THE RISK MANAGEMENT ON NON-VESSEL OPERATING COMMON CARRIER

NVOCCs are governed by the Shipbuilding and Observing Common Carrier Act of 1984. This bill was proposed in the 98th US Congress with the goal of improving and growing the nation's international water transportation system. An NVOCC's success can be determined by a variety of factors, including as customer support, competitive pricing, transit times, cargo tracking capabilities, and overall efficiency. NVOCC (NON-VESSEL OPERATING COMMON CARRIER) is a crucial component of maritime transportation for the import and export of products. NVOCC acts as an intermediary for companies that are small and medium-sized. NVOCC leases or rents space in containers from large shippers and freight forwarders, and then sells that space to smaller shippers. While the majority of NVOCC do not own a warehouse, many do own a fleet of containers.
They may also use outside contractors to do jobs like cleaning and repairing containers, and they may offer services like deconsolidation and freight consolidation. To ascertain the primary risk related to the management of NVOCC carrier partnerships Diversification as an act NVOCCs should collaborate with a variety of carriers to reduce the chance of variable freight prices and a shortage of vessel space.
By distributing the risk among several carriers, this diversification enables flexibility in procuring space during peak periods or outages. In addition to discussing the NVOCC's performance, this project focuses on its problems and inadequacies. The responses received indicate that the company's services are adequate.