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Transport BST

Transportation facilitates trade by moving goods from production locations to consumption locations. It encourages specialization and breaks down distance barriers. Various modes of transportation like roads, railways, shipping and airplanes have expanded the scope of trade to include global transactions. Transportation is fundamental to economic activity as it is required to move goods and services from producers to consumers. Changes in transport costs and performance can significantly impact dependent economic activities.

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0% found this document useful (0 votes)
50 views8 pages

Transport BST

Transportation facilitates trade by moving goods from production locations to consumption locations. It encourages specialization and breaks down distance barriers. Various modes of transportation like roads, railways, shipping and airplanes have expanded the scope of trade to include global transactions. Transportation is fundamental to economic activity as it is required to move goods and services from producers to consumers. Changes in transport costs and performance can significantly impact dependent economic activities.

Uploaded by

Aditi Dotiya
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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The transportation of goods and people from one location to another is known

as transport. It facilitates trade by assembling and distributing items—products


are manufactured in one location and consumed in another. Consumers can
access a wide variety of things at low prices through transportation, which
encourages the specialisation of business operations, breaks down distance
barriers, and generates location usefulness. Furthermore, it broadens the
market and aids in price neutralisation in numerous regions. As a result, items
are distributed more fairly across vast distances.
Furthermore, speedy and low-cost forms of transportation, such as railroads,
highways, aeroplanes, and shipping, have broadened the scope of trade to
include global transactions. We will study various modes of transport, taaS, and
its relationship to business and the economy in this project.

Transportation provides market accessibility by linking producers and


consumers so that transactions can occur. Transportation is an economic factor
of production of goods and services, implying that it is fundamental in their
generation, even if it accounts for a small share of input costs. This means that
irrespective of the cost, an activity cannot take place without the
transportation factor and the mobility it provides. Thus, relatively small
transport costs, capacity, and performance changes can substantially impact
dependent economic activities.

https://www.geeksforgeeks.org/trade-and-auxiliaries-to-trade/

Transport is the act of moving items from one location to another. We are
aware that manufacturing occurs in a number of locations, but other locations
are needed for consumption. By using transit methods like the road, rail, etc.,
the obstruction of the location is removed. Transport facilitates the
transportation of completed goods from factories to consuming locations as
well as the transfer of raw materials to the site of production. By allowing the
passage of goods, ideas, and concepts from one place to another,
transportation contributes to the growth and development of trade and
commerce. The economy depends on commerce from a hamlet to a global
market, and trade requires transportation. Through transportation, people
move from one place to another, and as a result, trade and industry expand.

https://commerceatease.com/transportation/
Transportation on Land
India has used trails and unmetalled roadways for transportation since ancient
times. As economic and technological growth grew, metalled highways and
railroads were built to transport massive amounts of people and products.
Transport via Road
India has one of the second-largest road networks in the world, with more than
56 lakh km in length overall. For the purposes of construction and
maintenance, roads are categorised as National Highways (NH), State Highways
(SH), Major District Roads (MD), and Rural Roads (RR).
NH: National Highways
The primary roads that the Central Government constructs and maintains are
called National Highways. These routes are designed to facilitate interstate
travel as well as the movement of defence personnel and equipment in
strategic areas. These connect major cities, ports, state capitals, railway links,
and other locations. India's National Highways Authority (NHAI) is in charge of
planning, building, and running the nation's highways.

Highways of the State


These are made and maintained by state governments. They link state capitals,
district administrative centres, and other big cities. 4% of the nation's total
road mileage is made up of these routes.
Principal District Roads (MD)
The District Headquarters and the other significant nodes in the district are
connected by these routes. 14 percent of the nation's total road mileage is
made up of them.
Rural Roads (RR)
They are vital for tying rural communities together. About 80% of the length of
all roads in India is made up of rural roads. Due to the influence of the
topography, the density of rural roads varies by area.
Border Highways
In order to promote economic growth and improve defence readiness, the
Border Road Organisation (BRO) was established in May 1960. Its mission is to
upgrade strategically important roads along the country's northern and north-
eastern borders as quickly and cooperatively as possible.BRO also removes
snow in high-altitude regions.
Transport by Rail
When a 34-kilometer-long line between Bombay and Thane was constructed in
1853, the Indian Railway was officially founded. Indian Railways is the largest
government corporation in the nation. The Indian Railways network was 66,030
km long. A centralised rail administration system is severely strained by its
enormous scale. Additionally, steam engines have mostly been replaced by
diesel and electric engines. Both the speed and the hauling capacity were
increased by this action. The environment at the stations has also improved
with the removal of coal-powered steam engines. The metropolitan transport
networks of Delhi and Kolkata have been changed by metro rail.

Pipelines and oil


The most practical and economical method for transporting liquids and gases
over long distances is through pipelines. Solids can also be transported via
pipes after being turned into a slurry. Crude oil and natural gas are discovered,
produced, and transported by Oil India Limited (OIL), a division of the Ministry
of Petroleum and Natural Gas. In 1959, it became a company. The Naharkatiya
oilfield in Assam and the Barauni refinery in Bihar are connected by OIL's
1,157-kilometer-long pipeline, which is the first cross-country pipeline in Asia.
Transport via Water
Waterways are a vital component of India's transport system for both
commercial and passenger travel. It is the most affordable kind of
transportation and is ideal for moving big, heavy objects. It is an ecologically
friendly and fuel-efficient mode of transportation. There are two categories of
water transportation: inland waterways and maritime waterways.

Interior waterways
It was the main mode of transportation before the advent of railways. In
addition, rivers were rendered impassable for large portions of their courses
due to water diverted for agricultural purposes. India has 14,500 km of
navigable rivers, which make up around 1% of the nation's total transportation
distance. Rivers, canals, backwaters, streams, and other waterways are all part
of it.
Coastal waterways
The 7,517-kilometer-long coastline of India includes islands. Infrastructure-
wise, 185 minor and 12 larger ports serve as support for these routes. Oceanic
routes are essential to India's transport sector's economy. By volume and value,
marine channels handle around 95% and 70%, respectively, of India's
international trade. In addition, these are used for travel inside the nation and
between the islands.

Transportation via Air


The quickest means of transportation between two locations is via air. By
shortening travel times, it has decreased distances. It is essential in a large
nation like India where geography and climate are very variable and distances
are enormous. India's national airline is Air India. Today, a large number of
private companies provide passenger transport. Air India provides both
passenger and cargo international air transportation services. It connects every
continent in the world with its services. A few private businesses have also
started operating in other countries. A total of 23 lakh metric tonnes of freight
and 520.21 lakh people were involved in domestic transportation in 2010.
https://prepp.in/news/e-492-transport-communication-and-trade-in-india-
geography-notes

TaaS (transport as a service)


Owning a car has always been a sign of prestige, as far back as anybody can
remember. It has been regarded as a symbol of both independence and
financial security. However, as society advanced, so did the difficulties
associated with car ownership. Automobiles have a significant role in the
deteriorating air quality, and their purchase and maintenance prices are
through the roof. This is where TaaS, or transport as a service, enters the
picture. With the implementation of TaaS, there will be a substantial increase in
the use of public transport and a drop in automobile ownership.
TaaS, or transportation as a service, is the term for the widespread transition
away from owning personal automobiles and towards the use of public
transportation, rental car agencies (such as Zoom Car and Avis India), and for-
profit ridesharing services (like Uber, Ola, and BluSmart). The Centre for
Science & Environment (CSE) conducted a research in 2019 that found that the
typical Indian automobile is parked 95% of the time. The following advantages
might result from using TaaS because driving time is under 5% of the total time:

 lowering the amount of land wasted by parking lots


 cancellation of parking charges
 reducing the cost of car maintenance
 lessening of environmental stress
Many individuals utilise transport as a service to cut down on commute time in
addition to saving money. If you don't have to drive the entire commute, you
can spend your time doing other things. You may spend time with your family
when you come home. You may read a book, practise your favourite pastime,
or learn a new language on your commute.
https://loconav.com/blog/transportation-as-a-service/

The critical role transportation in business and economy


One of the most important economic operations for a firm is transportation.
Transport connects a business to its suppliers and consumers by transporting
things from the places where they are sourced to the places where they are
needed. It supports the financial benefits of place and time and is a crucial
logistics function activity. Place utility suggests that customers have access to
the product where they are looking for it. Customers should have access to
products when they need them, according to time utility. Transportation
experts try to make sure that the company has merchandise accessible where
and when consumers need it by working closely with inventory planners.
Sometimes a company's inability to provide quality customer service might be
attributed to transportation issues. Service issues and complaints may result
from late deliveries. Additionally, products may get damaged in transportation,
or delivery locations may receive the incorrect items loaded by warehouse
staff. Customers may become irritated by such over, short, or damaged (OS&D)
shipments and decide to make future purchases from a rival as a result.
However, when a corporation consistently delivers goods that are complete
and undamaged, this can inspire consumer trust and increase sales. Customers
may be less likely to give in to competitors' attempts to steal their business
with deft promotions and price cuts when a firm instils trust in the execution of
its services.
In addition to its effects on services, transportation may be a significant
expense for the company. Depending on the costs involved in providing
transportation for a customer's order, the cost of transportation might
occasionally decide whether a customer transaction results in a profit or a loss
for the firm. In general, faster forms of transportation are more expensive than
slower ones. Therefore, even if sending an order abroad by plane is quicker
than by ship, the cost may be up to 20 times higher. The use of the quicker
method of carrying the products might not be justified by such a cost
difference. Consequently, while deciding whether to transfer products and how
to move products in the most efficient way, supply chain managers must
carefully evaluate the cost of carrying items.
In order to fulfil consumer demands, supply chain management's logistics
function organises, executes, and regulates the efficient, effective forward and
reverse movement and storage of products, services, and associated
information from the point of origin to the site of consumption.
The acquisition of supplies and products from supplier locations is referred to
as inbound logistics. Distribution of supplies and products to client locations is
referred to as outbound logistics. As a result, both the inbound and outward
sides of the company require transportation.
The term "logistics" is used to describe both the forward flow and storage of
commodities, services, and associated information.
Sometimes the flow of inventory is the opposite. Reverse logistics is the phrase
used to describe "the role of logistics in product returns, source reduction,
recycling, materials substitution, reuse of materials, waste disposal, and
refurbishing, repair, and remanufacturing."2 Transportation thereby transports
reusable and recyclable content to businesses that may utilise it in addition to
delivering materials and goods to customers. (Picture paste)
https://www.informit.com/articles/article.aspx?p=2171313#:~:text=Inbound
%20logistics%20involves%20the%20procurement,outbound%20sides%20of
%20the%20business.
https://www.designboom.com/technology/top-10-public-transportation-
stories-of-2016-12-18-2016/

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