Manual on Statistics of International Trade in Services

Freight services
may be divided into four 
categories. The first two are related to the fact that in an 
economy’s balance of payments statistics, following 
BPM5, goods are valued free on board (f.o.b.)
45
at the 
customs frontier of the exporting economy, and thus 
freight charges are, by convention, borne by the 
importing economy (whether or not these are directly 
charged to the importer or included in the import price). 
The first category relates to international transportation 
of the compiling economy’s exports and imports of 
goods; included are transportation services provided by 
(a) resident operators, beyond the customs frontier of the 
45
For a fuller discussion of valuation f.o.b., see BPM5, paras. 
219 - 229. 
compiling economy, on the compiling economy’s 
exports (credits), and (b) non-resident operators, beyond 
the customs frontier of the exporting economy, on the 
compiling economy’s imports (debits). 
3.68. The second category of 
freight
transportation is 
transport services provided by (a) resident operators of 
the compiling economy inside the customs frontier of 
the exporting economy, on the compiling economy’s 
imports (credits), and (b) operators not resident in the 
compiling economy, inside the customs frontier of the 
compiling economy, on the compiling economy’s 
exports (debits).
3.69. The third category is concerned with 
freight
transportation supplied for goods that are not exports or 
imports of the compiling economy, but rather are (a) 
transit trade through an economy, (b) transport of goods 
between third economies (cross-trade), (c) coastal 
transportation or other transportation of goods between 
points within an economy, (d) movements of goods to or 
from entities located outside territories where the entities 
are residents (such as government agencies) provided by 
non-resident carriers, and (e) transport of mail for postal 
and courier services. This category comprises 
transportation services provided by resident operators 
for these goods when they are owned by non-residents 
(credit) and by non-resident operators on these goods 
when they are owned by residents of the compiling 
economy (debit).
3.70. The fourth group consists of rentals (or 
operational leases) provided by residents to non-
residents, and vice versa, of vessels, aircraft, freight cars 
or other commercial vehicles with crews for limited 
periods (such as a single voyage) for the carriage of 
freight. Also included are towing related to the 
transportation of drilling platforms, floating cranes and 
dredges. Financial leases and time charters without crew 
are excluded.
3.71. Those services that are not covered above and 
that relate to one mode of transport only are recorded 
under the 
other
category for the appropriate mode of 
transport (sea, air, rail, road and inland waterway 
transport). Services that relate to more than one mode of 
transport and that cannot be allocated to individual 
modes of transport are recorded under