Methods of transporting goods in international trade; Advantages and Disadvantages
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Humans, and countries in general, have long been in dire need of trade and commerce. Trade, however, does not require transportation. Transportation of goods requires compliance with certain requirements, without which it is not possible to export.
Before referring to the various modes of transportation, it is good to know what “international transportation is”? In international trade, a good may cross the borders of one or more countries to reach its destination. Thus, international transportation refers to the ways in which a commodity starts from the origin and reaches the desired destination.
There are several methods in this regard, including road, air, rail and sea transport. Each of these methods has different advantages and disadvantages that it is better to pay attention to before exporting or importing goods.
Air transport;
Air transport is a new method compared to other methods. There are usually cargo air terminals in every country, which are also referred to as cargo airports.
• The goods arrive at the destination as soon as possible.
• The safety of goods against accidents is very high.
• The cost of the aerial method is higher than other methods.
• The possibility of spoilage or damage to the product is minimized.
• The pain of this method is usually less than other methods.
• Some goods cannot be transported by air.
The best way to use the air method is when you are planning to export a perishable product or when for any reason the time of arrival of the product is important to you. Otherwise, it is better to use other methods of transportation, which we will mention below.
Road transportation;
Road transport is the oldest and most important method of transporting goods from all over the world, through which a considerable volume of world trade is still carried out. The Silk Road and other means of communication between countries are evidence of the antiquity of this method.
Trucks are the main method of transporting goods in the road method and land transport companies are the main player in this field. Its advantages and disadvantages include the following:
This method is available to everyone, unlike the sea or air method.
• In other road methods, there is no need to unload cargo in ports.
• The best way to export short distance, especially to neighboring countries.
• The risk of road method is higher than air method and its safety is less.
• This method can not be used for export to distant countries.
• The time of arrival of the goods to the destination is much less than the sea method.
• The cost of the road method is less than the air or even sea method.
• The cost of packaging in this method will be much lower.
• It is possible for some goods to spoil in the long run.
• It is not possible to export goods in large volumes in this way.
Railroad transportation;
Rail transportation is another method of land transportation that, despite its similarities with the road method, but there are some differences. Freight trains are the means of transporting goods by rail.
In Iran, rail connections have been established with some neighboring countries and it is expected that this connection will expand further in the future. Many other countries and markets can be reached by rail with some neighboring countries.
The rail method is mostly used in Iran for some countries, including Eurasia and Turkey. The most important advantages and disadvantages of the rail method are the following:
• Accidents in this method are very low and have high safety.
• Shipping costs are lower than air and sometimes sea.
• Rail transport is not possible in many countries.
• It is the best way to transport some goods such as minerals.
• Climate problems do not have much effect on the rail method.
• Not all goods can be exported by rail.
Maritime Transportation;
It is no exaggeration to say that the largest volume of goods is transported by sea and is one of the most common types of international methods of international transport of goods. Half of the earth is covered by sea and oceans, and almost all countries of the world have access to open waters and seas.
Iran also has access to one of the most important waterways in the world, the Persian Gulf, and a large amount of the country’s products are exported through this route. Meanwhile, the Caspian Sea is also a very good communication route for communication and export of goods to Eurasian countries, which includes different countries. The most important advantages and disadvantages of maritime transport can be named as follows:
Unlike other methods, the sea method can be exported to most of the world.
Compared to the ground method, it is the best method for long distances.
It will usually take a long time for the goods to reach their destination.
It usually costs less than the aerial method.
In the maritime method, all kinds of goods in different dimensions and scales can be exported.
The dangers and natural disasters in this method are usually greater.
In addition to the above methods, there are other methods in this regard, including the combined method, which is a combination of the above methods.