UNIT 2. SHIPPING

1. Read and translate the text:

Shipping together with other means of transport services the branches of economics in sphere of production and commodity circulation. Since natural resources and industrial production are allocated unevenly on the Earth, shipping is a necessary condition of stability and economic development.

Shipping doesn’t create material product, like agriculture, which produces wheat. This product can be exchanged for money or other goods. However, shipping creates the cost in consequence of a shifting the goods from the areas of production to the areas of consumption, where they can be exchanged for money. For example, iron ore, which is in deposits in tropical jungles, has no any practical value. But iron ore delivered to the areas of steel-melting plants gets customer cost.

Shipping is a branch of manufacturing, which provides the society with transport services and ensures needs in transportation. Organization of shipping operation must correspond to conditions of transshipment taking its source from peculiarities of international marine trade. Shippers require not only transportation of goods on particular line, but regular service of reliable voyages according to the firm schedule. Shipowner must meet these requirements, especially as to reliable regular service, since only this quality permits the consumers to get maximum profit from shipping.

Exporters and importers usually do business under terms of supplies agreed before being sure in due delivery of goods. Actually, some commercial enterprises couldn’t be in position to keep in stock a large amount of goods subject to deterioration inevitable while irregular supplies. They objectively depend on regular supply of comparatively small consignments of goods, delivered by the ships at particular intervals.

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