Chapter 3 - Containerization
Chapter 3 - Containerization
CHAPTER III:
CONTAINERIZATION
I. MEANING OF CONTAINER & CONTAINERIZATION:
1. CONTAINER:
a. A large standard size metal box into which cargo is packed for shipment
aboard specially configured transport modes. It is designed to be moved with
common handling equipment enabling high-speed intermodal transfers in
economically large units between ships, railcars, truck chassis, and barges
using a minimum of labour. The container, therefore, serves as the load unit
rather than the cargo contained therein.
2. CONTAINERIZATION:
a. Refers to the increasing and generalized use of the container as a load unit
for freight transportation. It involves processes where the intermodal
container either substitutes cargo from other conveyances, is adopted as a
mode supporting freight distribution or can diffuse spatially as a growing
number of transport systems are able to handle containers.
b. Containerization originated several centuries ago but was not well developed
or widely applied until after World War II, when it dramatically reduced the
costs of transport, supported the post-war boom in international trade, and
was a major element in globalization. Containerization did away with the
manual sorting of most shipments and the need for warehousing. It displaced
many thousands of dock workers who formerly handled break bulk cargo.
Containerization also reduced congestion in ports, significantly shortened
shipping time and reduced losses from damage and theft.
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Icon Index:
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storage of empty
containers, or
maximising load space.
Raleigh-Durham-Cary N.C. tops decade’s Modern container
metro % growth. Employment in advanced shipping changes the
2009
economies is free to move to “more geography of
liveable” locations. employment.
SUMMARY:
Shipping in the 1930’s
Even as recent as the 1930’s the traditional approach to shipping was to adopt break-
bulk container handling, where goods were transported loose or packaged in boxes,
bags, barrels, or other relatively small containers that varied depending on the type of
good. This method of transportation meant that large teams of port workers were
required in order to unload every shipment that arrived. Ships would often spend as long
in port as they would at sea.
being transported by truck or train, in 1956 McLean shipped a vessel loaded with 58
metal shipping containers from Newark to Houston thus giving rise to the birth of
containerisation.
The impact proved positive for businesses shipping goods as containerisation led to
decreased shipping costs due to economies of scale and lower staffing costs, as well as
better cargo security. Products were no longer visible to the casual viewer so were less
likely to be stolen, and with the doors of containers generally sealed, tampering became
a less likely occurrence.
However, the expanded use of containers was immediately felt by port workers. The
amount of goods per worker that could be loaded or unloaded with containers compared
to break bulk was much higher meaning fewer workers were required.
8. Containerization in India
Given the continental distances in India (almost 3000 km from north to south and east to
west), rail transport is most cost effective option for cargo transportation over medium and
long distances. Indian Railways (IR) started door-to-door movement of domestic cargo in
special DSO containers in 1966. In 1981, first ISO container moved by IR to India’s first
Inland Container Depot (ICD) at Bangalore, managed by IR. By 1988, the network
expanded to 7 ICDs.
Container Corporation of India Ltd (CONCOR) set up in 1988 as a PSU under Ministry of
Railways. CONCOR aimed to develop multimodal logistics support for India’s international
& domestic containerized cargo & trade. CONCOR today has a network of 63 terminals
spread over the country. CONCOR has three distinct activities - a carrier, a terminal
operator and a warehouse operator. CONCOR’s ICDs are dry ports in the hinterland and
bring all port facilities including customs clearance to the customer’s doorstep.
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As such, depending on the type of products to be shipped or the special services needed
from them, container units may vary in dimension, structure, materials, construction etc.
various types of shipping containers are being used today to meet requirements of all
kinds of cargo shipping. Some of the most common types of shipping containers in use
today are mentioned below.
The 20 feet standard shipping container and the 40 feet standard shipping container
are two of the most widely used containers in the world to transport ocean freight
goods.
The standard shipping containers differ from other types of containers in that they
are completely airtight. These hermetically sealed shipping containers are not
equipped with cooling nor ventilation systems like the refrigerated and ventilated
containers.
The standard shipping containers are also known as dry shipping containers or dry
vans.
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US domestic standard containers are generally 48 ft (15 m) and 53-ft (rail and
truck).
Flat rack shipping containers are designed to transport merchandise whose overall
measurements and/or weight prevent them from fitting into a standard container.
With collapsible sides, these are like simple storage shipping containers where the
sides can be folded so as to make a flat rack for shipping of wide variety of goods.
These containers are made of metal plates that fit a standard structure of 20 or 40
feet. Its sides are collapsible and it does not have a roof or top. This makes it easy
for top- or side-loading. Such features make flat rack containers suitable for
transporting:
Goods with a height higher than that of a 20 or 40 feet high cube container or
irregularly shaped goods such as industrial vehicles or pipes.
Because the flat rack container has no side or top to protect the cargo, extra care
must be taken to prevent damage by weather conditions such as heavy rain or
strong winds. Lashing the cargo will help secure the cargo and make sure it stays
in its place.
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The type of goods typically transported in open top containers is essentially the same
as those being transported in flat rack containers, but with more irregular heights.
Some examples include goods that are too heavy for manual handling and must be
lifted and loaded with a crane, or top-protruding merchandise that cannot fit into a
40 feet high cube standard container. A 20 feet open top container has a maximum
load of approximately 28 metric tons, while the 40 feet open top container can hold
up to 30 metric tons.
Unlike the flat rack, which also has no roof, open top containers have walls to protect
the goods. A tarpaulin will be needed to cover the top to protect the merchandise.
Note that the opening of an open top shipping container through which you load
your cargo is slightly smaller than the container’s interior. This is similar to the door
of a regular container and it’s for structural integrity purposes. In other words, there
is less room to work with for manoeuvring when loading your cargo through the top
of an open top shipping container.
Due to low demand for open top containers, some carriers may find it difficult to
secure cargo requiring open top containers to be able to send the containers back
to the origin. As such, carriers may implement an extra cost to transport open top
containers, which can vary according to the destination.
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4. Tunnel Container:
The Tunnel containers have eight feet ends at both sides which looks like a tunnel
when both sets of doors are open. In some locations, tunnel containers are also
known as tunnel-tainers, Double Enders container or double end door container.
Loading and unloading are easy in a tunnel container due to its accessibility than a
standard container. The cargo can be loaded and unloaded from both ends of doors.
Small and many number of packages can be easily stuffed and de stuffed. A partition
at middle of container can be made for any specific cargo to be loaded and unloaded
easily.
Generally, the tunnel containers are available in 20 feet. The tunnel containers of
10 feet x 8 feet – 20 feet x 8 feet – and 40 feet x 8 feet are also available. Standard
shipping containers and high cube cargo containers are also converted in to tunnel
container units as per requirements. The present business world is 100%
customization. So the container manufacturers are ready to make any types, sizes
and other facilities as per requirements of customer.
An Open sided container has two sets of double door at the lengthy side. Such two
doors are arranged to open the entire length of the container with complete access
to the container for loading and unloading. However, in exceptional cases, three
doors open sided container is also manufactured to facilitate customers to meet
their requirements. The side doors are manufactured to open either an eight feet
opening or a twenty feet opening for a 20 feet container as per requirements.
The doors of open sided container are made from flat steel panels instead of heavier
corrugated steel which is compatible with storage use, as the doors are opened and
closed on a regular basis. The security lock box over the padlock provides better
protection. The rubber seals fitted at each door opening locations helps for not
entering water or moisture in to the container.
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The major advantage of open side container is that the oversized equipment can be
fit. Another advantage of an open sided container is that the amount of space can
be utilized to its maximum. Apart from that, the stuffing and de stuffing are faster
than other types of container. The bigger size of goods can be easily fit in to an open
side container unlike other standard container. Another benefit of an open side
container is that the sorting of goods can be easily done without offloading all items
in the container.
Normally 20 feet and 40 feet open side containers are available. 40 feet high cube
open side containers are also available as per customer need.
Refrigerated shipping containers, also known as reefer containers, are equipped with
a system that helps to maintain an internal temperature of between -25º and + 25º.
Contrary to popular belief, these refrigerated containers do not regulate
temperatures, they can only maintain them. There are certain types of refrigerated
containers that are capable of maintaining temperatures as low as -60º.
Reefer containers are most commonly used to transport fresh and frozen foods such
as fish, meat, fruits, and other perishable items, they are also regularly used to
transport medicines and pharmaceutical products over long distances.
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Insulated containers protects goods from temperature which are used to move cargo
such as pharmaceuticals, chemicals, foods etc. The thin wall of a standard dry
container may be effected with external climate severely in hot summer days due to
a lot of heat and severe cold in winter season. Insulated container helps to maintain
consistent internal temperature up to some extent.
The standard container can also be temporarily made insulated by covering inner
part of body with necessary insulating materials.
In built insulated containers are generally available in 20 feet and 40 feet. However,
the customization is available with all insulated container manufacturer.
An insulated container also prevent rainwater getting inside the container and
minimize condensation especially at door opening area. The durability of storage
(long term storage) is another advantage of insulated container.
ISO tank or ISO containers are containers specially designed to transport liquids or
gases. They can hold bulk cargoes ranging from perishable liquids such as oil or
wine to hazardous substances.
The ISO tank is supported on a structure that can be adjusted according to its
dimensions. It’s also lined with an insulating material that protects it from the cargo
it’s transporting.
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ISO tanks offer one of the most effective intermodal transportation methods for bulk
cargo. They are safer, offer more flexibility, are more environmentally friendly, and
relatively cheaper than other options such as OTR tank trucks.
The most commonly used ISO tanks measure 20 or 40 feet there are also 10 and 30
feet long ISO tanks. They’re also widely known as ISO containers or tank containers.
Container storage units used mostly for transportation of liquid materials, they are
used by a huge proportion of entire shipping industry. They are mostly made of
strong steel or other anti-corrosive materials providing them with long life and
protection to the materials.
Cargo storage roll containers are a special kind of containers. They are used for
transporting sets or stacks of materials. Cargo storage roll containers are foldable.
They are made up of wire meshes that are thick and strong and also rollers that
enable free and easy movement.
They come in various sizes and various colours of wire meshes and look attractive.
These are some of the unique storage container units in the shipping industry. They
are expensive to make, and transport and hence, many companies avoid the use of
these shipping units. Still, these are some of the most important shipping and
storage units in the industry because certain loads specifically demand these kinds
of containers.
It is a foldable container, this is one of the specialized container units made for
purpose of transporting sets or stacks of materials. They are made of thick and
strong wire mesh along with rollers that allows their easy movement. Availability in
a range of coloured wire meshes make these shipping container units a little more
cheerful.
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If you need to clean out a house for a renovation or complete demo project, or tear
off a roof and need a place to throw shingles and other construction debris, you
need a long, open container. These range in size from 10 to 40 yards.
General household items like housewares and clothing can all go into a dumpster
container. Remodelling debris, such as drywall, lumber, flooring, cabinetry, and
siding are all acceptable.
Another use for a large container might be for landscaping debris, such as soil, grass
clippings, leaves, shrubbery, and small branches.
Roll-off containers can also be ordered with locking sectional lids installed to avoid
storm water and snow exposure, and offer security against theft and unauthorized
dumping. The rain and snow weight can add extra expense for overages at the
scales, so best to protect your original investment.
The only way such a large container can be delivered is by a truck with a low-boy,
tilt-bed trailer, and a winch. The trailer will tilt up at the front, rolling the container
off the back. That is where the name “roll-off containers” comes from.
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Generally half height containers are used to transport heavy cargo. Half height
containers are also used to move vehicles. The half-height containers are useful to
transport over height goods, pipes, tools and other equipment. Half height
containers are used to transport gravel, sand etc. locally.
Like other containers, half height containers are also manufactured as per DNV
standards. Certified slings complete with shackles, multiple internal tie down points
for security and safety, net securing points, cargo restraining nets, anti-slip surfaces
on floors, fork lift pockets etc. are some of the features of half height container.
Open top Half Height Containers are also available which helps to load and unload
cargo from top side of container.
Half height containers are also manufactured as per requirements of customers with
extensive range of sizes, removable sides or swinging doors etc.
Car Carriers are the kind of container storage units which are specifically designed
for the transportation and shipment of cars over long distances by sea routes. Cars
are not usually transported by ship. However, in some cases, shipping arrangements
need to be done for the vehicle to be transported.
Transportation of automobiles on the sea is usually done with roll on roll off shipping
arrangements which are cheaper than car carrier shipping containers. They have
collapsible sides which make it convenient to fit a car inside the container without
damaging it. They can come in various sizes and dimensions. Even though these
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containers are known as car carriers, they can be used to transport any kind of
automobile vehicles.
The ventilated container is a shipping container that offers a ventilation system due
to its lateral openings that permit air flow and circulation.
These characteristics make it suitable for the transportation of goods that require
constant temperature and conditions.
Thanks to its ventilation system, the ventilated container is able to expel hot air and
allow fresh air to enter, thus preventing condensation and humidity changes that
may damage the cargo.
One of the main products transported in the ventilated container is coffee, which is
why it may also sometimes also be known as the “coffee container”.
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They are also reusable and can come in various sizes, dimensions, and colours. The
three broad types of IBCs in use today can be categorized under rigid, folding and
flexible.
Intermediate bulk shift containers are storage shipping containers which are
specifically made for the transportation of intermediate goods. They can be used to
carry large amounts of materials which can include liquids or semi-solids and are
usually used to shift the kind of material which requires to be further packed and
sent off to a final spot after arriving at its destination.
Some advantages of these containers are that they are relatively cheap to ship, they
are highly organized, mobile and integrated. They are also very durable and provide
a consistent and reliable way to store material. They are often used to transport bulk
chemicals, raw materials, food syrups, petrochemicals, paints, and pharmaceutical
compounds.
15. Drums:
Drums are circular shaped shipping container units. They are made up of materials
like steel, hard plastic, fibre or weight metals. Drums are strong and durable. These
containers are small in size but have a large volume due to their shape. Hence, they
require extra space. Drums are also called barrels in common language.
Drums/Barrels are mostly used to handle and transport bulk materials, usually
liquids. Drums can be used to ship petrochemicals or other liquid products as well.
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Most of the material that they transport is dangerous or highly inflammable. They
can come in various sizes. Normally, each drum has a capacity of 200 litres.
Special purpose containers are not like ordinary containers. They are the containers
that are customized and specifically made for particular purposes usually at the
request of the manufacturer or the client. Due to this, the material used for the
composition of the container and its construction depends on the kind of purpose
that they would serve. Most of the times they are used for security purposes.
They can come in any shape or sizes. Most of the shipping companies do not make
these containers or rather avoid their use because they are expensive to make and
to transport and cannot be used for purposes other than the ones they are currently
serving. They are however still in use because certain goods demand a specific type
and size of containers.
Not the ordinary containers, these are the container units, custom made for
specialized purposes. Mostly, they are used for high profile services like shipment of
weapons and arson.
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They are a special kind of containers used mostly in Europe. Not made according to
the ISO standards, they are not standardized shipping container units but extremely
useful all the same.
They have a strong bottom part and a top which is convertible. This makes them
suitable to ship many different kinds of products. The designs of these units are
such that they do not waste any space. That is, they are optimized to minimize
empty weights.
Used both on road and rails, they’re the ideal option for transferring goods via both
these methods. They are lifted from the bottom corners. Hence, it is inconvenient to
use them for shipping transportation, and most of the shipping companies avoid
their use as swap body containers cannot be easily stacked.
Due to the design of this type of container, fuel costs are lower; swap bodies
minimise empty weight, so there is less ‘dead weight’ carried. This results in lower
fuel consumption, and therefore cheaper transportation of goods.
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lashing rings are fixed in the side rails of platform containers. All platform
containers have fork pocket holes for easy handling.
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1. Standardization:
Standard transport product that can be handled anywhere in the world (ISO
standard) through specialized modes (ships, trucks, barges and wagons) and
equipment. Each container has a unique identification number and a size type code.
2. Flexibility:
Can be used to carry a wide variety of goods such as commodities (coal, wheat),
manufactured goods, cars, refrigerated (perishable) goods. There are adapted
containers for dry cargo, liquids (oil and chemical products) and refrigerated cargo.
Discarded containers can be recycled and reused for other purposes.
3. Costs:
Lower transport costs due to the advantages of standardization. Moving the same
amount of break-bulk freight in a container is about 20 times less expensive than
conventional means. The containers enables economies of scale at modes and
terminals that were not possible through standard break-bulk handling.
4. Velocity:
Trans-shipment operations are minimal and rapid and port turnaround times have
been reduced from 3 weeks to about 24 hours. Containerships are faster than
regular freighter ships, but this advantage is undermined by slow steaming.
6. Warehousing:
The container is its own warehouse, protecting the cargo it contains. This implies
simpler and less expensive packaging for containerized cargoes, particularly
consumption goods. The stacking capacity on ships, trains (double-stacking) and
on the ground (container yards) is a net advantage of containers.
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2. Capital Intensiveness:
Container handling infrastructures and equipment (giant cranes, warehousing
facilities, inland road, rail access) are important capital investments that require
readily sources. Further, the push towards automation is increasing the capital
intensiveness of intermodal terminals.
3. Stacking:
Complexity of arrangement of containers, both on the ground and on modes
(containerships and double-stack trains). Restacking difficult to avoid and incurs
additional costs and time for terminal operators. The larger the mode or the yard,
the more complex the management.
4. Repositioning:
Many containers are moved empty (20% of all flows). However, either full or empty,
a container takes the same amount of space. The observed divergence between
production and consumption at the global level requires the repositioning of
containerized assets over long distances (transoceanic).
6. Illicit Trade:
The container is an instrument used in the illicit trade of goods, drugs and weapons,
as well as for illegal immigration (rare). There are concerns about the usage of
containers for terrorism but no documented use has emerged.
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