A trade lane (or trade route) refers to a specific pathway along which goods are transported between two or more locations, typically across international borders. Trade lanes are established based on the flow of goods and the economic relationships between countries or regions. They encompass both maritime and air routes and play a crucial role in global supply chains by facilitating the movement of goods and fostering international trade.
Transit time refers to the duration it takes for goods or shipments to travel from their origin to their destination. It is a crucial metric in supply chain and logistics management, as it directly impacts delivery schedules, inventory levels, and customer satisfaction. Transit time encompasses the entire journey of a shipment, including transportation, handling, and processing at various checkpoints along the route.
Transloading refers to the process of transferring goods or cargo from one mode of transportation to another, typically from one type of truck or railcar to another, or from rail to truck and vice versa. This logistical practice is often employed to optimize transportation routes, reduce costs, and improve overall efficiency in supply chain operations.
A Transportation Management System (TMS) is a specialized software solution designed to streamline and optimize transportation and logistics operations within supply chains. It provides functionalities to effectively manage and control the movement of goods from origin to destination.
Transportation lead time refers to the duration it takes for goods to be transported from the point of origin to the final destination. It encompasses the time required for transportation activities, including loading, transit, and unloading, across various modes of transport such as road, rail, air, or sea.
A transshipment is the process of transferring goods from one transportation vehicle or vessel to another during their journey from origin to destination. It typically occurs at intermediary points along the supply chain route, where cargo is transferred between different modes of transportation, carriers or vessels.
Twenty-foot Equivalent Unit (TEU) is a standard unit of measurement used in the shipping industry to quantify the cargo-carrying capacity of container vessels. It represents the volume of a standard twenty-foot-long shipping container.
An Ultra Large Container Vessel (ULCV) is a massive container ship used on major trade routes, capable of carrying over 14,000 TEUs.
Vendor Managed Inventory (VMI) is a supply chain management strategy where the supplier or vendor takes responsibility for managing the inventory levels of their products at the customer's or retailer's location. In this arrangement, the vendor monitors the inventory levels based on agreed-upon criteria such as sales data or inventory levels, and initiates replenishment as needed.
Verified Gross Mass (VGM) is a term used in the shipping industry to refer to the total weight of a packed container, including its contents and packaging materials. It is a crucial requirement mandated by the International Maritime Organization (IMO) under the Safety of Life at Sea (SOLAS) convention to enhance safety in maritime transportation.
A floating structure with its own mode of propulsion designed for the transport of cargo and/or passengers. In the Industry Blueprint 1.0 "Vessel" is used synonymously with "Container vessel", hence a vessel with the primary function of transporting containers.
A vessel sharing agreement (VSA) is a cooperative arrangement between shipping companies that allows them to share space and resources on vessels for specific routes.
Vessel bunching refers to the situation where multiple vessels arrive at a port simultaneously or within a short period, leading to congestion and delays. This clustering of vessels can overwhelm port facilities, causing extended wait times for berthing, loading, and unloading operations.
A vessel call sign is a unique identifier assigned to a ship for radio communication purposes. It is used to distinguish the vessel from others in maritime communication systems, including VHF radios and satellite communications.
A vessel omission (sometimes called a port omission) occurs when a scheduled vessel does not call at a planned port during its voyage. This disruption means that the vessel skips the port entirely, which can impact the transportation and delivery schedules of goods.
In cargo shipping, vessel rotation is the planned sequence of port calls that a shipping vessel follows on its route to optimize cargo loading and unloading operations.
The timetable of departure and arrival times for each port call on the rotation of the vessel in question.
A journey by sea from one port or country to another one or, in case of a round trip, to the same port.
Warehouse utilization is a logistics metric that refers to the effective use of available warehouse space for storing goods and inventory.
Order for specific transportation work carried out by a third party provider on behalf of the issuing party.
Logistics yard management refers to the process of overseeing and controlling the movement of trucks, trailers, containers, and other vehicles within a yard or distribution center. This includes tasks such as scheduling, tracking, and coordinating the arrival, departure, and storage of these vehicles.
Container grade
What are the different shipping container grades?
Shipping containers are graded based on their condition, durability, and suitability for transporting goods. The primary container grades are Grade A (Cargo Worthy), Grade B (Wind and Watertight), and Grade C (As-Is). These grades help shippers determine the container's ability to safely transport goods and whether it meets international shipping standards. The classification is important for choosing the right container based on the type of cargo and the specific requirements of the journey, ensuring the protection of goods during transport.
What is the difference between shipping container grades?
The key differences between shipping container grades lie in their structural integrity and suitability for transporting goods. Grade A containers are fully compliant with international shipping standards and can carry sensitive or high-value cargo. Grade B containers, while still functional, are more suited for goods that don’t require pristine conditions, making them a more affordable choice. Grade C containers, being in poor condition, are generally used for storage or non-sensitive cargo. Understanding these differences helps shippers select the right container for their specific cargo needs.
Who is responsible for grading containers?
The responsibility for grading shipping containers typically falls on certified inspectors or container surveyors employed by independent survey companies, shipping lines, or leasing companies. These professionals assess containers based on international standards, such as those set by the International Convention for Safe Containers (CSC), which regulates the structural integrity of containers. Surveyors examine the condition of the container's structure, doors, seals, and surface, assigning grades based on their findings. Container leasing companies and repair depots also play a role in container grading when refurbishing or repurposing containers for transport or storage.
What can be transported in Grade A shipping containers?
Grade A shipping containers, also known as Cargo Worthy containers, are in excellent condition and meet all structural and safety standards for international shipping. These containers can carry a wide range of goods, including sensitive or high-value items like electronics, pharmaceuticals, or machinery. Because they are fully sealed, structurally sound, and meet stringent shipping requirements, they are suitable for transporting goods that require extra protection against damage, weather, or contamination.
What can be transported in Grade B shipping containers?
Grade B shipping containers, often called Wind and Watertight containers, are structurally sound but may show signs of wear, such as surface rust or minor dents. They are still suitable for transporting most types of goods, particularly non-perishable items like furniture, textiles, or bulk materials. Grade B containers are commonly used for short-haul shipments or for storing goods where minor cosmetic damage to the container doesn’t affect the cargo inside. These containers are a cost-effective option for many shippers.
What can be transported in Grade C shipping containers?
Grade C shipping containers, also referred to as As-Is containers, are typically used for storage rather than transport. They may have significant wear, including holes, rust, or damaged doors, making them unsuitable for shipping cargo in most cases. However, they can be used for non-critical storage solutions or for transporting goods that are not sensitive to environmental exposure, such as scrap materials or non-perishable bulk items. Shippers often use these containers for on-site storage or temporary housing.