Water shipping

Shipping can be either deep-water (ocean, sea) or internal (river) shipping.

The key advantage of water shipping is the capability to deliver large cargos. For this purpose two types of ships are used: deep-water (requiring the deep-water port areas) and diesel-powered barges.

The greatest disadvantage is limited functional capabilities and low speed. The matter is that the cargos are usually delivered to ports by railway or motorcars, the exception is if starting and destination points are located on one and the same waterway.

Water shipping with its huge load capacity and insignificant variable costs is good for those shippers whose prime concern is about low shipment rates, and if speed of delivery is of minor importance.

In future water shipping will keep its competitive positions for logistics as, if properly integrated into a logistic system, slow moving ships can serve like movable storehouses.

For water shipping either fixed (if cargo is carried by line shipping system) or specific freight (if shipment is customary) rates are determined. The size of freight rate is determined by contract depending on the current market situation.