The Curious Case of

Containers
Prepared by Afeef & Noushad
Falcon Institute of Logistics
 What is a Container?

• The answer for this question is

quite similar to everyone. As the
name itself indicates, closed box
that contains something.
•
• Well, on Logistics point of view
container are closed box for
carrying different kinds of
goods for multimodal
transportation.

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 Advent of
Containers

The concept of intermodal

shipping in maritime trades was
born when Malcom.P.McLean
made that first shipment on
April 26, 1956.

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• Malcom Maclean hit upon the idea of using containers
for transportation of goods years back while watching
goods being hoisted onto ships from trucks at the dock side
where he and his truck were waiting for their turn.

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 •

His ideas were based on the

theory that efficiency could be
vastly improved through a
system of "intermodalism", in
which the same container,
with the same cargo, can be
transported with minimum
interruption via different
transport modes during its
journey.


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Containers could be moved
seamlessly between ships,
trucks and trains. This would
simplify the whole logistical
process and, eventually,
implementing this idea led to
a revolution in cargo
transportation and
international trade over the
next 50 years.


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 For the private sector, containers held the
promise of secure, dry storage of cargo
and controlled climates and added
shelf life for perishables. Yet, despite
favorable reports about the use of
containers, the concept of
containerization seemed far-fetched to
all but the most forward-thinking in
the early 1950s.

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 Tu rn a ro u n d
In v e n tio n
After buying the two steamship companies he started
conducting trials with containers on his tankers ships.
Finally, on April 26 1956,a Pan Atlantic T2 Tanker called
Ideal X sailed from Port Newark NJ to Houston carrying
58 x 35 containers.
 Fate of Containers Today
In the year 2000, the container trade recorded a
massive 200 million TEUs and the traffic is estimated
to grow at an average rate of 5 per cent per annum
over the next 10 years. It might even double by 2010.

As more Asian and Latin American economies pick up,
a further growth of the container trade looks
inevitable

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 Root of Containers Birth
The idea of using some type of shipping container was
not completely novel. Boxes similar to modern
containers had been used for combined rail- and
horse-drawn transport in England as early as 1792 .


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•Like many 20th century
innovations, containers were born First containers used in america in during war

out of a sense of urgency. First used

by the U.S. government during the
war, they proved the ideal means of
quickly and efficiently unloading
and distributing supplies, which was
of paramount importance at the time.

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Instead of shipping
commodities in bulk,
army and navy
specialists began to
mix cargo by loading
freight onto pallets,
then loading the pallets
into specially
constructed “boxes.”

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Indian Emergence of
Containers
Containerisation came to India
in Nov 1973, when APL.s
President Taylor called
Cochin. Indian ports put
together achieved a throughput
of 2.2 million TEUs in 2000
with JNPT emerging as the
leader of the pack.

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
The growth of containerization in India has not been as
commendable as in certain other Asian countries.

But of late a major shift in focus is seen, with the
Government showing bigger initiative and the major
ports going in for expansion of their container
handling facility.




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

Though in the 70.s and early 80.s there were mainline
vessels calling Indian ports, the later part of 80's and
early 90's saw that stop because the ports failed to
develop itself to accommodate the Panamax and Post
Panamax vessels.

This led to Colombo, Singapore and Dubai becoming
the transshipment hubs for ports in India.

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Containers Awaiting the
Future
Containerization reduces time in transit, the inventory
costs and increases reliability. Such benefits are
forcing the industry to make it more favorable in
terms of cost, flexibility and speed.

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
Container traffic from Asia is expected to grow more
rapidly in near future. The containerization in terms of
expansion is expected to be far rapid in China.

The Asia's share of containerized exports to world’s total
exports is expected to reach nearly 64 % in 2015.




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 Biggest ISO Container
Companies
Company TEU capacity Number of ships
A.P. Moller-Maersk Group 2,022,956 539

Mediterranean Shipping Company1,517,200

S.A. 409

CMA CGM 1,023,208 365

Evergreen Marine Corporation 594,154 162

American President Lines 531,865 135

Hapag-Lloyd 475,282 120

COSCO 469,848 146
China Shipping Container Lines 449,469 139

NYK Line 412,711 109

Hanjin Shipping 406,462 90

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Conclusion
• It is quite clear now that due to the emergence
of containers there had been a massive change
in the world trade.
•

• It has changed the Logistics with a new life by

providing improved transportation facilities.
•

• I conclude this project by believing that it had

been enough worthy to study about this
subject.
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 Thanking You for Your Patie
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