1. Jan.Hoffmann@UNCTAD.org Geneva, November 2012. Trade, Transport and International Logistics: The role of trade facilitation

2. 1)Globalization 2)Role of transport 3)Role of logistics 4)Role of trade facilitation Trade, Transport, Logistics and Technologies: An Introduction

3. 1)Globalization 2)Role of transport 3)Role of logistics 4)Role of trade facilitation Trade, Transport, Logistics and Technologies: An Introduction

4. Globalization of trade What is meant by “Globalization” of trade? Global production, with increased trade in components and unfinished products

5. Globalization of trade

6. What are the causes of Globalization? Trade liberalization Telematics Standardization Transport and Logistics

7. Elasticity Trade/GDP Exports = 2.5 GDP – 3

8. Trade grows faster than GDP Source: data from UNCTAD and from WTO

9. For a country’s GDP to grow e.g. 5%, trade “needs” to grow 7 – 12%

10. Traditional “Geography of Trade” Transportation of all kinds of commodities for industrial processing (South -> North)

11. Traditional “Geography of Trade” Transportation of all kinds of commodities for industrial processing (South -> North) Exchange of industrial products for consumption (North North; and North -> South) Supplies of parts and components for industrial production (North North)

12. The emergence of the emerging economies Source: UNCTAD, Review of Maritime Transport, 2012 (forthcoming)

13. The emergence of the emerging economies Old Scenario: Developing countries exported large volumes of raw materials and imported high value (low volume) manufactured goods Source: UNCTAD, Review of Maritime Transport, 2012 (forthcoming)

14. The emergence of the emerging economies Today’s Scenario: Developing countries participate in globalized production. They also import raw materials and also export manufactured goods Source: UNCTAD, Review of Maritime Transport, 2012 (forthcoming)

15. 1)Globalization 2)Role of transport 3)Role of logistics 4)Role of trade facilitation Trade, Transport, Logistics and Technologies: An Introduction

16. Mode of transport of global trade ? metric tons (excluding intra-EU)

17. Mode of transport of global trade metric tons (excluding intra-EU) Source: Global Insight

18. Mode of transport of global trade ? USD (excluding intra-EU) Source: Global Insight

19. Mode of transport of global trade USD (excluding intra-EU) Source: Global Insight

20. Example: You want to buy a car “made in Mexico”. Today: is its transport from Mexico to Geneva more or less expensive than 20 years ago? Globalization and international transport

21. Less expensive BUT: You pay MORE for “transport” then 20 years ago. Why?

22. 1)Globalization 2)Role of transport 3)Role of logistics 4)Role of trade facilitation Trade, Transport and International Logistics: An Introduction

23. Logistics in the supply chain Source: “logistics management”, IML, Lausanne Transport Logistics Supply Chain

24. Logistics Expenditure in the United States CSCM – State of Logistics Report 2010

36. 1)Globalization 2)Role of transport 3)Role of logistics 4)Role of trade facilitation Trade, Transport, Logistics and Technologies: An Introduction

37. Examples of technologies ?

38. International seaborne trade for selected years index of major commodities Source: UNCTAD Review of Maritime Transport, 2011

39. Trade is measured in “TEU”

40. Anytime: day and night operations

41. Anywhere: e.g. Tierra del Fuego in Chile

42. … the world’s driest desert

43. …Beirut

44. … Luanda

45. …Bangkok

46. Guayaquil … Hamburg (daytime)

47. … Bandar Abas

48. …Suez Canal

49. …Panama Canal

50. Lima

51. …Maldives

52. … France

53. Anyhow: intermodal

54. … into Burkina Faso

55. … Mekong River

56. Zambia … into Zambia

57. Anything:

58. Anything: The United Nations

59. Anything: e.g. port library in Rio de Janeiro

60. Technologies in international logistics 30 years ago: Containerization Today: Telematics

61. Fuente: Michael Schwank, TOC Americas, 2004 Intercambio de datos Information exchange Automatización Automation

62. [New] technologies can help… +Planning for cargo handling operations +Organizing onward transport +Improving cargo security +Tracing the status and location of cargo +Data exchange +Preparing transport documents +Customs clearance +… = trade facilitation

63. 1)Globalization 2)Role of transport 3)Role of logistics 4)Role of trade facilitation Trade, Transport, Logistics and Technologies: An Introduction Questions?