Learning Outcomes for the Unit:

At the end of this Unit, students will be able to:

1. Describe the different types of ships and explain their functions.
2. Discuss the key aspects of the maritime business environment.
3. Explain the role of international agencies.
4. Describe the documentation and procedures adopted for ships entering and
leaving ports.
5. Explain different types of cargoes.
6. Comment on the nature of ship funding and ownership of world fleets.
7. Discuss the development of operating alliances, mergers and acquisitions in the
international maritime environment.

Comment on different types of ships.

2. Describe the purpose and functions of different ports and types of port
ownerships.
3. Discuss different types of cargoes and comment on security and safety matters.
4. Understand the purpose of flags of convenience.
5. Identify different ways of chartering a ship.
6. Explain the importance of key documentation used by the industry.
7. Identify international canals and their impact on world trade.

Understand the relevant Acts which provide the rules governing marine insurance.

Understand the difficulties and risks of the cargo supply chain.

3. Analyse the risk associated with piracy, stowaways, drug smuggling and
terrorism.

explain the importance of different type of ports in international trade.

2. Identify the criteria used by shipowners for port selection.

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3. Discuss the main aspects of port planning.
4. Highlight the role of seaports in the twenty-first century.
5. Analyse the importance of different port equipment

Evaluate problems of port operations and management and suggest appropriate

courses of action.
7. Explain the interface with other transport modes.

Introduction to Shipping
► Sea Transport and the Global Economy
► The origins of sea trade, 3000 BC to AD 1450
► The global economy in the fifteenth century
► Opening up global trade and commerce, 1450-1833
► Liner and tramp shipping, 1833-1950
► Container, bulk and air transport, 1950-2006
► Lessons from 5,000 years of commercial shipping

Introduction to Shipping and to the Ships

► Functions of shipping
► World seaborne trade and world fleet
► Challenges facing the shipping industry in the twenty-first century
► International navigation limits
► International Convention on Load Lines 1966
► Types and methods of tonnage measurement
► International Convention on Tonnage Measurement of Ships
► Types of ships, specialised vessels and their trades

Ship design and construction

► Ship design and future trends

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► Ship productivity
► General principles and factors influencing design, type and size of ship
► Safety and other regulations
► Vessel lengthening
► Cruise Vessel
Manning of Vessels
► Duties and responsibilities of the Master
► Ship’s officers and crew manning
► IMO Convention of Standards of Training
► Engagement and discharge of the crew
Customs house and ship’s papers
► E-commerce; customs
► Value added tax
► Intrastat
► Export controls
► Customs tariff
► Customs Freight Simplified Procedures (CFSP)
► New Export System (NES)
► Unique Consignment Reference (UCR)
► Customs reliefs
► Importation and exportation of goods

The Organization of the Shipping Market

► Overview of the maritime industry
► The International transport industry

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► Characteristics of sea transport demand
► The sea transport system
► The world merchant fleet
► The cost of sea transport
► The role of ports in the transport system
► The shipping companies that run the business
► The role of governments in shipping

The Principles of Maritime Trade

► The building-blocks of sea trade
► The countries that trade by sea
► Why countries trade
► Differences in production costs
► Trade due to differences in natural resources
► Commodity trade cycles
► The role of sea transport trade
The Transport of Bulk Cargoes
► The commercial origins of bulk shipping
► The bulk fleet
► The bulk trades
► The principles of bulk transport
► Practical aspects of bulk transport
► Liquid bulk transport
► The crude oil trade
► The oil products trade
► The major dry bulk trades
► The minor bulk trades

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The Transport of Specialised Cargoes
► Introduction to specialised shipping
► The sea transport of chemicals
► The liquefied petroleum gas trade
► The liquefied natural gas trade
► The transport of refrigerated cargo
► Unit load cargo transport
► Passenger shipping
The Transport of General Cargo
► The origins of the liner operation
► Economic principles of liner operation
► General cargo and liner transport demand
► The liner shipping routes
► The liner companies
► The liner fleet
► The principles of liner service economics
► Pricing liner services
► Liner conferences and cooperative agreements
► Container ports and terminals
The Merchant Fleet and Transport Supply
► The Ships that Provide the Transport
► What type of ship?
► Seven questions that define a design
► Ships for the general cargo trades
► Ships for the dry bulk trades
► Ships for liquid bulk cargoes

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Gas tankers
► Non-cargo ships
► Economics criteria for evaluating ship designs
The Regulation of the Maritime Industry
► How regulations affect maritime economics
► Overview of the regulatory system
► The classification societies
► The law of the sea
► The regulatory role of the flag state
► How maritime laws are made
► The International Maritime Organisation
► The International Labour Organisation
► The regulatory role of the coastal and port states
► The regulation of competition in shipping

Ship’s paper
► Ship’s protest
Maritime canals and inland waterways
► European inland waterways
► The Suez Canal Authority
► The Kiel Canal, The Panama Canal
► The St Lawrence Sea way
► The influence of canals on ship design
► Canal areas as points of economic growth
Services generated by principal shipping organisations
► ISO, Intertanko, Lloyd’s Register, OECD, WTO, BIMCO, UNISTAD,

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Intercargo, ICS
Passenger fares and freight rates
► Theory of passenger fares
► Theory of freight rates and effect of air competition on cargo traffic
► Relation between liner and tramp rates
► Relation between voyage and time charter rates
► Types of freight
Liner conferences
► Liner conference system
► Deferred rebate and contract systems
► Harmonisation conference
► The future of the liner conference system
Ship operation
► Factors to consider in planning sailing schedules, fleet planning
► Interface between fleet planning and ship survey programme
► Relative importance of speed, frequency, reliability, cost and quality of sea
transport
► Indivisible loads
► Ship and port security
Bills of lading
► Carriage of Goods by Sea Acts 1971 and 1992
► Types of bills of lading
► Carriage of Goods by Rail, Carriage of Goods by Road
Cargoes
► Cargo stowage/packaging overview
► Stowage of cargo
► Types of characteristics of cargo
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► Cargo and container handling equipment, Dangerous cargo
The shipping company
► Liner organization, Tramp organization
► Holding companies and subsidiaries
► Operational alliances
► Ship management companies
► Ownership of vessels
► Freight forwarders
► Chartered shipbrokers
► Future of shipbroking
► Ship’s agent

Lloyd’s Register Quality Assurance

Charter parties
► Demise and non-demise charter parties
► Voyage and time charter parties
► Approved forms of charter parties and related bills of lading
► Voyage estimates
► Sale and purchase of ships
Containerisation
► Container ships; terminals
► Container distribution
► Container types
► Non-containerisable cargo
► Features of containerization
Seaports
► Role of seaports in the twenty-first century and factors driving change

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► Container port automation
► Floating terminals
► Factors influencing the shipowner’s choice of seaport
► Relationship between ships and ports
Multi-modalism: global supply chain management and international logistics
► Factors in favour of multi-modalism
► Rationale for the development of multi-modalism
► Features of multi-modalism
► Multi-modalism strategy
► Global supply chain management and international logistics
The international consignment
► Evaluation of transport model(s) for international consignment/s
► Delivery trade terms of sale and the export order
► Progress of export order and checklist
Political aspects
► Flag discrimination
► Flags of convenience
► Subsidies
► Contribution of shipping to invisible exports

The Principles of Marine Insurance

► Differences between faith and utmost faith
► What do we mean by ‘risk’?
► The function of marine insurance
► Rules of construction
► Utmost good faith
► Insurance intermediaries

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Hull Insurance
► Types of hull policy
► Hull underwriting
► Analysis of the Institute Time Clauses (Hulls) 1995
► Institute Voyage Clauses
Cargo Insurance
► What are Incoterms?
► What may be insured as cargo?
► Exclusions
► Institute Trade Clauses
► Institute Cargo Clauses: A, B and C

Claims
► Proximate cause
► Included and excluded losses
► Additional Perils Clauses
► Fraudulent claims
► Under- insurance
► Cross-liabilities
► Imitation of liability
Pollution
► What is a convention?
► TOVALOP
► CRISTAL
► International Tanker Owners Pollution Federation (ITOPF)
► Pollution liability and legislation
► Dumping at sea

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► Controlling and preventing pollution
War and Strikes Risks
► The Waterbone Agreement
► War exclusions
► War risk insurance
► Institute Strikes Clauses (Cargo)
Reinsurance
► Privity of contracts
► Types of reinsurance
► Methods of transacting reinsurance
► An insurer’s retention
► Solvency margins
► War risks and reinsurance
► Other forms of reinsurance

Ports

Introduction to ports and their functions

► The role of ports in international trade and transport
► Seaports and their functions in the twenty-first century
► The effect of globalisation on ports, logistics and distribution patterns
► Criteria used for port location
► Access, flexibility and interface with other transport modes
► Hub ports; feeder transhipment
► Types of port ownership and current trends
Legal aspects of port management
► Port constitutions and legal framework of ownership
► National legislation, port laws and bye-laws

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► Government's role in financing port development
Port planning
► Government port development
► Port planning and project planning
► Infrastructure/operating structure
► Joint ventures, financing and management
► Berth occupancy, service time, waiting time, capacity calculations
► Layout, physical constraints and terminal planning
► Flow analysis.
► Analysis of key environmental issues
Port ownership
► Differing types of ownership in the public and private sectors
► Deregulation
► Methods of Privatisation; sale of shares, management buyouts
► Lease contract and joint ventures
Finance of port operations
► Budgeting
► Control of capital and revenue expenditure
► Project evaluation and review techniques
► Capital investment appraisal

Analysis and monitoring of direct and indirect costs

► Analysis of performance
► Appraisal of finance and economics of port proposals and traffic forecasting
Port equipment
► Port buildings
► Large handling equipment

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► Trends in vessels and cargo handling
► Vessel size
► Procurement and materials management
Port management 1
► Structure
► Organisation of activities performance measurement
► Marine operations –conservancy, dredging, navigation aids etc.
► Avoidance of congestion
Port management 2
► Role of trade unions, labour organisations and ITF
► Statutory bodies. Customs, Immigration, Port health, Marine Safety
► Needs of port users, owners, operators, agents, forwarders
► Information flow
Port security management
► Importance of safety management
► Prevention of terrorism
► Illegal immigration, theft and smuggling
Port competition and marketing
► Nature of national and international port competition
► Market information trade growth, vessel development, commercial needs,
financial viability
► Location, vessel transit times and port rotation
► Role of shipowners/operators, shippers, receivers, freight contractors,
forwarders Promotion
to potential users
► Impact of inland transportation
Port pricing
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► Nature and type of port charges
► Cost factors in pricing, infrastructure, navigation services, equipment, staff and
labour etc.
► Pricing policy and mechanisms
► Effect of competition on pricing policy
► Demand influences
► Regulatory mechanisms

► Port development
► Classification of ports
► Types of port ownership
► Time spent in port (cargo-handling)
► Number of berths needed in ports
► Comparing the various types of berth
► Alternatives to formal port systems
► Port labour
► Port management and administration
► Port charges
► Ship canals

Commercial Seaports and Modes of Maritime

► Transport
► Commercial Seaports
► Container Terminals
► Bulk Cargo Terminals
► Cruise Ship Terminals
► Non-traditional Ports

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► Stakeholders
► Terminal Owners
► Terminal Operators
► Stevedore Company
► Longshoremen
► Intermodalism
► Modes of Maritime Transport
► Tankers
► LNG Tankers
► Chemical Tankers
► Container Ships
► Freighters
► Bulkers
► Oceangoing Tugboats
► Cruise and Passenger Ships

Vulnerabilities in the Cargo Supply Chain

► Vulnerabilities and Their Potential Impact
► Recommended Security Practices at the Production/Loading Phase
► Recommended Security Practices at the Export Phase
► Carriers and Seaports
► Recommended Security Practices at the Importation/Distribution Phase
► Ports of Entry and Importers
► Special Vulnerabilities in the Maritime Environment
► Cargo Theft
► Internal Conspiracies and Techniques Used to Circumvent Security
► Container Seals

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► "Red Flags" of Possible Criminal/Terrorist Surveillance
Plagues of the Seas: Piracy and Stowaways
► Definition and Historical Beginnings
► Highlights of Recent Cases of Piracy
► Trends in Piracy
► The Linkage Between Piracy, Organized Crime, and Terrorism
► Stowaways
► The Motivation of the Stowaway
► Techniques and Tactics used by Stowaways
Drug Smuggling via Maritime Cargo, Containers and Vessels
► Illegal Drug Origins and Production
► Maritime Smuggling Routes and Trends
► Drug Smuggling Methods and Techniques

Port Security Management

► The Port Security Director
► The Systems Approach, ISO Certifications, Strategic
► Planning, and Metric Management
► A Multi organisational Approach Toward Port Security
► The Importance of Comprehensive Job Descriptions
► Planning and Conducting Security-Related Training
► Intelligence and its Role in Maritime Security
► Risk Management and Port Security
► Contingency Planning
► The Incident Command System (ICS) and the National
► Incidents Management System (NIMS)
► Testing Training and Planning Through Exercises and Drills

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Main Text
Elements of Shipping, 9th edition, Branch, A.E., Routledge
Alternative Texts and Further Reading
Sea Transport, Alderton, P.M., Thomas Reed Publications
Dictionary of Shipping International Business: Trade Terms and Abbreviations,
Branch, A.E.,Wither by Lloyds List and Shipping Gazette

Main Text
Sea Transport, Alderton, P.M., Thomas Reed Publications
Alternative Texts and Further Reading
The Business of Shipping, Kendall, P.
Dictionary of Shipping: International Business Trade Terms and Abbreviations,
Branch, A., Witherby
Lloyds List

Main Text
Reeds Marine Insurance, Jervis, B., MacMillan
Alternative Texts and Further Reading
Marine Insurance: Principles and Basic Practice Vol 1, Brown, R.H., Witherby

Main Text
Carriage of Goods by Sea, Wilson, J.F., Pitman
Alternative Texts and Further Reading
Shipping Law, Baughen, S., Cavendish
Business and Law for the Mariner, Salter, Capt. I., Master Mariner, Brown, Son
and Ferguson

Main Text
Maritime Security, McNicholas, M., Butterworth Heinemann

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Alternative Texts and Further Reading
Maritime Security, .Jones, S., Nautical Institute
Safety Management, Kuo, Prof. C., Nautical Institute

Main Text
Port Management and Operations, Anderton, P., Lloyd’s Practical Shipping Guides
Alternative Texts and Further Reading
Global Logistics and Supply Chain Management, Branch, A., Routledge
Export Practice and Management, Branch, A., Routledge
Lloyd’s List and Shipping Gazette

Main Text
Shipbroking and Chartering Practice Gorton, L., Hillenius, P. Ihre, R. & Sadervam,
A., Lloyd’s of
London Press
Alternative Texts and Further Reading
Sea Trading Vol. 3, W.V. Packard, W.V., Fairplay
Bulk Carrier Practice, Isbester, Capt. J., Nautical Institute
Lloyd’s List

The Ship
► The number and classification of ships
► Parts of the ships
► Ship stresses and stability
► Markings on the ship
► Tonnage
Types of Ships
► Passenger ships

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► General cargo ships
► Container ships
► Barge-carrying ships and Ro/Ro ships
► Bulk carriers
► Specialist ships
► Types of engines
► Trends in ship types
► The economics of ship size
► The economics of speed

The Crew
► Typical duties of those on board
► Reductions in crew size
► International crews
► Regulating crew size
► Crew recruitment and training
► Pay and conditions
► Industrial relations
Navigation
► Whose responsibility is this?
► The choice of route
► The ship's navigational hardware
► Communications at sea
Types of Cargo
► Pre-shipment planning

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The stowage plan
► Stowage and discharge
► The care of cargo during the voyage
► Stuffing containers
► Bulk cargo
► Dangerous cargoes

Ocean transportation of dangerous goods

► Deck cargo
► The theory of trade
Costs and Freight Rates
► Cost classification
► The daily running cost (DRS)
► Propulsion, cargo-handling and other port costs
► Freight rates
World Tonnage
► What determines the supply of shipping?
► The growth of national merchant fleets
► Reasons for encouraging and sustaining national fleets
► Maritime policy
► Flags of convenience
Shipping Finance
► The operating profit
► Equity
► Debt
Charters
► Different ways of chartering a ship

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► Standard forms for charters
► Voyage estimating
► How shipowners get 'offers' for their vessels
► Arbitration in charter party disputes
► The tanker market and chartering
The Liner Market
► Typical company organisation
► Marketing
► Consortia, alliances and conferences
► Logistics and/or intermodal transport
Safety
► Spheres of risk
► The economics of safety
► Marine insurance
► Salvage
► Safety and environmental issues
Documentation
► The Bill of Lading (B/L)
► Economic and operational problems of documentation
► Incoterms
► Ship's documents
► Customs

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