In the past 6 years more than 27.000 freight trains were dispatched only by the UTLC ERA on the traintracks of the New Silk Road. One train carries on avarage of 100 TEU at once. This is around 2.627.500 containers, what were transported on this route from China to Europe, or the other way around.
After the containers are unloaded, most of the times they are not immediately reloaded, therefore the shipping company must store them somewhere. This is the reason which brought to life the idea of the container depot in the mid-20th century.
Bottleneck in shipping reffers to delays and restrictions in the normal flow of shipping. There are three main type of bottlenecks.
If there is a container ship which wants to transport 8.000 TEU from Rotterdam to Shanghai then in Shanghai there will be an 8.000 surplus of containers and in Rotterdam there will be an 8.000 shortage.
Here comes into the picture the depot. Rotterdam can request containers from its nearby depots to balance out the outgoins and Shanghai can distribute its surplus to its nearby depository.
When this distribution is managed poorly, then it creates the shipping bottleneck.
Depos are huge yards with a lot of place to store large container units. Most depots have large boundaries with points of entry and exit that are manned round the clock. Some depots have facilities that test for trace amounts of drugs and other substances in empty containers. This helps officials pinpoint and stop methods of smuggling.
It is a common misconception that in the depots the containers are stored with goods inside. When a container arrives to the port it is everyone’s interest that it is being transported as quickly as possible to its intended destination for unloading. After that the empty container can be stored in a container depot.
But the depos are not only for storing. They usually offer some other services such as cleaning, repairing, maintenance, protection, fumigation, transportation etc.
Container depots are an ideal case study of logistics and operations management. They showcase the steps that can be taken to overcome important problems such as bottlenecks and lack of space.
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Busan is a vibrant and dynamic city in the southeast of South Korea, known for its stunning beaches, delicious seafood, and rich culture.
Ningbo-Zhoushan Port is a mega port in China that ranks second in the country and third in the world in terms of cargo tonnage and container throughput.
Singapore is a small island nation in Southeast Asia, but it has a big role in the global logistics industry.
Shanghai is a global metropolis and a major economic hub in China. It is also home to the world’s busiest and most connected port, which handles more than 47 million TEUs (twenty-foot equivalent units) of cargo every year. The port of Shanghai is a vital link in the global supply chain, facilitating trade and commerce between China and the rest of the world.
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Silver Runner LLC
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