Inland Terminals Research Articles

Intermodal freight transport planning – A receding horizon control approach

This paper investigates intermodal freight transport planning problems among deep-sea terminals and inland terminals in hinterland haulage for a horizontally fully integrated intermodal freight transport operator at the tactical container flow level. An intermodal freight transport network (IFTN) model is first developed to capture the key characteristics of intermodal freight transport such as the modality change phenomena at intermodal terminals, physical capacity constraints of the network, time-dependent transport times on freeways, and time schedules for trains and barges. After that, the intermodal freight transport planning problem is formulated as an optimal intermodal container flow control problem from a system and control perspective with the use of the proposed IFTN model. To deal with the dynamic transport demands and dynamic traffic conditions in the IFTN, a receding horizon intermodal container flow control (RIFC) approach is proposed to control and to reassign intermodal container flows in a receding horizon way. This container flow control approach involves solving linear programming problems and is suited for transport planning on large-sized networks. Both an all-or-nothing approach and the proposed RIFC approach are evaluated through simulation studies. Simulation results show the potential of the proposed RIFC approach.

Grasping the reality of integrated supply chain in maritime transport: the role of dry-ports in italy

This paper discusses the reality of integrated supply chain in maritime transport in Italy, focusing the attention on the dry-port concept. The scientific literature is consistent in conceiving dry-ports as strategic entities to enhance sea-ports’ competitiveness. However, the real contribution of dry-ports to the improvement of sea-ports performance is still poorly examined. To concur in filling such a theoretical and empirical gap, the present study shows a brief literature review about the dry-port concept, which pays particular attention to the role of dry-ports in enhancing the effectiveness of the maritime supply chain. Drawing from the findings of this literature review, an exploratory analysis of Italian dry-ports is depicted. This study suggests that the importance of dry-ports in improving both the competitiveness and the attractiveness of Italian sea-ports is widely overlooked. From this standpoint, Port Authorities are incited to consider dry-ports as strategically relevant within their policies and strategies, thus revisiting their traditional managerial approach which mainly neglects the role of inland terminals.

Service network design for an intermodal container network with flexible transit times and the possibility of using subcontracted transport

An intermodal container transportation network is being developed between Rotterdam and several inland terminals in North West Europe: the European Gateway Services (EGS) network. This network is developed and operated by the seaports of Europe Container Terminals (ECT). To use this network cost-efficiently, a centralised planning of the container transportation is required, to be operated by the seaport. In this paper, a new mathematical model is proposed to determine the optimal service schedule between the given network terminals. The model introduces two new features to the intermodal network-planning problem. Firstly, overdue deliveries are penalised instead of prohibited. Secondly, the model combines self-operated and subcontracted slots. The model considers self-operated or subcontracted barge and rail services as well as transport by truck. In a case study of the EGS network, the benefit of using container transportation with intermediate transfers is studied. The results indicate that the propose...

Towards an ‘inland terminal centred’ value proposition

The two main value propositions in international container transport are ‘port-to-port’ services and ‘door-to-door’ services. In port-to-port services, buyers ‘just’ purchase maritime transport from a shipping line. Door-to-door services comprise the total transport chain and include land-based transport. Carriers as well as forwarders offer these door-to-door services. In this paper we provide a qualitative assessment of an emerging third value proposition that is centred around inland terminals (ILTs). Such a value proposition consists of transport up to the ILT, and may have advantages over port-to-port services, such as better leverage of scale economies, better repositioning of empty containers and better alignment with the business model of forwarders. This paper conceptually and empirically explores such a value proposition.

Assessing the intermodal value proposition of shipping lines: Attitudes of shippers and forwarders

Shipping lines generally offer their clients two main value propositions: port-to-port and door-to-door transport. In addition, some shipping lines offer a third value proposition in the form of transport up to inland terminals (ILTs). This third value proposition combines maritime and inland transport and is offered to two types of customers: shippers and forwarders. These two customer groups have different positions in the supply chain. It is therefore expected that shippers and forwarders have different attitudes towards the intermodal value proposition and the service offering of shipping lines in general. In this article we analyse how shippers and forwarders assess the value propositions of shipping through a survey among shippers and forwarders in the Netherlands. We found that shippers and forwarders differ in what they find important in the service offering of shipping lines, that they differ in the share of value propositions they source from the shipping lines and that for both shippers and forwarders the value proposition centred around an ILT is of added value.

Receding Horizon Approach for Container Flow Assignment in Intermodal Freight Transport

Hinterland haulage between major deep-sea ports and the cargoes’ inland origins or destinations has become an important component in modern logistic systems. Intermodal freight transport integrates the use of modalities (e.g., trucks, trains, and barges) during the freight delivery process to improve the efficiency and reliability of hinterland haulage. In this paper, intermodal freight transport is introduced and existing intermodal container (freight) transport planning approaches are presented. Next, a dynamic intermodal transport network (ITN) model developed by the authors in an earlier work is briefly recapitulated. To deal with the dynamic transport demand and the dynamic traffic conditions in the ITN, a so-called receding horizon approach is proposed to address the intermodal container flow assignment problem between deep-sea terminals and inland terminals in hinterland cargo transport. The proposed approach considers the movement of containers as a flow and makes container flow assignment decisions in a receding horizon fashion during the container transport process. At each time step of the process, behavior of the ITN is predicted by using a dynamic ITN model with load-dependent freeway transport times fed with information on the current and estimated transport demands and traffic conditions. To determine container assignments with this model, a nonlinear optimization problem is solved at each time step. Simulation studies for intermodal container flow assignments are conducted by using an all-or-nothing approach and the proposed receding horizon approach.

The role of intermodal transport in port regionalisation

The port regionalisation concept extended earlier spatial models of port development with a focus on institutional relationships governing the complexity of inland connections. The concept accounts for the fact that modern ports operate in an increasingly complex and sophisticated transport and logistics environment, embedded within multi-scalar planning regimes. This paper addresses the role of intermodal transport in port regionalisation by reviewing the literature on the three core aspects of the concept: intermodal terminals, inland logistics and collective action problems.Results reveal that inland terminals developed by landside actors often experience a conflict of strategy with port actors (either port authorities or terminal operators). Port actors have difficulty acting beyond the port perimeter but some port terminal operators have begun to demonstrate successful investments in inland terminals in order to manage their container throughput more strategically. Inland logistics markets tend to be centralised and focus heavily on domestic flows, thus the efficiency of intermodal freight services is challenged by the need to combine port and domestic movements which have different product, route and equipment characteristics. Collective action is an arena where port actors can be influential due to the role of informal networking in managing freight corridors; however, institutional constraints limit their ability to act directly.The findings in this paper elucidate challenges to the ability of ports to control or capture hinterlands through the strategies of integration that the port regionalisation concept proposes. The paper concludes by proposing a research agenda developing from recent institutional adaptations of port actors as a result of these challenges.

Dry Ports and the Extended Gateway Concept: Port-Hinterland Container Network Design Considerations and Models Under the Shipper Perspective

The hinterland distribution of maritime containers from and to seaports has received a great deal of attention lately. Increasing traffic volumes and the introduction of bigger vessels put pressure on marine container terminals and inland transport infrastructure, leading to congestion. Solutions are therefore needed, and the development of dry ports according to the extended gateway concept is a relevant option to reduce congestion and improve the accessibility and connectivity in port-hinterland container networks, thus enhancing the competitiveness of seaports and more generally the cost and service efficiency of production-distribution and logistic supply chains.This paper contains an introduction to key issues in the field of port-hinterland container logistics, with a focus on dry ports, the extended gateway concept, and the demand side of inland container services. The selection of services or service providers, or the routing of containers on multimodal networks is considered as an integral part of managing global production-distribution supply chains. The main considerations underlying the design of port-hinterland container networks under the perspectives of shippers are therefore discussed and a critical review of major optimization models developed by academics is presented. Through the assessment of the current state of research, important issues, challenges and requirements for more comprehensive network design modeling are identified. Shippers evaluate the advantages and drawbacks of alternative hinterland container logistics solutions against their supply chain objectives involving various trade-offs. There is a need for new tools of analysis that incorporate more realistic features, such as regulatory environment, uncertain information, risk modeling, logistic integration, and environmental and social impacts of container distribution operations. In any case, the optimal port-hinterland network configuration from the shippers’ viewpoint is case-specific, depending on factors such as the type of goods, the level of the inventory holding costs, the service levels and pricing structures at marine and inland terminals, the customs procedures and inspection rules, the capacity constraints and the lead times for different operations, and so on.

A GIS-based analysis of the potential for freight villages in Turkey

Over the last decade, significant growth has been realised in the sector of the maritime container traffic in Turkey, but moving freight towards the hinterland by rail is still a major problem. In addition to the liberalisation of the Turkish State Railways and the national development plans towards enhancing transport network, intermodal terminals (freight villages) are also being constructed. Today, private initiatives have started to offer intermodal rail services between seaports and the inland terminals. An initial decision making problem in this setting is about the location of an intermodal terminal. The objective of this paper is to propose a geographic information system (GIS)-based location analysis model to analyse the Turkish intermodal terminal landscape. Taking transport price as the main modal choice variable, the model aims to minimise the total sum of transport prices and visualises the results using GIS maps. The model is used as a policy support tool to highlight intermodal transport potential and to demonstrate a vision on the future development of intermodal transport in Turkey.

Rail and multi-modal transport

This paper elaborates on the definitions of inter and multi-modal transport, as well as their differences in terms of performance. A survey of the barriers, both internal and external, to an efficient intermodal transport is included followed by an analysis of the advantages and disadvantages of combining rail transport with the other transport modes. Transhipment technologies for efficient freight service and some examples of freight rail corridors between sea and inland terminals are presented. The integration between air and rail transport is discussed and the potential synergies between air and high-speed rail services are emphasised. The paper concludes with a discussion on energy use for sustainable rail performance.

Assessment of policy strategies to develop intermodal services: The case of inland terminals in Germany

The welfare effects of two policies that could promote intermodal services, investment grants for terminal operators and the internalisation of external cost are analysed. For this purpose, a market equilibrium model has been developed, covering the dynamic demand and supply interactions of logistics and transport markets. The emergence or closure of terminals is modelled assuming free market entry and exit, and competition by product differentiation. In a first step, analytical results are presented showing that investment grants for terminal operators could have a negative effect on market efficiency due to a massive entry on the market for terminals. In a second step, a hierarchical choice model mapping the decisions of shippers/forwarders in detail is combined with the market equilibrium model. The combined simulation model is applied to German terminals, and different policy packages are analysed. It can be seen that in markets with high volume, the welfare maximizing policy strategy is the internalisation of external cost only. However, in less developed markets, a combination of both, direct subsidies in form of investment grants and internalisation of external cost, could be indicated. Finally, the implications of the results derived from the model and the empirical analysis of transport policy are identified.

A nested logit model of mode choice for inland movement of export shipments: A case study of containerised export cargo from India

Predominance of containerised mode of transport for export of general cargo has influenced the mode choices on the inland segment. Prior to containerisation the general cargo for export moved to ports invariably on road in break bulk form. Growth of containerisation led to development of inland terminals enabling an exporter to obtain export clearance at the inland points. This process facilitated an exporter to move cargo either in break bulk or in containerised form, and as inland terminals facilitated aggregation an exporter could move cargo either by road or rail. Thus containerisation increased the inland transport options for an exporter from one to three. The paper develops discrete choice models in the Indian context for inland movement of containerised export cargo. Primary data was collected from 124 export firms through a structured questionnaire. This data is supplemented with data from transport firms and terminal operators. Using the above data, a nested logit model with rail container and road truck in one branch was found to predict the mode choice behaviour best. Amongst the transport attributes, total cost and total transit time were found to be influencing the mode choices significantly. The study however did not find the effect of reliability and loss and damage significant. In addition, the model also predicts that non transport attributes - like the percentage of letters of credit that materialise with inland way bills and the value of export benefits that materialise after export - are important in the mode choice decision.

More Competitiveness of the Port of Koper Through Supply Chain Integration

With the European Union growing eastwards and with the establishment of important production facilities in the countries of Central and Eastern Europe, the hinterland potential is bound to grow even more. The strategic goal of the Port of Koper is to become one of the best ports in the Southern Europe, to develop from a handling port into a commodity distributional centre. Penetrating and exploiting these markets demands cooperation (integration) with the existing inland terminals (logistic centres) and establishing of new ones positioned between Eastern and Western Europe. This paper aims to present and analyse: (I) supply chains of the flow of goods through the Port of Koper to/from the countries of Central and Eastern Europe, (II) the current state and strategies to optimize the flow of goods, (III) market potential, investments in new terminals and capacities. KEY WORDS: Port of Koper, strategies, goals, supply chains, integration, new terminals, market potential, investments

The extended gate concept for container terminals: Expanding the notion of dry ports

Different firms in multimodal hinterland networks, such as terminal operators, freight forwarders, information service providers, infrastructure managers, shippers and receivers, aim to contribute to a better performance of the overall supply chain. Terminal operators, for instance, are more and more involved in linking sea terminals with inland terminals, or linking terminals with end points in the chain, such as warehouses. Thus, they assume new responsibilities in addition to being a ‘stocking point’. This article addresses a crucial innovation that is currently developing in the hinterland of the main ports of Rotterdam and Amsterdam: Supply chain and transportation network integration by extending the sea terminal gate into the hinterland. The article explores the relationship between the extended gate concept and the better known concept of dry ports. We argue that extended gates, when implemented correctly, can generate substantial benefits in terms of modal shift, logistics performance and regional development. Substantial bottlenecks still exist that hamper the development of extended gates in multimodal transport networks. The article will identify these bottlenecks, and suggest avenues for solutions. The full implementation and adoption of an extended gate network in a port's hinterland will result in a fundamental change in the role of seaports in global supply chains.

Location Analysis for Dry Ports Based on FCM

This paper deals with the problem of optimally locating dry ports for seaport. Evaluation system for dry port location decision is established and FCM is applied to solve the problem. The model is used to select optimal location for inland terminals of port Tianjin in China. It is shown that among the direct hinterland of the seaport, Beijing is most suitable for operating dry port, there are also eight inland cities as alternatives. According to the result comparison, industry transfer and relevant policy tendency should also be considered when make the dry port location decision.

Corridor network design in hinterland transportation systems

In this paper the design of the service network in intermodal barge transport is studied. The network of inland barge terminals is modelled to demonstrate potential cooperations in a corridor network. Cooperation between inland terminals leads to bundling of freight flows in the hinterland of major ports. A service network design model for intermodal barge transport is developed and applied to the hinterland network of the port of Antwerp in Belgium. Selected cooperation schemes are simulated by means of a discrete event simulation model for intermodal barge transport and compared with simulation results of bundling in the port area. Cooperation between inland terminals offers an opportunity to attain economies of scale, but may not be perceived as a sole solution for reducing waiting times of inland barges at sea terminals. A combination of bundling measures in the port area and in the hinterland may be necessary to improve the intermodal transport chain.

The role of inland terminal development in the hinterland access strategies of Spanish ports

The aim of this paper is to understand how inland terminals are developed in relation both to ports and to other inland terminals within a national system. The paper builds on previous work developing inland terminal taxonomies and applies them to the Spanish case, with supplementary focus on the relations between the “dry port” and “extended gate” concepts. Theoretical contributions include both the importance of development direction (land-driven vs sea-driven) and the identification of an emerging spatial disparity in port development strategies between coastal and inland nodes. In Spain, ports retain an interest in inland terminals through minority shareholdings but they are not the primary investors. The principal ports using Spanish inland terminals are Barcelona and Valencia, both of which are also developing logistics zones within their ports. Furthermore, while the ports are developing closer IT links with these inland locations, this does not necessarily indicate greater than normal levels of cooperation. A study of the Spanish system thus raises questions about whether the increasing academic focus on “dry ports” actually signals any change in strategies of port development or intermodal terminal operation. Therefore the final aim of this paper is to question the use of the “dry port” terminology.

Hinterland strategies of port authorities: A case study of the port of Barcelona

Port authorities generally focus on the development of the local port area and play a minor role in the development of port hinterlands, whereas shippers, forwarders, barge and rail operators have always been involved in the port-hinterland connection. The increasing importance of intermodal hinterland networks for the competitive position of ports has urged port authorities to become active in the hinterland. This new role has already been suggested by different academics. However, limited empirical evidence exists of port authorities taking stakes in inland terminals or developing transport services. Barcelona, as one of the leading port authorities in this respect, is used as a case study in this paper. The case study provides insight in the components and execution of the hinterland strategy of Barcelona. It shows that the strategy of the port authority of Barcelona and the consequent active involvement in the hinterland has had a significant impact on attracting container volumes from distant hinterlands and improving the accessibility of the port.

Vehicle routing in containers pickup up and delivery processes

The routing problems studied here arise in ISO container distribution and collecting processes, in regions which are oriented to container sea ports or inland terminals. Containers of different sizes, but mostly 20ft, and 40ft empty and/or loaded should be delivered to, or collected from the customers. Therefore, the problem studied here is closely related to the vehicle routing problem with backhauls (VRPB) that finds an optimal set of orders (or routes) visiting deliveries (linehauls) and pickups (backhauls). The specificity of the routing problem analyzed here lies in the fact that a truck may simultaneously carry one 40ft, or two 20ft containers, using an appropriate trailer type. This means that in one route two, three or four nodes, can be visited, which is equivalent to the problem of matching pickup and delivery nodes in single routes which provide a total travel distance shorter than in the case when nodes are visited separately. In this paper we formulate the problem of matching customer nodes in the container distribution and collecting processes as multiple matching IP, and for the problems of larger sizes we propose a heuristic approach based on matching utilities. The both of proposed approaches are tested on numerical examples.

Dynamics of Russian dry ports

The transportation of cargos in containers has been intensively developing over the last decades. The world pace of growth in container transport is about 11% annually while in the Russian Federation from 2003 to 2007 the average growth was 21%. Container transportation is going to increase due to the construction of huge infrastructure projects for the Winter Olympics games in Sochi 2014, which implies the transportation of the required material flow. Foreign car assembly on Russian territory is developing, supplied by component parts delivered from Japan and the Republic of Korea, as well as from China that now bring 21.3% import container transport to Russia. About 60% of Russian container traffic passes through seaports Saint Petersburg, Novorossiysk and Vladivostok. The scenarios for increasing capacity to meet demands ahead are enhancing the productivity of seaports sites or leading to the creation of terminals in the hinterland. Although the phenomenon of dry ports is spread all over the world, in Russia none of the seaports has sufficient number of these facilities. The inland terminals of Russian seaports will be analysed from a dry port perspective. Despite the impediments, there are ecological and economical benefits that are discussed in the article. The advantages to the transport chain suggest that dry ports are a promising area for Russian seaports’ welfare.