Trade, Transport and International
Logistics: The role of trade facilitation
Jan.Hoffmann@UNCTAD.org
Geneva, November 2012
.
Trade, Transport, Logistics and
Technologies: An Introduction
1)
2)
3)
4)
Globalization
Role of transport
Role of logistics
Role of trade facilitation
Trade, Transport, Logistics and
Technologies: An Introduction
1)
2)
3)
4)
Globalization
Role of transport
Role of logistics
Role of trade facilitation
Globalization of trade
What is meant by “Globalization” of trade?
• Global production, with increased trade in
components and unfinished products
Globalization of trade
Globalization of trade
What are the causes of Globalization?
• Trade liberalization
• Telematics
• Standardization
• Transport and Logistics
-10
-15
-5
Exports = 2.5 GDP – 3
2010
09
08
07
06
05
04
03
02
01
2000
99
98
97
96
95
94
93
92
91
1990
89
88
87
86
85
84
83
82
81
1980
79
78
77
76
75
74
73
72
1971
Elasticity Trade/GDP
15
per cent annual growth
10
Exports
5
GDP
0
Trade grows faster than GDP
Source: data from UNCTAD and from WTO
For a country’s GDP to grow e.g. 5%,
trade “needs” to grow 7 – 12%
Traditional “Geography of Trade”
• Transportation of all kinds of
commodities for industrial processing
(South -> North)
Traditional “Geography of Trade”
• Transportation of all kinds of
commodities for industrial processing
(South -> North)
• Exchange of industrial products for
consumption
(North <-> North; and North -> South)
• Supplies of parts and components for
industrial production
(North <-> North)
The emergence
of the emerging economies
Source: UNCTAD, Review of Maritime Transport, 2012 (forthcoming)
The emergence
of the emerging economies
Old Scenario:
Developing countries exported
large volumes of raw materials
and imported high value (low
volume) manufactured goods
Source: UNCTAD, Review of Maritime Transport, 2012 (forthcoming)
The emergence
of the emerging economies
Today’s Scenario:
Developing countries participate
in globalized production.
They also import raw materials
and also export manufactured
goods
Source: UNCTAD, Review of Maritime Transport, 2012 (forthcoming)
Trade, Transport, Logistics and
Technologies: An Introduction
1)
2)
3)
4)
Globalization
Role of transport
Role of logistics
Role of trade facilitation
Mode of transport of global trade ?
metric tons (excluding intra-EU)
8,000,000,000
Mode of transport of global trade
metric tons (excluding intra-EU)
7,000,000,000
air
0.27%
6,000,000,000
lan d
10.17%
5,000,000,000
sea
89.56%
4,000,000,000
3,000,000,000
2,000,000,000
1,000,000,000
0
2000
2001
2002
2003
2004
2005
2006
Source: Global Insight
Mode of transport of global trade ?
USD (excluding intra-EU)
Source: Global Insight
9,000,000,000
Mode of transport of global trade
USD (excluding intra-EU)
8,000,000,000
air
14.09%
7,000,000,000
lan d
15.84%
6,000,000,000
sea
5,000,000,000
70.07%
4,000,000,000
3,000,000,000
2,000,000,000
64.48%
1,000,000,000
0
2000
2001
2002
2003
2004
2005
2006
Source: Global Insight
Globalization and
international transport
• Example: You want to buy
a car “made in Mexico”.
• Today: is its transport from Mexico to
Geneva more or less expensive than 20
years ago?
Globalization and
international transport
• Less expensive
• BUT: You pay MORE for “transport”
then 20 years ago. Why?
Trade, Transport and International
Logistics: An Introduction
1)
2)
3)
4)
Globalization
Role of transport
Role of logistics
Role of trade facilitation
Logistics in the supply chain
Pr o d u ctio n
Supply Chain
G lo b a liz a tio n
o f p r o d u ctio n
Ju st- I n - Tim e
LO G I STI CS O PTI O N S
Logistics
Transport
I n v e n to r y
Tr a n sp o r t
Sp a tia l o r g a n iz a tio n
o f co lle ctio n a n d
d istr ib u tio n ce n tr e s
Source: “logistics management”, IML, Lausanne
Logistics Expenditure in the United States
CSCM – State of Logistics Report 2010
Trade, Transport, Logistics and
Technologies: An Introduction
1)
2)
3)
4)
Globalization
Role of transport
Role of logistics
Role of trade facilitation
Examples of technologies ?
International seaborne trade for selected years
index of major commodities
Source: UNCTAD Review of Maritime Transport, 2011
Anytime:
day and night operations
Anywhere:
e.g. Tierra del Fuego in Chile
… the world’s driest desert
…Beirut
… Luanda
…Bangkok
Guayaquil
… Hamburg (daytime)
… Bandar Abas
…Suez Canal
…Panama Canal
Lima
…Maldives
… France
Anyhow:
intermodal
… into Burkina Faso
… Mekong River
Zambia
… into Zambia
Anything:
Anything:
The United Nations
Anything:
e.g. port library in Rio de Janeiro
Technologies in international logistics
30 years ago:
Today:
Containerization Telematics
Information
Intercambioexchange
de datos
Automatización
Automation
Fuente: Michael Schwank, TOC Americas, 2004
[New] technologies can help…
+ Planning for cargo handling operations
+ Organizing onward transport
+ Improving cargo security
+ Tracing the status and location of cargo
+ Data exchange
+ Preparing transport documents
+ Customs clearance
+…
= trade facilitation
Trade, Transport, Logistics and
Technologies: An Introduction
1)
2)
3)
4)
Globalization
Role of transport
Role of logistics
Role of trade facilitation