According to the World Trade Organization, world trade has increased over 26% since 2008. Friendly trade agreements have helped drive much of this growth and thus helped to encourage businesses to outsource supply chains to not only lower costs but also to expand into new geographic regions.
Air and ocean freight transportation providers benefitted as well by following customers into new regions and investing in additional capacity and infrastructure to meet growing demand.
Representing about three-fourths of global trade volumes, the ocean freight market has indeed experienced a generous increase in volumes. Even despite increasing uncertainty and supply chain risk, ocean freight will continue to be important because global trade will remain an important part of supply chains.
Related: Aerospace
History of Shipping Container Dimensions
Before the shipping container came into existence, global trade was hindered by the expense of ocean freight shipping. Freight of all sizes and shapes were often just stacked on ships and for many of these bulky packages there were often delays, pilfering, damage and/or loss.
Co-founder of McLean Trucking Company, Malcolm McLean became frustrated with the high costs and the slow loading and unloading of freight onto ships and decided to do something about it. And so he did.
In 1956, McLean patented the container which ushered in a whole new industry, containerized shipping. The container not only transformed how trade is conducted but it is also credited with expanding global trade. Container services quickly expanded to become transatlantic, transpacific and international.
This new industry also included the introduction of container terminals at ports with the first one, Elizabeth-Port Authority Marine Terminal, N.J. established in 1962. In 1966, around 1% of countries had container ports increasing to 90% by 1983.
Today, 90% of every purchased item has been shipped inside of a container. A sweater, for example, can now travel 3,000 miles for 2.5 cents by sea.
There are over twenty million shipping containers in the world, which make over 200 million trips per year and more than 6,000 container vessels currently in service.
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What is Intermodalism?
Intermodal transportation also came into prominence thanks to the container. That is, the involvement of two or more different modes of transportation whether it involves trucking and ocean freight, rail and ocean freight, a combination of the two and possibly the use of air transportation as well.
The benefits of intermodal include cost savings, capacity availability as well as perhaps speed of final delivery depending on shippers’ requirements. Intermodal can be a good fit for shippers who move loads to more than 750 miles or if one regularly transports freight in similar quantities.
Understanding the benefits and comparing other options is important. Intermodal transport often depends on the exact movement of several interconnected parts. Timing is everything. When a leg on the journey is delayed, the next leg can be a problem which leaves a shipper’s cargo waiting for the next train, truck, or ship with available space.
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Most Common Containers and Dimensions
In the late 1960s, container standards were agreed upon with ISO 668 defining the terminology, dimensions and rations and with ISO 790 defining how containers should be identified. As a result of these standards, there are 20-foot and 40-foot shipping containers along with a few other less common sizes.
Besides the size of the container, types of containers have emerged including:
Ventilated offers a ventilation system due to its lateral openings that permit air flow and circulation. These containers are suitable for the transportation of goods that require constant temperature and conditions.
Open-Top containers do not have a roof and are appropriate for goods that are too heavy for manual handling and must be lifted and loaded with a crane, or for top-protruding merchandise that cannot fit into a 40 ft high cube standard container.
Flat Rack containers are designed to transport merchandise whose overall measurements and/or weight prevent them from fitting into a standard container. Types of goods suited for this type of container include construction equipment, building supplies or heavy machinery.
ISO Tanks are used to transport liquids or gases. They can hold bulk cargoes ranging from perishable liquids such as oil or wine to hazardous substances.
Related: Apparel footwear
Best Shipping Dimensions for You
There are at least 12 different ocean shipping container types. Deciding on the best shipping dimensions will depend on what type of goods are being transported. In addition, choosing the right size container not only can save a shipper money, but it is also key to ensuring that shipment arrives safe and in good condition.
Are you transporting dry goods or liquid materials? Is the product heavy or bulky? Does the cargo require refrigeration, insulation, ventilation, or special handling equipment?
Once you’ve answered those questions, calculate the freight volume of the shipment. Once that is determined, it can then be translated into a 20-foot container, 40-foot container, 40-foot high cube container or another type of container.
How to Book and Price Shipping Containers
There are a number of ways to book and price shipping containers. Shippers can do it themselves, via a third-party online platform or partner with a freight forwarder. Opting to do it oneself could be problematic if there is not a clear understanding of the processes involved. It is time consuming and the rates may not be agreeable. Third-party online platforms are easy and fast to use but what if you have specific questions about your shipment? What if your shipment is unique and does not meet the parameters of an online platform?
The third option is to utilize a freight forwarder such as Alba Wheels Up. Freight forwarders are trade experts and typically are able to secure not only capacity but also good rates along with tracking tools to manage freight from port to final destination.
How to Follow Customs Compliance
Customs compliance is also important – not adhered to will result in financial fines and delays in delivery. Here in the U.S., the U.S. Customs and Border Protection (CBP) establishes, updates and maintains customs procedures for imports. Filling out required paperwork and filing shipment details incorrectly could also delay shipments and possible incur fees.
Much of the customs compliance process has been automated but with rapidly changing global events, having a freight forwarder as a partner is important. For example, for its clients, Alba Wheels Up develops and implements a global customs compliance management strategy to ensure smooth compliance transactions with minimal hassle. In addition, Alba Wheels Up is active in national compliance events and also maintains strong ties with the CBP. This means they often have valuable insight and influence in regulations before they even happen.
Alba Wheels Up offers Customized reports so that even the largest import operations can monitor all their shipments easily.
Conclusion
It is amazing how a simple box has transformed not only the ocean freight market but how global trade is conducted. That simple box, the container, has also undergone a number of transformations and has the ability to transport any type of product. But determining the right container is important.
The determination of the right container is just part of the shipping process. Understanding how to book and price containers is important as well as maintaining customs compliance. Partnering with freight forwarders is beneficial to ensure not only capacity availability and good rates but most importantly to ensure compliance of all shipments.
Related: AGRICULTURAL CHEMICALS AND CROP PROTECTION
https://www.icontainers.com/the-different-types-of-containers/
https://www.freightos.com/the-history-of-the-shipping-container/
https://www.discovercontainers.com/a-complete-history-of-the-shipping-container/
http://www.worldshipping.org/about-the-industry/history-of-containerization
