In order to understand the definition of multimodal transportation, it is necessary to consider what types of transport exist in the market of logistics services.
The main types are:
There are two mandatory conditions for multimodal cargo transportation:
- Delivery of the same goods is carried out by two or more types of transport.
- Transportation is under 1 contract.
Multimodal transportation is widely used in areas where it is not possible to arrange delivery of one freight by one type of transport. With the involvement of several vehicles that are completely different it is becoming possible to optimize and to control the customer’s expenses and transit times of delivery.
Features of multimodal freight:
- Responsibility for the safety of cargo throught the whole route is one company.
- Access to cargo in intermediate warehouses with the possibility of terminal processing (labeling, weighing, repacking)
- Disadvantages and advantages of involved types of transport involved. (For example, delivery by sea, as a rule, has the lowest cost and the largest transit time)
- Multimodal shipping is considered particularly difficult.
- Multimodal transportations allow to be flexible in terms and cost.
- Multimodal transportations provide an opportunity to conduct a preliminary analysis of several routes of transportation and choose the most suitable of them, depending on the requirements of the customer, characteristics of the goods and conditions specified in the contract or other documents.