Globonomics!

Consulting|Technology|International business

The shipping industry!

with one comment

Pop quiz:

Why dedicate an entire blog entry to this critical form of International trade?

Answer:

– Shipping is one of most global/international industries. 

– The international shipping industry is responsible for the carriage of 90% of world trade!

– Shipping is the life blood of the global economy. Without shipping, intercontinental trade, the bulk transport of raw materials, and the import/export of affordable food and manufactured goods would simply not be possible.

– Shipping is more international than aviation – aviation requires landing rights and therefore regulated commercially. Shipping is the most commercially deregulated industry in the world.

– Containerization has revolutionized the way the shipping industry works. Shipping is more of derived demand – dependent on rate of economic growth.

– 2005 – 2009 – world economic growth is estimated at about 3.5%

One of the esteemed faculty, Mr. Hazra, Chairman and Managing Director of the SCI (Shipping corporation of India – http://www.shipindia.com) took a session for us during our trade documentation and logistics session last year and it was really a great experience!

Two of the most important channels/canals that facilitate International trade are:

1. The Panama canal – it is a small canal that basically bridges the two large oceans of the world – the Pacific and the Atlantic! Building this canal itself was a feat and some would say it is equivalent to one of the wonders of the world due to the extreme engineering feat achieved!

http://www.pancanal.com/

What is it?

http://en.wikipedia.org/wiki/Panama_Canal

http://www.pancanal.com/eng/general/asi-es-el-canal.html

2. The English Channel

Sometimes regarded by many as the world’s busiest seaway, speculators say it contributes to passage of almost 20% of the world trade traffic!

Source: http://en.wikipedia.org/wiki/English_Channel#World.27s_Busiest_Seaway

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Written by Naveen Athresh

November 15, 2006 at 6:41 pm

One Response

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  1. no

    ezekiel

    November 6, 2008 at 2:54 pm


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