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Advantages & Disadvantages of Multimodal Transport

Advantages & Disadvantages of Multimodal Transport

Advantages of Multimodal Transport

  • Reduce Complication of Liability of Intermodal Transport
  • Dealing with one operator for contract of carriage 
  • Fix the limitation of liability of operator 
  • One single contract of carriage for entire routes 
  • Door-to-Door Deliverable 
  • National Wealth as Hub of Transit
  • Reduction in the costs and time for coordination and operation of logistics.
  • Increased monitoring of shipments from stage to stage.
  • There is only one company in charge of meeting the shipment deadline; therefore, there is better control on management and less risk of merchandise theft or loss while responsibility lies on just one entity.
  • Scheduling routes, costs, staff, and logistics becomes easier.
  • The FBL document has preference to enter and go through customs.

Disadvantage of Multimodal Transport 

  • Despite the many facilities and advantages represented by the use of multimodal transport, it has some disadvantages, as:
  • High requirements to ensure security due to constant inspections by the authorities at stations or other roads.
  • Certain restrictions of a legal and operational nature due to differences in international standards.
  • A certain ignorance of new technologies may occur in the transportation region.
  • It requires huge capital investment to invest in the different modes of transport under one corporation.
  • Multi modal transportation system presents a lack of uninformed systems of determining liability as the system comprises of different modes guided by different international laws.