Agreement concerning the International Carriage of
Dangerous Goods by Road (ADR) was done at Geneva on 30 September
1957 under the auspices of the United Nations Economic Commission for
Europe, and it entered into force on 29 January 1968. The Agreement itself
was amended by the Protocol amending article 14 (3) done at New York on
21 August 1975, which entered into force on 19 April 1985.

57. • Annex A: General provisions and provisions
concerning dangerous articles and substances
• Part 1
• General provisions
• Part 2
• Classification
• Part 3
• Dangerous goods list, special provisions and
exemptions related to limited and excepted
quantities
• Part 4
• Packing and tank provisions
• Part 5
• Consignment procedures
Part 6
Requirements for the construction and
testing of packagings, intermediate bulk
containers (IBCs), large packagings,
tanks and bulk containers
Part 7
Provisions concerning the conditions of
carriage, loading, unloading and handling
Annex B: Provisions concerning
transport equipment and transport
operations
Part 8
Requirements for vehicle crews,
equipment, operation and documentation
Part 9
Requirements concerning the
construction and approval of vehicles