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NACE 60.24 Freight transport by road

NACE 60.24 Freight transport by road. Jakob Holmgaard – Statistics Denmark. Freight transport. Freight transport by road (60.24) Sea and coastal water transport (61.1) Scheduled air transport (62.1) Cargo handling (63.11) Transport via railways (60.10). Freight transport.

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NACE 60.24 Freight transport by road

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  1. NACE 60.24Freight transport by road Jakob Holmgaard – Statistics Denmark

  2. Freight transport Freight transport by road (60.24) Sea and coastal water transport (61.1) Scheduled air transport (62.1) Cargo handling (63.11) Transport via railways (60.10) Freight transport

  3. A simple transport chain model Cargo handling Often a forwarding agent (speditør) is planning and organizing transport of the freight. In other words, he gather price information from shipping companies, railroads, airline companies, make the insurance for the goods etc.

  4. Share of freight transport in DK In dk sea-and coastal water transport is the biggest component in the freight industry. In most other countries it is the freight transport by road, that is the biggest component.

  5. Practice - weights

  6. International trade Opening of formerly closed markets Cheaper transport

  7. Freight transport – family tree

  8. Freight transport by road - Traditionally the companies activities have been concentrated on transport of goods from A to B - Recently, the competition has increased and more and more companies focus on logistic. Fx freight forward, cargo handling, storage and warehousing, courier activities etc.

  9. Freight transport by road

  10. Price mechanisms Price mechanicms for freight transport by road are rather complex The price can depend on: Freight type (container, bulk, animals etc) Distance (short vs long transport) Destination Size/type of vehicle Weight for the freight (kg, liter, unit, m3) Time criteria for the delivery Possibility for return freight Customer status (new or established customer) Domestic or export Price unit (hour, kilometre) Probably the most important

  11. Respondents – open questionnaire - The respondents choose some typical and representative services. • Ideal the description of a service should include all of the parametre mentioned above – high burden • As minimum, the description should fulfill two minimums criteria: • i) The service can be identified by the respondents • ii) The price can be updated regularly

  12. Example of a questionnaire

  13. Weights for haulage transport

  14. Collecting quarterly prices Two basic methods: - Period prices (generally prefered) - Point-in-time (easy for respondent)

  15. Pricing methods • Direct use of prices of repeated services • Time-based method (take longer time if more traffic. Therefore some companies do not charge a price pr. km) • Collected price should exclude taxes but include subsidies and discounts • Include road tax (maut prices) – a cost for the haulage contractors

  16. Specialized transport • Sea-and water transport - a cost which is included in the price

  17. Cost and benefits of alternative pricing methods

  18. The Danish freight transport by road market In 1989 this transport industry got liberalized. Before 1989 one could only be carrier by the favour (mercy) of the State. If you wanted to start a haulage company you had to apply to the State for a given distance. It was the State that granted the carriers their distance (licence).

  19. Overview of the Danish market

  20. Figure

  21. Thank you!

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