Multimodal Transportation In India

825 Words4 Pages
population, large domestic demand, globally competitive firm and rising investment rates. Since the 1990s, the Indian transportation sector has undergone a significant change and it required to opt for an efficacious transport system uniformly. Soon the concept of Multimodal Transport system came into existence which is a door-to-door movement of goods under the responsibility of a single operator. MULTIMODAL TRANSPORT Multimodal transport system can be easily understood as “the chain which connects different modes of transport into one complete process thereby ensuring efficient and cost effective door-to-door movement of goods under the control or ownership of one single transport operator known as Multimodal Transport Operator (MTO),…show more content…
Consequently, the Government of India enacted “Multimodal Transportation of Goods Act, 1993.” This Act laid down the provisions for the registration of MTOs and makes it mandatory that only a person registered as MTO under this Act can carry a Multimodal transportation. The Competent Authority to perform various function as provided under the Act including that of registration of MTOs is done by the Director General of Shipping. Section 3(4) of the Act lays down that MTOs registration shall be done for a period of three years which may be renewed from time to time for a further period of three…show more content…
Section-3, 4, 5 & 6 of Multi-Modal Transportation of Goods Act deal with the law regulating various aspects such as registration, cancellation and appeal against such registration or cancellation of registration of multi-modal transport operator. The criteria to be fulfilled for being registered as a multi-modal transport operator are as follows: • The applicant should be a company, firm or proprietary concern. • If the Applicant is engaged either in the business of shipping or freight forwarding in India or abroad, it must have a minimum annual turnover of Rs. 50 Lakhs, during the immediately preceding financial year or must have an annual average turnover of Rs. 50 Lakh, during the preceding three financial years. However, the same needs to be certified by a Chartered Accountant. [In case the applicant is not from India, the turnover may be certified by any authority competent to certify the accounts of a company of that
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