Container Shipping and Systems

Learning Outcomes

Upon the successful completion of this module, you should be able to:

 Explain container systems as an essential part of maritime logistics.

 Discuss the process of containerization.
 Identify the compatibility characteristics for different types of cargo.
 Outline the different types of containers.
 Analyze the way containers are marked during shipping.

Introduction to Container Shipping

Unloading Operations Container Shipping and Systems

The container ships are the biggest revolution that almost crippled breakbulk ships that were carrying small parcels of
cargo. According to Lloyd’s Register of Shipping, in 1995, the total general cargo of 56.8 million GT. in seaborne world trade,
over 37.7 million GT., was carried on container ships. This goes to show the dominance of container ships over general cargo
ships in carrying dry packaged cargo.
The technology in handling containers and its stowage on ships has advanced so much that the cargo loading and
unloading time has reduced drastically. A cargo which used to take a week to load and unload now takes just a few hours
to handle due to the advances in container handling and stowage technology. This has resulted in a demand for well-
trained personnel engaged in the maritime supply chain industry.

What is happening to the Container Fleet?

In terms of geography, North America dominates the global container shipping market. This is due to improved
transportation services in this region. The U.S. represents the largest market for container shipping followed by Canada in
North America. In Europe, Germany, the U.K., Spain, Italy, and France hold the major share of the container shipping
market. Asia is expected to witness high growth rates in the next five years, as many companies are constructing
manufacturing facilities in this region. The rising number of manufacturing units would result in a significant rise in demand for
containers. Improving transportation services are boosting the growth of the container shipping market in this region. Japan,
China, and India are expected to be the fastest-growing container shipping markets in Asia.

Value of Global Seaborne Container Trade

In terms of value, global seaborne container trade accounts for approximately 60 per cent of all world seaborne trade,
which was valued at around 12 trillion U.S. dollars in 2017. While the quantity of goods carried by containers has risen from
around 100 million metric tons in 1980 to about 1.7 billion metric tons in 2015, vessels have likewise increased their capacity.
Between 1980 and 2016, the deadweight tonnage of container ships has grown from about 11 million metric tons to around
244 million metric tons. As of July 2016, the global cellular container ship fleet had the capacity to carry some 20 million
standard containers. With a total capacity of around 3.3 million TEUs. Danish shipping line APM-Maersk is currently the largest
container-shipping company globally, followed by MSC, CMA, COSCO and Hapag-Lloyd.

 The role of 10,000TEU+ vessels has increased dramatically, driven by scale economies and competitive pressures
 Massive ordering for ULCS and New Panamax vessels
 Transpacific and Asia-Europe trades cannot absorb all of this tonnage - ‘cascade’ effect on other routes now
being felt and also beginning to impact on Africa and the Indian Ocean
 Development of new ‘broad beam’ 8,000-10,000 TEU vessels for North-South trading, particularly in Africa and South
America
 The overall effect will be further concentration and greater transshipment activity
 New generation container feeder vessels – 1,800-2,000 TEU (and larger) will be typical
Future Container Fleet Developments

The shipping lines desire to maximize the size of vessels, whilst minimizing the slot costs looks set to continue with designs for
22,000 TEU and 24,000 TEU. New vessel designs offer either an increase in LOA (from 400 m to 430-450 m) or an increase in
the beam from 59.0 m to 61.5 m. In the all-new design option, the draft required remains the same as EEE-Class
vessels. WAFMAX / SAMMAX vessels specifically designed to maximize capacity for use in shallower waters e.g., in Africa
and South America.
Container Vessel Sizes and Rows Across:

Understanding Container Systems

A thorough understanding of container systems is essential for maritime logistics students. This is because of the many ways
that the marine containers have entered our lives today however surreptitious it might be. Indeed books are being written
about how the containers have changed the world, two of those being released in 2006, commemorating the 50th year of
the introduction of containerization by Malcolm McLean, a former truck-owner in the U.S.
Containerization is a shipping process. It allows the consolidation of smaller parcels, bags, bundles, bales, or crates of cargo
into standardized cargo units that facilitate their expeditious movement. Here is a graphical illustration which shows how
smaller parcels, bags, bundles, bales, or crates of cargo are consolidated and transported from one point to another.

Damage Caused by Moisture on Cargo

Moisture damage caused to hygroscopic goods in standard containers by the formation of condensation water may be
reduced by:

 Reducing the water content by pre-drying of goods, packaging, pallets and container flooring
 Laying paper dunnage
 Suspending a plastic sheet with condensation reservoir
 Using non-hygroscopic packaging materials, e.g. shrink film wrappings, aluminum foil in plywood chests, e.g. for tea,
film lining impervious to water vapor for example for dried milk and sugar bags
 Suspending a nonwoven fabric, which is attached beneath the container ceiling so as to be able to transport bulk
cargo in a standard container, a liner bag made from a strong woven plastic fabric can be suspended in the
container. Since container bulk cargo is very often hygroscopic, the liner bag is also available combined with an
integral nonwoven fabric

 Sealed packages combined with the desiccant method for container transport of high quality technical goods

 Using ventilated containers for particularly sensitive hygroscopic goods, such as coffee, cocoa, rice, spices

The full benefit of containerization stems from the ability to exchange the load units from one mode to the others at various
nodes such as seaports and intermodal terminals. Here we will discuss the most crucial elements of a container system, viz.,
the containers themselves, the liner shipping companies, the ports and terminals, and the concept of intermodalism.
 Containerization International Yearbook (Recent Issues)
 Donovan, A. and Bonney, J. (2006) "The Box that Changed the World", Commonwealth Business Media, New Jersey
 Levinson, M. (2006) "The Box: How the shipping container made the world smaller and world economy bigger",
Princeton University Press, New Jersey
Planning a Cargo Type to Container Transport Conditions

Compatibility Characteristics
If goods are to be stowed together when packing a container, Goods may react with one another and possibly with their
environment. These properties of products must be taken into account, else may result in quality degradation and damage.
Their general classification is shown below:
Compatibility Relationships of Goods

Goods displaying neutral behaviour:;Mutually compatible goods are those which do not impair or damage one another
when stored together in a warehouse or in a container during transport, i.e. display neutral behaviour. These goods present
no containerization problems, their neutral behaviour meaning that they place no special requirements on container type
nor on container stowage space

Goods displaying active behaviour:;Goods, one of whose particular properties has an active effect on other goods or on
the environment, display active behaviour. As a rule, the active behaviour of a cargo results in unwanted changes, for
instance it may cause quality degradation/damage in other goods. This means that a cargo displaying active behaviour
can only be stowed together with goods which do not deteriorate in quality or become damaged due to this active
behaviour, for example penetrating odour foodstuff, which is difficult to remove and therefore must not be packed in a
container together with odour-sensitive goods, but is itself not odour-sensitive

Goods displaying passive behaviour: Goods which are sensitive to a particular property of other goods or of the
environment, display passive behaviour. Changes which are often irreversible and lead to quality degradation/losses are
caused to the cargo by active behaviour external to it, i.e. of other goods or the environment

Goods displaying active and passive behaviour: Goods, one of whose particular properties displays both active behaviour
and passive behaviour; they are capable both of causing quality degradation/damage to other goods and of undergoing
quality degradation/damage as a result of other goods

Goods displaying active and passive behaviour in more than one property:
These goods have several properties which display both active behaviour and passive behaviour, so meaning that they
can have a greater quality-degrading/damaging effect on other goods while themselves being at increased risk from other
goods. These goods place the highest requirements on container type, stowage space and loss prevention. Example:
Odour sensitive food stuff

Containers

Introduction

Containers are used to transport objects from one place to another. Unlike conventional shipping, container shipping uses
containers of various standard sizes—20 foot (6.09 m), 40 foot (12.18 m), 45 foot (13.7 m), 48 foot (14.6 m), and 53 foot (16.15
m)—to load, transport, and unload goods or objects.
As a result, containers can be moved by trains, ships and trucks. Most commonly and important container sizes are 20-foot
and 40-foot lengths. The 20-foot container is generally referred to as a Twenty-foot Equivalent Unit (TEU) and the 40-foot
container is known as the Forty-foot Equivalent Unit (FEU).

Types of Containers
The container shipping industry uses approved marine ISO containers which come typically in lengths of 20 (TEU) and 40
(FEU) ft. In addition to the standard container dimensions, there is a trend towards using larger containers with dimensions
such as 45 ft long and 9.5 ft high. There is also a wide variety of specialized containers used in the industry today

Types and Marking of Containers

Typical ISO (International Standards Organization) shipping containers are manufactured with identical size specifications in
terms of exterior height, exterior width, and exterior length. The standardization of containers and the adoption of the ISO
specification is to ensure that containers can be handled by all those involved in transporting and handling them. These
include, slot spaces on vessels, container equipment handlers, rail cars and prime movers.
An example in this regard would be the be the 40 foot standard dry container that has the following dimensions – Length –
40 feet, Breadth – 8 feet and a height of 8 feet 6 inches.
Other standard containers that are manufactured for sea transport among others are as below:
20 foot standard dry container; 40 foot high cube container (height is 9 feet 6 inches); the 45 foot high cube dry container;
the 20 foot refrigerated container; the 40 foot refrigerated container.
Flowchart of Container Types According to Requirements of Goods to be transported
Selection of Suitable Container Type

Types of Containers

Conventional Unit (General Purpose)

Also known as a dry container, they are made of corrugated weathering steel, and they have a timber floor. Cargo
securing lashing points are located at the floor level. Cargo can be ‘stuffed’ and ‘de-stuffed’ through twin locking full
height twin locking doors.
Open Top Container
This container type is covered by tarpaulin and permits top loading and discharging for awkward sized loads.

Half-Height Container
An open top container that is 4 feet 3 inches in height. They are designed for the carriage of dense cargoes like steel ignots.

Flat Rack Container

This is a flat bed with fixed or collapsible ends and no roof. They are used for cargoes of non-compatible dimensions or
special cargoes that require additional ventilation.
Bulk Containers
These are designed to carry free flowing cargoes like grain, sugar or cement. Loading can take place through hatch
openings on the roof of the unit. They have a small hatch at the base which allows free flow when tipping the unit. The have
fitted steel doors to facilitate cleaning.

Tank Containers
Framed tank units designed for the carriage of liquids. The tank is made of stainless steel and is cylindrical. The tank is
secured in the container framework, that has standard container dimensions (i.e, 20 foot or 40 foot). Tank containers can be
used for the carriage of both hazardous and non-hazardous cargo
Ventilated Containers
These are of general purpose container design, but they have full length ventilation grills, at the top, bottom and sides if the
unit. They are designed to carry cargoes that require a high degree ventilation during the sea voyage, e.g. coffee.

Open-Sided Containers
These containers have removable steel grate sides covered with PVC sheathing. The side grates allow adequate
ventilation, and therefore these containers are used to carry perishable goods and/or livestock. They also permit
unrestricted loading and discharging with grates removed.

Insulated Containers
This container type is used for carrying perishable cargoes like meat, fruits, vegetables etc. One type in this category is used
with refrigeration air blower systems to keep these cargoes fresh. This type of insulated container has two porthole extractors
fitted at one end of the unit to allow cool air (supplied by the ship’s cooling plant) to circulate. They are normally stowed
under deck close to, or adjacent to, the ship’s circulation ports.
The other container type in this category only relies on insulation to keep perishable cargoes fresh.
Refrigerated Container
These containers are insulated and have their own refrigeration unit. They require supply from the ship’s power source to
operate the refrigeration unit and are plugged to the ship’s power socket. They are used to carry perishable cargoes like
meat and foodstuff.

Allocation of Some Product Groups to Container Type

Standard Container Markings
Container marking is as illustrated in diagram no 11 and is as below:
 3 digit owner code
 1 digit product group code, e.g. ‘U’ for freight containers
 6 digit registration number (specific for each container)
 The check digit (1 number) – A check digit is a form of redundancy check used for error detection for wrong
manual entry of registration number and the owner code
 Size and type code – (in this case LEG1 – would be a 45 foot, 9 foot 6 inch high cube general container with passive
vents at upper part of cargo space)
The operational characteristics are self-explanatory.

Reeferated Containers

Before Loading Reefer Containers

Procedures to be followed prior loading reefer containers are as below:

 Vessels should always carry basic reefer spare parts, suitable tools and repair manuals specifically relating to the
type(s) of reefer units. These are required so that the reefer technician can effect emergency repairs during the
voyage if necessary. There are several types of reefer units in general use, one must note that each have their own
repair maintenance characteristics
 The ship’s crew should make certain that reefer container spares provided for are of the correct type and quantity
before loading commences
 Before loading commences crew should reconfirm that the vessel’s reefer plugs are compatible with the reefer
containers planned for shipment
 A number of reefer extension leads should be carried as a precaution against the failure of individual plugs
 There have been reefer containers losses have because of incorrect temperature settings sometimes caused
because of an incorrect understanding of the fahrenheit and celsius temperature scales and between plus and
minus temperatures. Therefore great care should be exercised to ensure that carriage temperatures are correctly
set as soon as containers are placed on board. Any discrepancy between container settings as received and bill of
lading instructions should be reported immediately
During Loading of Reefer Containers
Procedures to be followed during loading are as below:
Ensure the following details of the reefer container is delivered to the vessel prior loading:
 Container prefix number
 Container type
 Customer/shipper
 Commodity
 Setting instructions – set point / temp. Range / relative humidity / CO2 limits / ventilation settings.
 Discharging port / final destination
 Part low chart.
 Machinery seal
 Information about pre trip inspection of container.

Other requirements during loading of reefer containers are as below:

 Vessel’s staff must check that all instructed settings of the reefer container are complied with by doing a visual
check
 Plug in all laden reefer containers on board and acknowledge the transfer report from the port if all is OK (container
settings) after plugging in the container
 If the container is damaged on inspection issue an ‘equipment interchange receipt’ stating the damage
 If the reefer container is malfunctioning, report it and ensure it is rectified prior sailing
 Ensure a new part low chart (chart that records reefer temperatures continuously) has been inserted and is working,
ensure that there are spare charts available for the container if the chart requires to be replaced during the
voyage.
Ensure the part low chart is endorsed with the following details:
 Name of vessel
 Voyage number
 Container number
 Temperature setting
 Load port
 Discharging port
 Date of stuffing/change
 Ventilators closed/open (degrees)
 Humidity controls and CO2

During and After Discharge from Reefer Containers

Procedures to be followed during and after discharge are as below:
 Prepare copies of refrigerated containers lists with discharge instructions for each unit, these are to be delivered to
the ship’s agent
 Photocopy all reefer container part low charts and file them for your records, prior arrival
 After completion of a round voyage all documents related to reefer cargoes (photocopies of part low charts /
reefer monitoring logs /agent instructions / malfunction reports / etc.) must be sent to the agents
Refrigerated Container Piping Diagram
Diagram showing a Reefer container which can take two products, requiring different temperatures
Normal Air Circulation in Reefer Containers

Normal Air Circulation in Reefer Containers

Arrangement and securing of containers

Bay Number System

The bay-row-tier system is a numbering format for the arrangement of containers on a container vessel. In this numbering
system, the bay is specified first, then the row (transverse stow direction) and finally the container tier, which runs from
bottom to top.
According to this principle, bays are the container blocks in the fore and aft direction, rows are in the transverse direction
and tiers are the vertical layers. A container bay is a container stowage compartment space that is numbered from forward
to aft. The number of bays will depend on the size the size of the ship. Bays could be numbered from say 01 to 40 where Bay
01 is the first bay, forward while Bay 40 is the last one at the stern.
Odd numbered bays (1,3,5, etc.) will mean that it is a 20’ stow. An even numbered bay (2, 6, etc.) will mean that it is a 40’
stow. (note in this regard bays 1 & 3 combine to form bay 2, two twenty foot bays form one 40 foot bay, 5 & 7 will combine
to form bay 6 and so on)

Rows and Tiers in Bay Number System

Rows indicate the position of the container in the transverse direction. Rows start from 00 at the centre if there are an odd
number of rows while for an even number of rows the two centre rows will be 01 and 02. 01 and odd numbers then increase
progressively (01, 03, 05) to starboard, while 02 and even numbers increase progressively to port (02, 04, 06 etc.)
Tier denotes at which level the container is placed – basically how high the container is stacked on board. Tier numbers
start from 02 below deck and increase progressively by 2 (e.g. 02, 04, 06 etc.), while above deck it starts from 82 and
increases progressively to 84, 86 etc.
B-R-T Scenario and Stack Weight
Let us identify a container in the following b-r-t scenarios
100482 is a 40’ container stowed ON DECK on Bay 10, Row 04 (port) and Tier 82.
090102 – is a 20’ container stowed UNDER DECK on Bay 09, Row 01 (starboard) and Tier 02 which is the bottom most tier.
Stack Weight
Stack weight is the maximum weight that can be loaded on top of deck or hatch cover whichever is applicable on a
containership.

Lashing and Securing

It is a common scene to see the containers often getting damaged during the transshipment, the mechanical stress on a
container during various modes of transport are depicted below.
Methods used to Lash and Secure Containers

Methods used to lash and secure containers on a non-purpose built container vessel are as below:
 All containers should be effectively secured in such a way as to protect them from sliding and tipping. Hatch covers
carrying containers should be adequately secured to the ship
 Containers should be secured using one of the three methods recommended in figures below. The below diagrams
show the securing of container boxes on non-container vessels. (three methods are illustrated, A, B and C)
 Lashings should preferably consist of wire ropes or chains or material with equivalent strength and elongation
characteristics
 Timber shoring should not exceed 2 m in length
 Wire clips (bulldog grips, see figure) should be adequately greased, and tightened so that the dead end of the wire
is visibly compressed
 Lashings should be kept, when possible, under equal tension

Method A, medium weight containers, weight of top container not more than 70% of bottom container (from CSS Code)

Method B, medium weight containers, weight of top container may be more than 70% of bottom container (from CSS Code)
Method C, heavy weight containers, weight of top container may be more than 70% of bottom container (from CSS Code)

Fastening of wire lashing to corner fittings using a bulldog grip (from CSS Code)

Alternative construction of wire lashing (from CSS Code)

Bulldog grips used to make an eye on a wire rope

Container Ownership, manufacturing and code

Container Ownership and Leasing

The containers used in the industry may be owned by an ocean carrier or other transport entities. A good proportion of
them are owned by leasing companies.

Own vs. Lease

Type of container 40 feet 20 feet

Own a new container U.S. $ 2,000 U.S. $ 3,400
Lease (with a 5 year lease term) U.S. $ 0.75/day U.S. $ 1.25/day
Container Manufacturing
The manufacturing of marine ISO containers is done primarily in Asian countries today with the Chinese manufacturers being
the most dominant players. The table below gives you a summary of the container output and world fleet growth. The
following media explains about the Container Manufacturing.

Container Code
The International Convention for Safe Containers (CSC) was finalized in 1972 in response to the rapid increase in the use of
freight containers and the development of specialized container ships. It took effect in 1977 and applies to containers of a
prescribed minimum size having corner fittings (devices which permit handling, securing or stacking). The convention has
two goals:
 To provide test procedures and strength requirements that ensure the safety of people transporting and handling
containers
 To provide uniform international safety regulations that apply to transport by vessel, by road, and by rail, in order to
harmonize requirements that individual nations impose
Containers which are manufactured to meet CSC requirements have a safety approval plate - often called a “CSC Plate” -
affixed, containing technical data as prescribed by CSC. This plate is recognized by all Contracting States to the CSC. It
allows containers to move in international transport without undue delay by providing all the information needed for an
inspector to ensure compliance quickly and completely.
Amendments to the CSC in 1983 extended the interval between required re examinations to 30 months (where it remains
today) and allowed for a choice of container re examination procedures between the original periodic examination
scheme or a new “Approved Continuous Examination Program” (ACEP).

Lesson Summary
 Containerization is a shipping process. It allows the consolidation of smaller parcels, bags, bundles, bales, or crates
of cargo into standardized cargo units that facilitate their expeditious movement.
 The full benefit of containerization stems from the ability to exchange the load units from one mode to the others at
various nodes such as seaports and intermodal terminals.
 If goods are to be stowed together when packing a container, Goods may react with one another and possibly
with their environment. These properties of products must be taken into account, else may result in quality
degradation and damage.
 The container shipping industry uses approved marine ISO containers which come typically in lengths of 20 (TEU)
and 40 (FEU) ft.
 Containers are used to transport objects from one place to another. Unlike conventional shipping, container
shipping uses containers of various standard sizes—20 foot (6.09 m), 40 foot (12.18 m), 45 foot (13.7 m), 48 foot (14.6
m), and 53 foot (16.15 m)—to load, transport, and unload goods or objects.
 Typical ISO (International Standards Organization) shipping containers are manufactured with identical size
specifications in terms of exterior height, exterior width, and exterior length.
 The bay-row-tier system is a numbering format for the arrangement of containers on a container vessel. In this
numbering system, the bay is specified first, then the row (transverse stow direction) and finally the container tier,
which runs from bottom to top.
 A container bay is a container stowage compartment space that is numbered from forward to aft. The number of
bays will depend on the size of the ship.