Water Transport
-Capacity to move extremely large shipments.
-Fixed costs are somewhere between rail and motor carriers.
-Though water carriers have to develop and operate their own terminals, the right-of-way is developed and maintained by the government, resulting into moderate fixed costs compared to rail and highways.
-Low variable cost makes this an attractive mode when low freight rates are desired and speed is secondary consideration.
-Typically bulk commodities such as mining , chemicals, cement, and certain selected agricultural products are transported by ocean going vessel.
Unless the point of origin and point of destination are adjacent to a waterway, it needs to be supplemented by rail or trucks.
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