Basic supply variables for major modes can be categorized by routes, terminals, and vehicles:
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Transport Supply and Demand section migrated
The Provision and Demand of Transportation Services
Continue readingGrowth Factors in Transport Demand
The realized transport demand, expressed in passenger or ton-km, is the multiplication of transported volume and the distance it is carried over. It can increase for two reasons: These two factors often occur concomitantly, creating multiplying effects on transport demand.
Static and Dynamic Capacity of Transport Infrastructure
The concept of transport infrastructure capacity is complex. The nominal capacity of most transport terminals and infrastructure is the traffic they can handle within a time frame and normal conditions in terms of reliability. It is jointly defined by static and dynamic considerations: Dynamic capacity is a straightforward strategy to
The Functions of Transport Supply and Demand
Transport supply is generally expressed by Aij; the transport supply between location i and j. Indirectly, it combines modal supply, the capacity of a mode to support traffic, and intermodal supply, the capacity to transship traffic from one mode to another. For instance, air transport supply between two cities must
Freight Rates in TEU Between Singapore and Rotterdam
Source: Germanischer Lloyd. Singapore and Rotterdam are among the world’s largest container ports and are thus prone to the use of economies of scale by maritime shipping companies. These two ports are serviced by an array of ship classes, giving a sample of rates per TEU per ship class (see
Daily Operating Expenses for Containerships per TEU
Source: Alphaliner. Economies of scale in container shipping are achieved by using larger containerships, which reduces unit transport costs because of lower operating costs (measured in dollars per TEU of capacity per day). In the late 1990s, the cutting point was around 4,000 TEU for long distances, but this threshold has been
Transport Costs section migrated
Transport Costs
Continue readingThe Baltic Dry Index, 1985-2022
Source: Bloomberg; BDIY:IND. Value as of the last business day of the month. The Baltic Dry Index (BDI) is an assessment of the average price to ship raw materials (such as coal, iron ore, cement, and grains) on a number of shipping routes (about 50) and by ship size. Thus,
Selected International Commercial Terms (Incoterms)
Source: adapted from International Chamber of Commerce. International Commercial Terms, or Incoterms, are pre-defined commercial terms used to define the transport component and the share of costs and risks for international commercial transactions. They are part of the documentation accompanying cargo, which used to be in a printed form and