1. International ocean transportation

2. In order to manage international logistics, it is fundamental to have a good understanding of transportation alternatives open to an international shipper. Types of service: Liner: A ship that operates on a regular schedule, traveling from a group of ports to another group of ports. Tramp: 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.

3. Size of the vessels: Ships are also often categorized by their size, which is expressed in tons. There are several ways of evaluating the tonnage of a vessel and the ‘tonnage’ of a vessel can be used for very different purposes. Dead-weight tonnage(DWT): the maximum weight that a ship can carry. Bunker: The amount of fuel that a ship carries on board and that it needs to travel. Stores: All that supplies that a ship carries and that it needs to function.

4. Registered Tonnage: Gross registered tonnage(GRT): The total volume of a ship’s carrying capacity measured as the space available below deck and expressed in hundreds of cubic feet. Net registered tonnage: The net registered tonnage of a ship is obtained by subtracting the volume occupied by the engine room and the spaces necessary for the operation of the ship from the gross registered tonnage. Displacement tonnage: the total weight of the ship when fully loaded measured by using the weight of the water being displaced.

5. Light tonnage: The total weight of the ship when empty measured by using the weight of the water being displaced. Plimsoll Lines: Fully loaded at different drafts(how deep they sit in the water) in the function of the season in which they are operating, of the latitude under which they plies its trade and of the density of the water. The deepest a ship can sit is called the tropical line followed by the summer line, the winter line and the winter-north Atlantic line. The ship will lower in fresh water than it would in saltwater with the same quantity of cargo.

6. All these lines are painted on the hull and form a diagram called the plimsoll mark. The dead weight tonnage is generally determined at the summer line or at the line that represents accurately the conditions under which a ship is used. Size categories: panamax.: A ship of the maximum size that can enter the locks of the panama canal. Post-Panamax: A ship whose size is too large to enter the locks of the panama canal.

7. Suez-Max Ships: This size at roughly 1,50,000 dead-weight tons and which are of the maximum size that can fit through the Suez Canal(about 285 meters long, 35 meters wide and 23 meters of draft). Cape size ships: This term is used to describe large dry-bulk carriers of a capacity greater than 80,000 dead-weight tons. Very large crude carrier: This is used to describe an oil tanker of up to 300,000 dead-weight tonnage which is about 350 meters long, 55 meters wide and has 28 meters of draft.

8. Ultra large crude carrier: This term describes an oil tanker of more than 300.00 dead-weight tonnage. One of the largest ULCCs built, the sea giant is of 555,000 dead-weight tonnage is 415 meters long, 63 meters wide and has a draft of 35 meters. Types of vessels: Even though there are around 45,000 commercial ships worldwide almost every single one of these ships is designed differently. It is therefore difficult to classify them much better than in broad-based groups with many ships not fitting neatly into one category.

9. Container ships: This is also known as ‘box ships’ carry containerized cargo on a scheduled voyage. Vessel dedicated to the container trade carry up to 6,600 TEU’- twenty foot equivalent unit or the space equivalent of a twenty-foot container-but there is a large number of mixed-cargo ships that can also carry containers, sometimes as few as 100 TEUs

10. Roll-On/Roll-off Ships: These ships were created to accommodate cargo that was self-propelled, such as automobiles or trucks, or cargo that could be wheeled in to a ship such as railroads. They are essentially floating parking garages. RORO ships therefore have a portion of their hull that opens up and acts as a ramp on whsich the vehicles are driven before being parked on the many decks of the ship and secured with chains. The hull opening is either on the side of the ship or on its stern(Rear).

11. Trot-on/trot-off: A ship designed to carry livestock. It possesses a ramp that the animals can use to walk on board and exit the vessel. Break-bulk ships: It constitutes the least- homogeneous category of vessels. These are multi-purpose ships that can transport shipments of unusual sizes, unitized on pallets, in bags or in crates. The advantage break bulk ships is that they can call at just about any port to pick up different kinds of cargo loads giving them a flexibility that containerships do not yet have.

12. Combination ships: The ultimate multipurpose ships are combination ships which are designed to carry all sorts of different loads in a single voyage. A typical combination ship has several holds in which bulk cargo such as timber or grain can be placed. Those holds can also be used for break-bulk cargo especially oversized and heavy cargo such as machinery and sometimes containers. It also has a tweendeck or a deck below the main deck. Tweendeck is the combination ship, a deck located below the main deck that is used to carry smaller size break-bulk cargo such as vehicles.

13. LASH Ships(LASH) Barge: Lighter aboard ships(LASH) ships represent a similar concept of containership. A floating container measuring eighteen meters by nine meters by three meters that can be loaded and unloaded from a LASH mother ship and can be tugged to its destination in a port or to an area without port facilities. Lighter Aboard Ship(LASH) mother ship: A Ship equipped with cranes that is designed to carry around eighty LASH barges and can load and unload them at anchor.

14. Crude carriers: These are bulk ships dedicated to the transport of petroleum products whether unrefined(crude oil) or refined such as gasoline or diesel fuel. Ships designed to carry one single type of refined petroleum product are sometimes called product carriers. Product carrier: A liquid bulk ship designed to carry refined petroleum products such as gasoline or diesel fuel rather than crude oil. The oil cargo of the large crude carrier is then transferred into smaller crude carriers that then transport it and unload it into the port. This process is called lightering.

15. Dry bulk carriers: Dry bulk carriers operate on the same basis as oil tankers in that they are chartered for a whole voyage. Dry bulk ships have several holds in their hull in which non-unitized cargo is placed. There are many types of dry-bulk ships and because of the trade in which are engaged. For e.g. oil- Bulk-Ore(O-B-O) carriers as they also transport oil and oil products in bulk. Gas Carriers: These type of carriers have a very distinctive shape in order to carry liquefied natural gas(LNG) and liquefied petroleum gas(LPG) This ship holds several spheres of compressed gasses only part of which are visible above their main deck.

16. Flag: each vessel engage in international trade must be registered in a specific country and therefore flies a specific country’s flag. The vessel must pay the taxes imposed by this country. Cabotage: An ocean trade consisting of shipping between ports located in the same country. Conference: A group of shipping companies(carriers) that operate vessels competing in the same trade lanes and that have legally agreed to not compete on price and charge the same amount for the same type of cargo and the same voyage.

17. Shipping and World Trade Over 90% of world trade is carried by the international shipping industry. Without shipping the import and export of goods on the scale necessary for the modern world would not be possible. Seaborne trade continues to expand, bringing benefits for consumers across the world through low and decreasing freight costs. The growing efficiency of shipping as a mode of transport and increased economic liberalisation, the prospects for the industry’s further growth continue to be strong.

18. There are around 50,000 merchant ships trading internationally, transporting every kind of cargo. The world fleet is registered in over 150 nations, and manned by over a million seafarers of virtually every nationality

19. Container ships: which carry most of the world's manufactured goods and products, usually through scheduled liner services.

20. Bulk carriers: The work horses of the fleet, these transport raw materials such as iron ore and coal. Identifiable by the hatches raised above deck level which cover the large cargo holds.

21. Tankers: Transport crude oil, chemicals and petroleum products. Tankers can appear similar to bulk carriers, but the deck is flush and covered by oil pipelines and vents.

22. Ferries usually perform short journeys for a mix of passengers, cars and commercial vehicles. Most of these ships are Ro-Ro (roll on - roll off) ferries, where vehicles can drive straight on and off, making it a speedy and easily accessible way to travel. Demand for cruise ships expanded rapidly during the 1980s, leading to a new generation of large and luxurious 'floating hotels'.

23. Specialist ships: Such as anchor handling and supply vessels for the offshore oil industry, salvage tugs, ice breakers and research vessels.

24. Top 20 largest shipping flags (January 2005) Figures in brackets are millions of gross tonnes of shipping registered in the countries listed. Source: Lloyd's Register Fairplay. 1. Panama (131) 2. Liberia (54) 3. Bahamas (34) 4. Greece (32) 5. Hong Kong (China) (25) 6. Singapore (25) 7. Malta (23) 8. Marshall Islands (22) 9. Cyprus (21) 10. China, People's Republic (19) 11. Norway (19) 12. Japan (12) 13. United States (11) 14. Italy (11) 15. UK (mainland) (10) 16. Germany (8) 17. Denmark ((7) 18. Korea (South) (7) 19. India (7)

25. Top 20 beneficial ownership countries (January 2003) Based on total deadweight tonnage controlled by parent companies located in these countries. Figures in brackets represent percentage of world fleet. Source: UNCTAD. 1. Greece (19.5%) 2. Japan (13.6%) 3. Norway (7.6%) 4. China, People's Republic of (5.7%) 5. United States (5.5%) 6. Germany (5.3%) 7. Hong Kong, China (4.9%) 8. Korea, Republic of (3.3%) 9. Chinese Taipei (2.9%) 10. Singapore (2.5%) 11. United Kingdom (2.3%) 12. Denmark (2.1%) 13. Russia (2.1%) 14. Italy (1.6%) 15. Saudi Arabia (1.4%)

26. Numbers and natioality of world's seafarers The worldwide population of seafarers serving on internationally trading merchant ships is estimated to be in the order of 466,000 officers and 721,000 ratings. The OECD countries (North America, Western Europe, Japan etc.) remain the most important source for officers, but growing numbers of officers are now recruited from the Far East and Eastern Europe.The majority of the shipping industry's ratings are recruited from developing countries, especially the Far East. The Philippines alone provides almost 20% of the global maritime workforce. China and India are also significant maritime labour supply nations, with many seafarers from these countries enjoying employment opportunities on foreign flag ships operated by international shipping companies. Other major labour supply countries include Greece, Japan, Norway, Russia and the United Kingdom

27. Value of volume of world trade by sea It is difficult to quantify the value of volume of world seaborne trade in monetary terms, as figures for trade estimates are traditionally in terms of tonnes or tonne-miles, and are therefore not comparable with monetary-based statistics for the value of the world economy. However, United Nations Conference on Trade and Development (UNCTAD) estimates that the operation of merchant ships contributes about US$380 billion in freight rates within the global economy, equivalent to about 5% of total world trade.

28. Shipping trade estimates are usually calculated in tonne-miles - a measurement of tonnes carried, multiplied by the distance travelled. In 2003, for example, the industry shipped around 6.1 thousand million tonnes over a distance of about 4 million miles, giving over 25 thousand billion tonne-miles of total trade.

30. Throughout the last century the shipping industry has seen a general trend of increases in total trade volume. Increasing industrialization and the liberalization of national economies have fuelled free trade and a growing demand for consumer products. Advances in technology have also made shipping an increasingly efficient and swift method of transportation. Over the last four decades total seaborne trade estimates have nearly quadrupled, from less than 6 thousand billion tonne-miles in 1965 to 25 thousand billion tonne-miles in 2003.

31. Shipping is the safest and most environmentally benign form of commercial transport. Perhaps uniquely amongst industries involving physical risk, commitment to safety has long pervaded virtually all deep sea shipping operations. Shipping was amongst the very first industries to adopt widely implemented international safety standards. Because of its inherently international nature, the safety of shipping is regulated by various United Nations agencies, in particular the International Maritime Organization (IMO) which has developed a comprehensive framework of global maritime safety regulations.

32. The principal regulations governing maritime safety The following are the major international shipping conventions, adopted by the International Maritime Organization (and the International Labour Organization) concerning safety and pollution prevention. However, many other maritime instruments concerning more specific issues are also in force worldwide. Dealing with the ship SOLAS (International Convention for the Safety of Life at Sea, 1974) lays down a comprehensive range of minimum standards for the safe construction of ships and the basic safety equipment (e.g. fire protection, navigation, lifesaving and radio) to be carried on board. SOLAS also requires regular ship surveys and the issue by flag states of certificates of compliance.

33. MARPOL (International Convention for the Prevention of Pollution from Ships, 1973/1978) contains requirements to prevent pollution that may be caused both accidentally and in the course of routine operations. MARPOL concerns the prevention of pollution from oil, bulk chemicals, dangerous goods, sewage, garbage and atmospheric pollution, and includes provisions such as those which require certain oil tankers to have double hulls. COLREG (Convention on the International Regulations for Preventing Collisions at Sea, 1972) lays down the basic "rules of the road", such as rights of way and actions to avoid collisions. LOADLINE (International Convention on Loadlines, 1966) sets the minimum permissible free board, according to the season of the year and the ship's trading pattern. ISPS (The International Ship and Port Facility Security Code, 2002) includes mandatory requirements to ensure ships and port facilities are secure at all stages during a voyage.

34. Safety and Regulation How shipping is regulated internationally Merchant shipping is one of the most heavily regulated industries and was amongst the first to adopt widely implemented international safety standards. Regulations concerning shipping are developed at the global level. Because shipping is inherently international, it is vital that shipping is subject to uniform regulations on matters such as construction standards, navigational rules and standards of crew competence. The alternative would be a plethora of conflicting national regulations resulting in commercial distortion and administrative confusion which would compromise the efficiency of world trade.

35. The shipping industry is principally regulated by the International Maritime Organization (IMO), which is the London based United Nations agency responsible for the safety of life at sea and the protection of the marine environment. The International Labour Organisation (ILO) is also responsible for the development of labour standards applicable to seafarers worldwide.International Maritime Organization (IMO)The International Labour Organisation (ILO) IMO has adopted a comprehensive framework of detailed technical regulations, in the form of international diplomatic conventions which govern the safety of ships and protection of the marine environment. National governments, which form the membership of IMO, are required to implement and enforce these international rules, and ensure that the ships which are registered under their national flags comply. international diplomatic conventions

36. World Tonnage by Cargo Vessel Type, 1970-2012 (in millions dwt)For decades, oil tankers and bulk carriers have accounted for the dominant share of the world's tonnage. Their service configuration is relatively simple as they perform point-to-point services with the return trip empty because of their cargo specialization (e.g. oil, iron ore, grain). Between 2000 and 2012, the world tonnage has almost doubled (92% growth), propelled by a surge in global trade. This questions the sustainability of this growth and may confer a situation of overcapacity, particularly for containerized shipping which has grown in tonnage by 187% for the same period. The on going growth of the global fleet tonnage after the financial crisis of 2008 is underlining an acute potential for overcapacity.