Cargo

Definition

Cargo refers to freight or merchandise that is transported via various transportation vehicles, including ships, airplanes, trucks, and trains. Notably, it does not include passengers. Cargo encompasses all types of goods, ranging from raw materials to finished products, which are essential for supply chains and global trade.

Examples

1. Maritime Cargo:

   • Containers loaded with electronics, machinery, and clothing being shipped from China to the United States.
   • Crude oil transported by supertankers from the Middle East to Europe.

2. Air Cargo:

   • Express parcels sent via overnight air freight services.
   • Medical supplies and pharmaceuticals flown to different countries.

3. Land Cargo:

   • Goods transported by trucks across states in the United States.
   • Automobiles shipped by train across European countries.

4. Rail Cargo:

   • Bulk commodities like coal and grain shipped by rail.
   • Cars transported across vast distances using rail freight services.

Frequently Asked Questions (FAQs)

What types of transportation are commonly used for cargo?

Cargo is typically transported using ships, airplanes, trucks, and trains. Each mode of transport is suited for different types of goods and urgency of delivery.

What is the difference between cargo and freight?

While both terms are often used interchangeably, “freight” generally refers to the transportation of goods in bulk, often for commercial purposes, whereas “cargo” encompasses all types of goods transported regardless of their bulk.

How is air cargo different from ocean cargo?

Air cargo is typically faster and more expensive, suitable for high-value and urgent shipments. Ocean cargo is slower but more cost-effective and is used for bulk goods and non-urgent deliveries.

What documents are required for shipping cargo internationally?

Key documents include the bill of lading, commercial invoice, packing list, certificate of origin, and various customs declaration forms.

How is cargo tracked during transportation?

Cargo is tracked using various technologies, including GPS, RFID tags, and barcodes, which provide real-time updates on the location and status of the shipment.

Related Terms with Definitions

• Bill of Lading: A legal document issued by a carrier to a shipper, detailing the type, quantity, and destination of the goods being carried.
• Freight Forwarder: A person or company that arranges shipments for individuals or corporations to move goods from the manufacturer to the final point of distribution.
• Intermodal Transportation: The use of multiple modes of transportation (e.g., truck, ship, rail) to move cargo efficiently from origin to destination.
• Supply Chain: A network between a company and its suppliers to produce and distribute a specific product to the final buyer. It encompasses the steps involved in getting a product or service from its original state to the customer.
• Logistics: The detailed coordination and implementation of complex operations involving the movement, storage, and flow of goods, services, and information.

Online References to Online Resources

• World Shipping Council
• International Air Transport Association (IATA)
• Federal Motor Carrier Safety Administration (FMCSA)
• The International Federation of Freight Forwarders Associations (FIATA)
• American Association of Port Authorities (AAPA)

Suggested Books for Further Studies

• “The Logistics and Supply Chain Toolkit: Over 90 Tools for Transport, Warehousing and Inventory Management” by Gwynne Richards and Susan Grinsted
• “Global Supply Chain and Operations Management: A Decision-Oriented Introduction to the Creation of Value” by Dmitry Ivanov, Alexander Tsypkin, and Jörn Schönberger
• “Air Cargo Management: Air Freight and the Global Supply Chain” by Michael Sales
• “The Geography of Transport Systems” by Jean-Paul Rodrigue
• “Maritime Logistics: A Complete Guide to Effective Shipping and Port Management” by Dong-Wook Song and Photis Panayides

Fundamentals of Cargo: Transportation Basics Quiz

Thank you for exploring the intricate world of cargo. Continue expanding your knowledge to excel in the dynamic field of transportation and logistics!