Multimodalism - Definition and Concept

A global scenario is developing whereby:

a) production, manufacturing, distribution and consumption is becoming increasingly sophisticated in order to ensure products are available in the global market place at the correct time, for the correct price and in good condition.

b) transport services are changing in nature to meet the demands of buyers and sellers involved in the global production and consumption cycle.

c) transportation services demanded by buyers and sellers increasingly involve collection of goods at a place in one country for delivery to a place in another country within specified time frames and with contractual agreement clearly setting out areas of responsibilities and liability.

d) results of containerization.

e) new technologies in transport (including communication systems).

The name commonly applied to this all embracing transport service is Multimodal Transport.

What is Multimodal Transport?

The United Nations Convention on International Multimodal Transport of Goods (the MT Convention) defines multimodal transport as: "...the carriage of goods by at least two different modes of transport on the basis of multimodal transport contract from a place in one country at which the goods are taken in charge by the multimodal transport operator to a place designated for delivery situated in a different country."

This definition cover what today is generally meant by multimodal transportation.

What is Multimodal Transport Operator?

According to the definition set in the MT Convention, a Multimodal Transport Operator (MTO) is: "...any persons who on his own behalf or through another person who is acting on his behalf concludes a multimodal transport contract and who acts as a principal not as an agent or on behalf of the consignor or of the carriers participating in the multimodal transport operations and who assumes responsibilities for the performance of the contract."

This is the strict legal meaning under the MT Convention but there is a wider, more definition which says that one who undertakes to arrange door-to-door transport using more than one mode of transport and who issues one transport document for the entire transport is a MTO.

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