Trends in Container Depot

The latest trends in container depot operations for 2023

Container depots play a pivotal role as maritime installations designed for the temporary storage of shipping containers. The dynamic landscape of technological advancements is reshaping the shipping industry, giving rise to a multitude of trends in container depot. These cutting-edge technological trends, which have already demonstrated their efficacy in other segments of shipping facilities, are now being harnessed to enhance operational efficiency within container depots.

Before delving into these transformative trends, it’s essential to establish clarity regarding the terminology surrounding container facilities. Specifically, distinguishing between the terms “container port,” “terminal,” and “depot” is paramount.

Now, let’s delve into the array of trends that are poised to revolutionize container depot operations, unraveling the ways in which they can drive operational enhancements.

What is the difference between a container terminal, depot and port?

The maritime facilities are built to offer cargo loading, unloading, container inspection, intermodal transportation, and customs clearance services to facilitate international trade. Every facility has a specific set of tasks to perform, and all work by cooperating and coordinating to minimise any delays or problems in the shipping operations. The seamless and effective working of the three infrastructures can help tackle the maritime industry’s challenges. Although they make a sound similar, each has a definite function to perform-

  1. Container Port– Ports are maritime facilities for commercial trade. The infrastructure extends on the coast of seas, allowing anchorage and docking of incoming and outgoing ships loaded with shipping containers or passengers. Containers are loaded and unloaded from ships at ports and then taken to depots or terminals.
  2. Container Terminal– The cargo intended for intermodal transport is taken to terminals for transhipment from land to sea and vice versa. They are located inside container ports.
  3. Container Depot– These infrastructures can be located inside the port, terminal, or some area away from the coast. It is a temporary storage facility for shipping containers until they are reloaded and ready to be sent for the next voyage or intermodal transport.

What is a container depot?

The maritime industry witnesses an influx of shipping demands being the most significant mode of transportation for international trade. It is essential to manage and supervise the containerisation and transportation of the intended shipments without any faults or cargo damage. Therefore, the maritime infrastructure has been integrated into various facilities to divide the operations and prevent potential congestion or bottlenecks in the marine industry. A container depot is a maritime facility located in the container terminal or the hinterlands away from major ports. These infrastructures act as storage houses and are full of empty containers waiting for their next consignment. In cases of an influx of containers, it takes some time to unload them, and they cannot be kept at ports or terminals. So depots accommodate such containers for the time being before they are unloaded. There are two types of container depots based on their location and the type of cargo they deal with.

  1. Inland container depot (ICD)– These are located in the hinterlands and deal with full container load (FCL) cargo. 
  2. Container Freight Stations (CFS)– These are found near the port of entry and deal with less than container load (LCL). Therefore, these depots are generally used for cargo consolidation. 

Purpose of container depot

  1. Container storage and handling– The shipping containers from ports or inland transportation are stacked and stored in designated areas on the depot. The storage space allocation is based on container type, size, and dispatch time. It helps in the easy retrieval of containers from stacks whenever needed. For storage purposes, container depots have cranes, forklifts and straddle carriers to facilitate cargo handling and repositioning inside the depot. It helps in minimising dwell time and reducing port congestion.
  2. Maintaining and repairing containers– Containers require periodic inspection after facing the harsh climate and pressure at sea. Repairing any wear, tear, or damage is essential to maintain container health. Container depots are equipped with skilled personnel that look into the maintenance, repairs and modifications needed in containers.
  3. Container inspection and clearances– It is essential for the container to comply with customs standards and security regulations to be deemed fit for the next voyage. It helps in minimising cargo damage and managing cargo integrity. Internationally inbound containers are inspected to look for any prohibited or illegal substances. Depots collaborate with customs to facilitate clearances so that the containers can timely reach the ports for their next voyage. It cuts down on any unnecessary delays caused due to delays in documentation and verification.
  4. Container interchange– Depots are utilised in storing shipment arriving from one mode of transport until it is ready to be loaded on another. It generally takes place between containers designated for shipment between trains and trucks.

Benefits of container depot

By integrating the various trends in container depot, port authorities and shippers can reap various advantages.

  1. Depots allow easy transhipment and help in offering continuity in the supply chain.
  2. It helps in reducing significant delays by handling customs clearances and inspections.
  3. Containers facing minor to major issues, such as fixing wear and tear, rusting, flooring decays, and repairing doors or locks, can all be done at depots.
  4. It enables a swift turnaround time by efficiently stacking and storing containers inaccessible places.
  5. They are often located near major highways, ports and railways, allowing advanced intermodal connectivity.
  6. It also temporarily stores reefer containers in refrigerated areas for temperature-sensitive shipments.
  7. The packaging and shipment of goods and the unpacking and distributing of goods can be easily carried out at depots.

Design of container depot

  1. Since the main task of depots is storing, they have advanced storage facilities to accommodate enormous amounts of containers.
  2. To enable safety, container depots have multiple entry and exit points, each secured by security checks. It allows for keeping away any illegal substances and reporting them to the authorities if found.
  3. Adequate amounts of specialised equipment are present for the seamless handling of cargo containers.
  4. Depots have in-house customs offices, so cargo loading and unloading inspections are available anytime. It also facilitates regular container inspections.
  5. The depot is connected to an elaborate network of roads and rail networks from multiple exits and entries to allow fast and more accessible transportation of goods.
  6. Depots are integrating advanced technology to improve operational efficiency and boost productivity.

Trends in container depot

  1. Automation– Automated guided vehicles (AGVs) lend a helping hand in handling the containers at the depot. It helps minimise manual dependency and risks of human errors, thereby increasing operational efficiency. AGV can be equipped with advanced navigation to cancel manual-driven machinery and carry out independently driving containers around the depot.
  2. IoT technology– The IoT devices, once attached to containers, help offer the real-time location of the container. It helps find where the container is stored in the depot and reduces the risks of theft or tampering. For example- if the container is stored for unloading, IoT sensors attached to them relay information regarding the internal environment of the container to avoid cargo damage.
  3. Artificial Intelligence– Container depots are responsible for carrying out any maintenance and repairs concerning the container. For example- AI-powered predictive maintenance helps know the health of depot containers, equipment, and machines used to deliver timely maintenance. It helps reduce disruptions in the supply chain due to sudden breakdowns, reduce costs spent on repairs, and enhance operational efficiency.
  4. Blockchain technology– Stakeholders can legally and securely carry out shipping transactions using blockchain technology. It offers a transparent platform for recording and verifying all transactions related to the port or depot so that the authorities can proceed with further documentation. For example- Stakeholders can make legal transactions, check their shipment status and track the assets’ whereabouts throughout their supply chain lifecycle.
  5. Green initiative– The green revolution has spiked many industries to adopt eco-friendly practices for shipping activities. For example- depots may switch to solar panels instead of utilising fuel to complete operational activities. It helps in decreasing carbon footprints. Container recycling helps use the container parts from discarded containers to maintain and repair containers that are still in use.

These trends in container depot will lead the shipping ports towards sustainable and efficient operations and enhance productivity and profitability.

LOTUS Containers, a leading marketers of different types of shipping containers. We have an advanced network with 300+ container depots to handle the container needs of our clients.

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