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.

  

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