Key Transport Terms Sample Contracts
Box 10.2: Key transport termsKey Transport Terms • September 18th, 2015
Cabotage: the transportation of goods or passengers wholly within the territory of one country by lorries, vessels or aircraft owned by nationals of another country. Restrictions on cabotage were operative in the road haulage, short sea shipping, inland waterway and aviation sectors until the SEM campaign succeeded in lifting such restrictions. A limited agreement on reducing road haulage cabotage restrictions was reached in 1989 and established the principle of ending cabotage constraints. This agreement paved the way for full cabotage liberalisation, not only in road haulage but also in other sectors - a central factor in the opening of transport markets to competition.