The Multimodal Transportation of Goods Act, 1993

The 1993 Multimodal Transportation of Goods Act sets the legal framework for transporting goods from India using multiple modes of transport, ensuring accountability and facilitating international trade.

Ministry of Shipping

The Multimodal Transportation of Goods Act, 1993, was enacted to regulate the increasingly complex field of multimodal transportation, where goods are transported using two or more modes of transport (road, rail, inland waterways, sea, or air) under a single contract. Prior to this Act, there was no unified legal framework in India to govern such transportation, leading to ambiguities and difficulties in determining liability and resolving disputes. The Act aimed to streamline the process, define the responsibilities of multimodal transport operators (MTOs), and provide a clear legal framework for international shipments originating in India. This Act falls under the Ministry of Ports, Shipping and Waterways.

Enactment Date, Number of Chapters, Number of Sections:

The Act was enacted on April 2, 1993, and deemed effective from October 16, 1992. It consists of five chapters and 32 sections.

Act Governed By:

The Act is governed by the Central Government of India, which has the power to appoint competent authorities to oversee the registration of MTOs and to make rules for the Act’s implementation.

On Whom It Is Applicable:

The Act applies to multimodal transport operators (MTOs) engaged in the transportation of goods from any place in India to a place outside India. It also applies to consignors, consignees, and other parties involved in multimodal transport contracts.

Penalties/Punishments:

The Act does not explicitly specify penalties. However, non-compliance with the Act’s provisions, such as operating without registration or failing to issue proper documentation, can lead to legal action and consequences as determined by the courts.

Important Pointers:

  • Requires MTOs to be registered with the competent authority.

  • Defines the contents and evidentiary value of multimodal transport documents.

  • Establishes the liability of the MTO for loss, damage, or delay to goods, subject to certain limitations.

  • Provides for the assessment of compensation for loss or damage.

  • Allows for the resolution of disputes through arbitration.

  • Specifies the jurisdiction for instituting legal action.

Act Copy:

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