Drayage services support intermodal cargo shipping by increasing logistics and transportation efficiency. They interconnect various modes of transport for a smooth shift of cargo from port to warehouses and beyond. It is quite challenging to connect over transshipments in intermodal transportation. These services play a critical role in providing short-distance transportation between different modes. The availability of empty containers, weather conditions, space on vessels, trucks, and other modes affect the entry and exit of these shipments. Drayage service here is a savior that manages the on-time delivery of goods to the subsidiary ports. 

Furthermore, we will discuss the basic drayage services in intermodal cargo shipping and their importance, types, and challenges.  We will elaborate on their role in shipping and logistics to clarify their usage in global trade. 

What are the basics of drayage?

Drayage refers to short-distance transportation that facilitates movement between various modes. It is limited to a particular mode’s jurisdiction and is mainly a part of a long journey. Drayage services include certain services: 

• Transportation of containerized cargo from one port to another. 
• It also involves cargo transfer from a port to a rail yard to initiate the next stage of the journey.
• To truck cargo to the ultimate location. 

It is an important constituent of the logistics industry as it allows companies to transfer goods cost-effectively and efficiently. The departure and the arrival points are part of the same metropolitan area. 

Brief history of drayage

Drayage is not a recent term; it has a history. Drayage in the shipping industry requires an analysis of its roots. Initially, the word was derived from the sideless horse-drawn cart used to transport goods across short distances in the 16th and 19th centuries. The need for transportation and storage increased with increasing trade in Europe. Drayage primarily involves transporting freight between ports or warehouses. The term “dray” means “to haul” or “to draw,” derived from German, Dutch, and Old English words. As discussed, it is named after the dray horses performing similar functions. 

The role of drayage in intermodal transportation

The drayage services play a crucial role in intermodal transportation. Let’s explore drayage and its role in logistics in the following brief points : 

1. Efficient cargo movement: Intermodal transportation involves halting at different ports and depots to shift the cargo from one mode to another. Drayage services enhance the cargo moment over short distances. At busy container depots, you can easily transfer goods across borders. 
2. Supply chain flow: Efficient container drayage services ensure a consistent supply chain flow, covering production, container transportation, and distribution across borders. Transport hubs connected to these services are beneficial. 
3. Seamless transitions: These services facilitate seamless transitions between transportation modes. They are a logistic service, the only difference being that they are provided between the ports. Drayage carriers ensure smooth transitions between transportation modes.
4. Important for logistics management: This service is part of the logistics industry, so maintaining the logistics cycle is crucial. Understanding drayage is crucial for anyone involved in freight shipping and logistics. Without it, you won’t be able to undertake transshipments across borders. 
5. Key link: These services of container solutions act as key links between the various modes of transportation, such as trains, rail, or sea. These services make this link easier to manage and ensure that your complex transportation isn’t too complex for your operations and will not affect your shipment time and efficiency. 

What are the types of drayage services? 

As we have explored what drayage services are, now we will discuss the different types of drayage services inculcated in intermodal transportation: 

1. Pier drayage type involves a service that handles cargo exit points. For instance, when the cargo is transferred from the railroad to the other ports or pier from where the cargo will finally depart. The service facilitates the shifting from one port to the drayage port.  
2. Expedited drayage is a specialized service in drayage solutions that aims to transfer goods quickly to other ports. This type is mostly employed for shipments that require on-time transportation. It ensures timely delivery of goods for further intermodal shipping across borders. 
3. Intercarrier drayage type is also a special type of drayage service that involves transportation across different carriers, primarily transferring goods and freight containers from one mode of transportation to another. It focuses mainly on container handling and carrier coordination. 
4. Door-to-door transport involves transporting goods from the sender’s location to the recipient’s without the customer’s involvement during the transportation. This service is top-rated in shipping, freight forwarding, and courier services. 
5. Intra-carriage is a drayage service managed entirely within a single carrier’s network. It involved transferring goods across different ports of the same transportation company. 
6. Shuttle drayage type: This type of service is provided with a similar motive but in a repetitive and scheduled manner. Logistic providers and supply chain managers commonly use it to transport goods across ports, terminals, rail yards, warehouses, and distribution centers. 

Challenges of drayage services

With the changing logistics and shipping dynamics, consumer behavior, and geopolitical conflicts, providers face many challenges while providing these drayage services. The following are the challenges: 

1. Port congestion: It involves shifting cargo and containers, which meet various logistical needs. Port congestion leads to delays in loading and unloading container types. When there are more shipments to overtake, it becomes quite difficult for the operators to manage the logistics and transfer. 
2. Equipment reliability: Logistics requires various equipment to transfer goods. If any equipment fails to work, it can dismantle the whole process. Heavy loads taken to destinations with human labor also require machinery, which creates the need for smart ports. 
3. Skilled drivers: The transfer requires skilled drivers. Sometimes, goods are hazardous and sensitive to standards set by organizations like the IMDG code, and they have to ascertain ways to deal with them. So, it seems essential for the shippers to educate their workers about container and cargo handling.
4. Fuel price fluctuation: The fuel prices of vehicles used in transportation across borders affect the whole supply chain and limit the use of machinery for logistic purposes. Rising fuel prices increase operational costs, impacting the affordability of machinery used in logistics.
5. Regulatory challenges: Every country has rules and regulations set by its regional organizations. Following these rules and standards is essential to maintain good relations with foreign countries. 

Drayage services in intermodal shipping enhance the logistics and shipping operation, facilitating transportation from one port to another or other warehouses. This concept is not new; it’s been around for a long time, but it is now specified. These services offer various benefits but have many challenges, too. Evaluating the available drayage services, their types, and your specific cargo requirements is essential to select the most suitable option for your logistics operations.

LOTUS Containers‘ partnerships with more than 300 container depots provide the best port logistics for your shipping operations. This will enhance your supply chain management and ensure the on-time delivery of goods across ports.