Inland, Arbitrary Calculation Logic Issues

These issues were covered in a meeting between Product and Support. Here are five exmples of calculation issues we are seeing.

• Globerunner

Core Issue: Two sets of constructed inlands are given by carrier, but only one should calculate depending on the rate condition.

This is common to MSC USA export contracts.

The contract will have sections of rates based on trade which can have inland costs defined in that section. MSC also provides a tab of global inlands that can apply to all trades. The logic is that if the trade section has an inland cost defined, that cost should apply or take precedence over the general global inland cost.

It has come up that the trade specific inland cost is higher than the global inland cost, and the lower cost rate would not be valid to quote.

We do have some options to restrict inlands based on commodity name and trade lane but these options are not powerful enough to apply the limitations needed.

The example contract has 174 commodities and 28 excel tabs of base rates. There are too many commodities to manage for that restriction. Using trade lanes is also not workable. The trade lane CARIB is used across 7 trade sections. Some trade sections may not be able to use an inland because one was defined on its tab, but other trade sections would be able to use the same inland.

• LVO

If there is a direct rate already, don’t calculate a rate using an arbitrary. This is a common thing in TPEB. East Asia base ports have arbs over themselves. Pusan over Shangai arb but there is already a direct Pusan rate.

Meeting note: An idea that this could be accomodated by a new search toggle.

• ProExport

Also, BDP, TMX, OLUSA, Ocean Blue, Steam, SAC, CVI, GBW, RULE, PGl, SEKO

ONE USA Export

Core problem: Contracts state through rates take precedence over constructed rates. We need an hierarchy of rate calculation.

Contract Language referring to tariff language

Per tariff ONEY-202 rule 203, other restrictions notwithstanding, in the event that a specific IPI through rate and an arbitrary plus base rate level for the same commodity can be constructed, the IPI through rate shall take precedence.

• ONE in Q4 24 TPEB contracts had some Asia OARBs with 2 to 3 dozen options based on services.

Examples: RIM and GBW

Core issue: ONE Line contracts are giving dozens of or Asia arbitrary options base on service for the same location. This slows down search and floods RMS search results that have limited use.

• ZIM TPEB has OARBs based on service and POD which we handle by trade lanes.

Core Issue: We are using trade lanes to limit arbitrary calculation (Example, USEC1, USEC2, and so on. Trade lanes effect how FT works and is dangerous work around to use.

Meeting Thought: Create a custom link for linking Arbs to base rates.