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Ocean containers – the world in the box
"This box not only brings the world to your living room - it has changed the world."
Jeremy Hillman Editor, BBC business and economics unit
On the container
Bryan Cunningham
TRACKING THE BOX
Bryan Cunningham
MOVING THE WORLDOcean containers – the world in the box
PRESENTED BY
Contents Evolution of
containers The business of
containers Security and
documentation Issues with
containerization
Evolution of Containers
Historical Basis CONEX The Vietnam War –
the need behind the idea
Malcom McLean – the man behind the idea
1st voyage in 1956 1st over seas voyage
in 1966
Containerization today
Year Container volumes (million TEU)
Compound average growth rate over previous period
1980 13.5
1990 28.7 7.8 %
2000 68.7 9.1 %
2010 138.9 7.3 %
2015 177.6 5.0 %
Growth in global container volume
PAST AND FORECAST GLOBAL CONTAINER VOLUMES (1980–2015)
Empty container catching up with the full containers – a dangerous trend?
World Container Traffic and Throughput, 1980-2008 (millions of TEU)
The Business of Containers
Understanding a container A container is prefabricated mobile storage space
created for transportation of goods. Built for various purposes have varying
construction feature such as metal, wood, open or closed, refrigerated or ordinary and so on.
Various agencies having various sizes and shapes, numbers and coding now abound the logistic landscape throughout the world.
Containerization A system of intermodal freight
transport using standard intermodal containers as prescribed by the International Organization for Standardization (ISO).
These can be loaded and sealed intact onto container ships, railroad cars, and trucks.
THE KEY FEATURES, BENEFITS AND ADVANTAGES OF CONTAINERIZATION
Containerization that changed the global logistics
Stakeholders in a container business
Process for getting a container
Container Security
Aspects of container security Security concerns arising out of
terrorist/subversive actions Frauds Theft
DamagesDamages to container
Damage to cargo
Shipping stress
Shipping stress chief cause of damage to containers
Insurance
Cost of insurance depends upon:
Port clearance procedure
Key Issues with Containerization
The back-haul-empty issue Simply speaking what is to be done with
the empty containers on the backhaul routes.
U.S. Waterborne Foreign Container Trade (all trading partners)
The rising trade gap
The back-haul-empty problem Studies have shown that one in every
four ocean containers moving through the U.S. container points is empty, without any cargo revenue to compensate the move.
Estimated 1.5 million empty containers are just sitting ducks.
Bryan Cunningham
“The logic of shipping freight in containers was so compelling, the cost savings so enormous, that the container took the world by storm”
Marc Levinson. PrincetonAuthor
In his book The Box: How the Shipping Container Made the World Smaller and the World Economy Bigger.
Presented by