Explain why certain types of environmental pollution Assignment

Explain why certain types of environmental pollution Assignment Words: 794

As such and to begin with our study, It is recommended that we need to first revisit some of the salient and prerequisite overview of shipping before we move on to having detailed review and study of shipping finance In subsequent modules In view of the facts that: the overview to be gone through In this module Is closely related to and specifically associated with shipping finance, and most Importantly, contents of this module are ongoing to be mentioned and re-examined again In subsequent modules concerning sloping finance For our study, this module Intends to cover the following major topics and areas:- A.

The four shipping markets, B. The sea transport system (or the economic model of sea transports C. The shipping market cycle, D. Ship registration, E. One-ship company and Mare injunction, F. Maritime lien, G. Merger and acquisition in the shipping industry, and H. Ship investment strategy and criteria. As a start of this module, it is widely noted that the central role of shipping offers sea rainspout to facilitate global trade and promote economic development.

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In addition, the shipping industry is an integral part of the international trading system and its core function is to facilitate international trade through connecting the sources of supply and demand for commodities. Indeed, shipping, trade and economic development all go hand in hand: it is estimated that over 95% of international trade In terms of volume is carried out through shipping, and over the past decades, shipping has developed into a high profile industry which has become a riving force for the creation of wealth in the world and well being of the people.

Module 1 – Overview of Shipping and Shipping Finance Page 2 Shipping Is essential to the functioning of the global economy and Its dependence upon moving goods from production to consumption sites. Raw materials and finished goods have been the mall cargoes in international trade. In later decades, trade In Intermediate goods for further processing has grown steeply and In parallel with the so-called fragmentation of production processes. Fragmentation Implies that the production recess Is split Into several geographically different locations so that each component Is produced where the production costs are most favorable.

Trade In these components constitutes an important share of seaborne trade. World seaborne trade rises with economic growth. The development of world gross domestic product (GAP) and the seaborne cargo flows show this. Fragmentation and specialization further increase the volume traded relative to the production volume. Furthermore, shipping with the world economy, exploring and exploiting the ebb and flow of trade. Today, it as become a tightly knit global business community, built on communications and free trade.

Henceforth, when studying shipping and its relevant topics (shipping finance is one of the most important topics of shipping), one must bear in mind that there is a close link between shipping, international trade and economic development since the demand for sea transport is well-driven by international trade and economic development (regional or global) – based on which the up-and-down of the shipping business is by and large in line with the movement of international read and development of global economies.

Diagrams 1 and 2 below displays the relationship between world GAP cycles, volume of the sea trade COED industrial production, and the most important influence on demand for sea transport is largely the world economy (which also drives international trade): A.

The Four Shipping Markets The international shipping industry can be divided into and sea transport services are provided by four closely related shipping markets, each trading in a different commodity: the freight market trades sea transport, where the ship-owner charters he ships and concludes freight agreements, the sale and purchase market trades second-hand ships, where the ship-owner trades (buys or sells) the ships, the unbinding market trades unbinding and new ships, where the ship-owner orders the unbinding of the ships from the shipyard, and the demolition market deals in ships for scrapping, where the ship-owner finally sells the ships for scrapping.

International trade and economic development Demand and supply of shipping Demand and supply of shipping finance The four shipping markets Shipping market cycles Shipping investment strategy and criteria freight market sale and purchase market unbinding market demolition market Demand and supply of sea transport Module 1 – Overview of Shipping and Shipping Finance Page 5 These four markets are somehow linked by cash flow and push the market traders in the direction they prefer and want. In addition, because the same ship-owner may be trading in all four markets, their activities and the relationship with cash flow are closely correlated and can be summarized in Diagram 4:

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