LINER & TRAMP SHIPPING

As we know that the transportation of goods or cargo by water is very cheap and cost saving method. At the same time we are also very much agree that it is a totally customer oriented business, and profit maximization as well return on investment totally depends and concerned with the satisfaction of needs of a customer. Further to make it flexible and extensively availability of services between two destination operators of shipping services or shipping line come with a proper solution and divided the service in Tramp & Liner.

LINER SERVICE: - In most layman language we can say that liner service is a service which stick to the pre decided routine and schedule of sailing, Further a shipping line who carry and transport goods and cargo with a fixed route and pre schedule and a high level of cargo safety is called Liner shipping, in this kind of service the ports of call and time taken during voyage has been pre decided and published by lines in advertisement and accordingly shipper can book their cargo. As it’s a regular and continuous process so that its is also considered as the most reliable service.

CONSTRAINTS OF LINER SERVICE:-

 Highly competitive

 Hard to entry and exit.

 Volatile.

 High investment

 Affected by global economic scenario.

 Unpredictable demand.

TRAMP SERVICE: - Dry bulk cargo or liquid bulk known as the tramp trades and the vessels which available to transport these cargos known as a “TRAMP SHIP” and service known as the tramp service. Tramp service will not have the fixed route and schedule of sailing as it will operate according to the availability of cargo in different port. In most layman language we can say tramp service is just as a taxi service which is hired to go for a single journey and without any fix route. These kind of services mainly operated by vessel charter.

CONSTRAINTS OF TRAMP SERVICE:-

 Highly volatile market.

 Depends upon the bulk trades

 Unpredictable demand.

 Geographical constraint.

 Profit sharing.