| Containerization is an inter-modal system of | | | | Today, improved cargo security is seen as an added |
| transporting the general cargo or product in lots | | | | benefit of containerization. The cargo is not visible |
| which are too small for the traditional bulk transport | | | | and hence less likely to be stolen and also doors of |
| system, using ISO standard containers. The goods | | | | the containers are sealed so that its safety can be |
| can be easily moved from one location to another in | | | | assured. |
| these containers which can be loaded intact onto the | | | | Worldwide standardization of sizes of containers has |
| container ships, trucks, railroad cars and planes. | | | | lessened the problems of incompatibility and gauge. |
| The concept of containerization is considered as the | | | | Today most of the trains in the world operate on 4 |
| key innovation in the field of logistics which has | | | | feet 8½ inch gauge track but many countries |
| revolutionized freight handling in the twentieth | | | | like Russia, Australia, Spain and Finland while countries |
| century. | | | | in Africa and South America use narrower gauges. |
| Benefits of Containerization | | | | Some of the largest global players containerizing |
| Goods in lots which are too small for the traditional | | | | containers today are Bowen Exports, Theiler & Sons |
| bulk transport can be moved using containers. | | | | Goods, LLC and Patrick Global Shipping. |
| Containerization is best option for high-value and | | | | Types of containers available to meet different |
| delicate cargo as it provides safety from human and | | | | needs: |
| natural factors. | | | | Open top bulk containers |
| As containers are moved intact, substantial amount | | | | Open side containers |
| of time and labor cost is saved which would | | | | General purpose dry vans |
| otherwise have incurred in loading and unloading | | | | Platform containers |
| goods. | | | | High cube pallet wide containers |
| It prevents poor handling of goods that results from | | | | Containers with temperature controlling facility |
| bulk transport systems. | | | | Ventilated containers |
| Containers can act as mode of storage anywhere | | | | Tank containers |
| along the transport route. | | | | Flush folding flat-rack containers |
| Container ships provide regular service to overseas | | | | Future |
| ports, thus it minimizes the waiting time. | | | | Containerization reduces time in transit, the inventory |
| Containerization reduces the transit time which not | | | | costs and increases reliability. Such benefits are |
| only offers a means of marketing for the producer | | | | forcing the industry to make it more favorable in |
| that bulk systems cannot provide, but also helps to | | | | terms of cost, flexibility and speed. As the Internet |
| reduce the inventory costs and increases reliability. | | | | and other new communication technologies are |
| Following part explains the containerization in past, | | | | developing, it is expected to bring more innovations |
| present future: | | | | which will further simplify the tasks of logistics. |
| The carrying of containers through ships started in | | | | Many companies are designing the freighters capable |
| 1951 between Alaska and Seattle. The first purpose | | | | of 14000 TEU. |
| built container ship the Clifford J. Rodgers was built in | | | | Container traffic from Asia is expected to grow |
| Montreal in 1955 which was owned by the White | | | | more rapidly in near future. The containerization in |
| Pass & Yukon Route. In its maiden trip it carried 600 | | | | terms of expansion is expected to be far rapid in |
| containers between Skagway, Alaska and North | | | | China. The Asia's share of containerized exports to |
| Vancouver, British Columbia. These containers could | | | | world's total exports is expected to reach nearly 64 |
| be moved by rail, truck and ships. This way gradually, | | | | % in 2015. |
| the whole inter- modal system started operating. | | | | Past |
| Malcom McLean, the US trucking industry player | | | | The effort to ship cargo in container initiated in the |
| innovated the idea of using large containers, | | | | beginning of 19th century. These containers could be |
| transferable on an inter-modal basis. With the abolition | | | | shifted from railroads to ships or trucks. The |
| of Interstate Commerce Commission's regulatory, | | | | containers used at that time were much smaller than |
| deregulation of maritime rates, trucking and railway it | | | | what we see today. |
| became possible to develop fully integrated system. | | | | In the mid 1920s Milwaukee Railway and Chicago |
| Present | | | | North Shore started using shippers' vehicles and |
| Today containerization has become the integral part | | | | motor carrier vehicles on flatcars between the route |
| of logistics. It has revolutionized the cargo shipping. | | | | of Milwaukee and Chicago. Later, Seatrain Lines |
| Today, nearly 90% of non bulk cargo moves by | | | | carried railroad boxcars on ships to move goods |
| containers put on transport ships. One fourth of | | | | between Cuba and New York. Also, the Chicago |
| world's total containers start from China. | | | | Great Western Railway and the New Haven railroad |
| With the use of ISO standard containers, the size | | | | began transporting highway freight trailers on flatcars. |
| and shapes of commercial vehicles carrying containers | | | | In the early 1950s, these flatcars got more equipped |
| are also getting standardized. | | | | with new decks. |