As freight specialists, we are often asked this question. When considering international freight forwarding for any purpose, there are many decisions that need to be made. Whether importing or exporting stock for business purposes or moving house overseas, making the right decisions is vital.

For international freight, you have options to both buy and rent shipping containers. The point may come where you consider the best option for you; shipping containers for sale vs renting a shipping container.

Which is the best option?

How an international shipping service works.

When shipping goods overseas, a set fee for the rental of a shipping container is commonly included in the price.

Renting a returnable container in this way lets you use the container for a certain amount of time;

• An amount of time to load your goods and transport the container to the port.
• The time that is taken to ship from the port of origin to the destination port.
• After offboarding from the ship, a certain amount of time to get to the end destination and then return the container to the shipping line who owns it.

If the cargo container is not returned to the shipping provider before the deadline, additional fees will be charged. These are known as demurrage fees and can easily be in the order of $60 per day (per 20ft container) the container is overdue.

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The decision to rent or buy will be based upon a number of factors.

To rent or buy a shipping container?

Shipping containers for sale or to rent?

Firstly, ask yourself these questions to help clarify which option will be most suitable.

• Where is the final destination for the delivery? Is it far from the port? How long could it be expected to take to get there (and back)?
• How long will the goods take to be unloaded from the container?
• Can any delays be expected with transportation after offboarding from the ship? For example, these can be due to;
  • Conflict in road or rail transportation scheduling.
  • Unstable political situations in the country of destination or other country en-route.
  • Weather conditions based upon time of year.

If a variety of these factors will cause a delay in returning the cargo container to the shipping line, it may be cost-effective to purchase the container outright.

The financial decision will, of course, be weighed on other factors;

• Do you want or need a shipping container?
• If you purchase a container, do you have the space to store it?
• If your owned cargo container is overseas, how will you get it back?

Of course, once you have your container you’ll also want to understand how to pack a container for overseas transport.

Support with international freight forwarding.

For assistance in making the right freight forwarding decisions, speak with us at SPLS. As freight forwarders with decades of experience, we will help you through all the options and develop an effective shipping plan for you.

The post Renting or Buying Shipping Containers for Freight Forwarding? Which is Best? appeared first on Air and Sea Freight Forwarding Logistics Specialists.

If you are looking at shipping containers for sale, here is a quick guide to help.

SPLS can help find and purchase a container on your behalf.

Reasons for purchasing a shipping container

Shipping containers are also known as cargo containers, freight containers, ocean or sea containers, and occasionally rail containers.

However you want to call them, most people or businesses will investigate cargo containers for the purpose of importing or exporting goods. There are various other reasons, however, that people consider shipping containers for sale.

• Use as long-term storage containers.
• A high volume of import or export where purchasing containers is more cost-effective than renting.
• Unusual destinations where it is difficult to return rented containers to the shipping line in a timely manner. This can incur demurrage fees (effectively late fees) that can become costly.
• Creating a shipping container office.

New vs used shipping containers

Shipping containers are graded into three different categories.

• A grade – New or near new shipping containers.
• B grade – Used shipping containers, but still wind and watertight.
• C grade – All others. Typically used just as storage containers.

The grade of the cargo containers needed is dependent upon the intended usage. Obviously, if you are shipping good by sea freight, wind and water tightness is ideal.

The quality grade of the container will also have an impact on the price of purchase.

Shipping container sizes

Cargo containers come in a variety of standardised sizes. Some are more common than others, however, and sizing may have an effect on the ease of transportation.

Most container sizes are described using the US imperial unit of “foot”. By comparison, 1 foot (ft) is approximately equal to 30.5 centimetres (cm), or 3.3ft is approximately equal to 1 metre (m).

The most common sizes of shipping containers are;

• 20ft container – most common size for sea containers. Available as both general-purpose (GP) and High Cube (HC) heights.
• 40ft container – another standard size for a sea container.
• 10ft container – Half-length of the standard 20ft shipping container. Not common.
• 45ft container – Typical sized rail container. These are an ideal size for rail, but not commonly shipped by sea.
• 48ft container – Similar to the 45ft container.
• 53ft container – mainly used in the USA. Also, not all are suitable for sea transportation.
• General Purpose – Most 20ft and 40ft containers are General Purpose (GP). They have a height of 8ft6.
• High Cube – Slightly greater height container. High Cube (HC or HQ) have a height of 9ft6 providing greater volume and allowing taller items to be loaded.
• Other types – Refrigerated (reefers), liquid tank, bulk, open-top, pallet wide.

The 40ft and 20ft shipping containers are the most common standard sizes. They will be transportable on almost any shipping line in the world. Other container sizes may not be so easily transportable by sea and have other intended uses.

Shipping container cost

Shipping container prices will be dependent upon a variety of elements.

• As noted above, A-, B- or C-grade. Cheap shipping containers will generally be lower grades.
• Larger containers will generally be more expensive.
• Type of container. Specialised containers will be more expensive.
• Is the container you want easily accessible.

An average 20ft container price will be around $3,000 with a 40ft container price being around $3,500. These will be variable based on the factors listed above.

New and used shipping containers

If you are looking to buy a shipping container for any reason, SPLS can help. With decades of experience in freight forwarding, we have purchased containers for many of our customers.

We can help source and purchase a shipping container for you. Contact us for more information.

The post A Quick Guide to Buying Shipping Containers appeared first on Air and Sea Freight Forwarding Logistics Specialists.

When selecting a shipping container for overseas sea freight, the most common factor is container size. This will usually come down to whether you will want a 40′ or 20′ container. There are other types of overseas shipping containers available, however, they are typically only relevant for specialised logistics.

Much of this decision will be based upon the volume of goods you want to transport. The internal storage capacity of the chosen container, or containers, will partially determine your requirements.

Whilst we can provide you with more specific technical information, the basic standard dimensions, as mentioned above are either 20ft or 40ft long. The widths for these standard shipping containers (also known as intermodal containers) are the same and the heights come in two variations;

• 20ft or 40ft long x 8ft wide x 8ft 6inches high. These are known as “GP” or General Purpose shipping containers.
• 20ft or 40ft long x 8ft wide x 9ft 6inches high. These are known as “HQ” or High Cube containers.

Whilst it does not seem like much, the additional foot of headroom in the HQ containers provides approximately 13 percent more capacity. Be aware, though, that the High Cube shipping containers are less commonly available than the General Purpose containers.

Volume Estimations for Shipping Overseas

If you are importing or exporting commercial goods you will generally have a reasonable idea of the volume those goods will take up. You simply need to consider box or pallet dimensions when calculating capacity. Multiply this by your total shipment size to determine the overall required volume. If you are shipping non-standard cargo it may be important to look at maximum dimensions to ensure items will fit into a standard container. If not, you may need to consider more specialised logistics to ship your goods overseas.

If you are relocating and moving overseas by sea freight, however, estimating volume is a more difficult proposition. As a general rule of thumb, it is accepted that a 20′ container is large enough for the contents of a ‘normal’ 3-bedroom house. If you want to take your car, boat or other vehicles, you are more likely to need a 40′ container. If you are wanting a shipping container for self-pack moving you’ll also need to consider your packing efficiency. Goods should be packed to ensure little movement during transportation whilst maintaining sufficient protection against jolts and vibration.

Factory Relocations

Of course, estimating size and volume requirements for factory relocations is another ball-game entirely. There are a multitude of factors to consider before you can begin moving to your new location.

If your company is looking at a factory relocation you’ll need to speak to freight specialists such as ourselves. It is important to contact us early in the relocation process so that we can produce an effective freight plan for you. We can also advise on the entire relocation process so you can avoid damaging or costly mistakes.

Other Factors For Choosing an Overseas Shipping Container.

Internal storage capacity should not be the only reason to choose a specific container size, however. Sometimes it may be necessary to break loads down into two smaller containers rather than a single larger one.

After the choice of 20ft shipping container vs 40ft, the decision can get much more complicated. Of course, we are here to help.

The questions you need to ask yourself are;

What is the end destination for the container (and it’s contents)?
Whilst the vast majority of ports globally can handle both 20′ and 40′ shipping containers, your goods may need to travel onwards from the port. Transportation and infrastructure at the destination may be of concern, especially with regard to the 40ft containers. For example; some Pacific Island countries will struggle to handle 40′ containers outside of the port.

What is the availability of specific shipping containers?
We will not have any difficulty sourcing standard GP containers, however, HQ containers are less commonly available. This will need to work with your timeframe for shipping.

Do you want to buy a shipping container or just lease for the period of transportation?
The cost to buy a shipping container may become a factor. Additionally, if you purchase a container, where will it be stored long-term? See our guide to buying a shipping container.

Estimating Sea Freight Costs

Your sea freight costs for the shipping lines and/or purchase of containers are dependent on what you require. We can assist with the lease or purchase of a shipping container plus arranging all your freight logistics.

If you required more specialised logistics, for something like factory relocations for instance, we can create customised freight plans covering all aspects of the move.

There are no hard and fast rules, and each set of circumstances will be unique. Please contact us to discuss your requirements and options.

The post What size shipping container do I need? appeared first on Air and Sea Freight Forwarding Logistics Specialists.

In general, we always recommend that you take out freight insurance for your shipment. In the real world though, there are a number of factors that should be considered. You should know the value of the goods, the cost of insurance, the risk involved, and any excess charges or restrictions that might apply. This will help you make an appropriate decision.

For self-pack shipping containers with household and personal effects, there are several important factors to consider:

• How well are your goods and possessions packed?
• Are you packing yourself or having a removals company do it for you?
• Do you have a valuation of your goods?
• Does the thought of losing your possessions keep you up at night?
• Is the cost of insurance fair and reasonable for the risk?

We’ll explore each of these factors in more detail.

Self-Packing Goods for International Shipping

If you are shipping any furniture and/or white goods, then wherever possible, you should repack the goods into their original packaging. If you are like most people, however, you won’t have kept any of that. So, you have to consider how best to package anything you wish to send. You should;

• always have a good supply of cartons for things like kitchenware, clothes and books.
• ensure you have enough bubble wrap, packing tape, packaging materials, blankets, sheets and so on.
• give your best attention and efforts to the items which are most valuable and/or fragile.

A Shipping Container Self-Pack Overview

There are a number of elements worth highlighting when packing up for an overseas relocation.

• Make up a packing list with all items and their approximate value written down. This list will help with insurance and any customs inspections. It can also help with managing possible taxes and charges due at your destination.
• Ensure all cartons are labelled with a general description of what they contain. This may be useful for if the goods are checked or inspected at the destination. It is also extremely useful for yourself when you start to unpack or need to find an item urgently.
• If you are uncertain of how much packing material to use, go for excessive packing and protection. Ocean freight transportation can be rough. This is both with regard to the potential weather at sea and the journey a shipping container takes throughout the shipping process.
• Larger items such as furniture and other valuables can be well protected against each other with sheets and blankets. You can use your existing sheets and bedding or purchase dedicated removalist blankets. Ensure that you have enough of your own, even if using a removalist company to help you pack.

Self-Pack Shipping Container vs International Removals Company.

Bear in mind that however you pack your own container, all of your items need to be tightly secured.

Containers have a number of “tie-down” points for you to secure your furniture and other items. You will need your own blankets, sheets, pillows and the like, however, for added protection. These also help to protect your items from any movement or rubbing against each other. They also help to prevent movement of items within the container.

Remember that vessels will encounter storms and rough seas, and swells of up to 20 meters are not uncommon. Just remember that the goods inside a container onboard a vessel that encounters such swells will be subject to severe stress and movement.

Once again, it is imperative that all items are tightly packed and secured to prevent damage.

If you are packing the container yourself then ensure most of your goods are packed before the container arrives. Generally,  you will only have a few days to pack the container securely unless you have actually purchased the shipping container instead of leased it.

If packing is not for you then a simple alternative is to hire a professional removals company. They will pack and/or remove the goods from your house and bring the goods to our nominated container depots in each main port city. These professionals then transload the items from their van into the container, ready for shipping.

Whilst a removalist may use their own blankets and the like for the domestic movement, they will not use this same packaging for export. They will not be able to get their blankets back. It is imperative that you provide enough blankets, sheets, pillows, strapping and other materials for use when packing your container.

Valuing Your Goods and Deciding Fair Value for Freight Insurance

There are definite advantages to arranging freight insurance. The main one is peace of mind; you can sleep at night knowing that your items are covered.

But, firstly you have to consider a fair value.

Consider that if you had a total loss, how much would it cost you to replace the goods?

• Do you have any formal valuations of any items? Keep a copy on hand, just in case.
• Some items may be sentimental, or even some furniture “irreplaceable”. How much are they worth? In these cases, you still need to be practical.
• What is the condition of your goods? how much are they really worth.
• Remember, the more you value your goods, the higher the insurance premium will cost, so be realistic.

Insurance companies will not pay you just any old amount. They are also unlikely to cover you for surface damage that may or may not have occurred in transit.

If you use a professional removalist service from your house until the goods are secured into your container, then you will need to be able to provide a receipt for their services. If you use a removalist, the insurers consider the container to have been professionally packed. The individual terms and conditions of the insurance policy will differ depending upon the company you use. One benefit of this is that you will be able to claim insurance for professionally handled and packed goods. This will cover you from door to door including total loss of the container.

If you pack the container yourself, also check with your insurance company what they will or won’t cover. Anything you pack yourself obviously saves money, however, risks receiving a more limited cover. Some companies only offer total loss insurance on self-pack containers.

Our Freight Shipping Services

Freight insurance is not included in our international shipping services unless specifically requested and paid for. We can, of course, advise and assist you in getting the proper insurance coverage for your shipping. Alternatively, it is possible for you to arrange independent insurance coverage.

All air and sea freight shipping realistically involves some potential rough conditions and handling, all goods are shipped at your own risk. This is the purpose of insuring your shipment. Any and all claims are only assessed and settled by a formal insurance company.

Arranging Shipping Insurance

There are a number of 3rd parties which arrange cargo insurance. Some we know of are:

• Good in transit insurance
• Carts
• Commercial Freight insurance

Also, check out your local insurance broker as they have many other products available. For instance, Vero and QBE offer insurance for household removals but these insurance products are generally only available through brokers.

Please note; The above information is only general in nature. You should always seek advice separately and ensure that any insurance covers your requirements specifically.

It is up to you!

Arranging Your Sea Freight

We can help arrange all your sea freight and shipping requirements. Contact us if you are relocating overseas and would like help.

The post Self Pack Containers – Do you need Insurance if you are relocating overseas. appeared first on Air and Sea Freight Forwarding Logistics Specialists.

There are many different types of shipping containers available. This overview is by no means all-encompassing.

Container vessel sizes are normally described in terms of TEU (also written as “teu”), or Twenty-foot Equivalent Units. This approximately describes how many standard 20-foot shipping containers the vessel would be able to carry. For example, a certain vessel’s capacity may be described as 3500 teu. This is regardless of the quantity of FEU (Forty-foot Equivalent Units) or other sized containers that the vessel actually carries.

Shipping Container Sizes

Going back a number of years, the typical smallest sized shipping container available for transport was 10-foot long (or approximately 3 metres). The days of 10′ containers or less on any import or export trades are long gone.

These days the smallest size is a 20′ (or 6 metre) container – commonly referred to as a TEU, as described above. This is the most common sized shipping container (although it comes with a few variations). The next most commonly sized cargo container is a 40′ (or 12 metre) container – commonly referred to as an FEU.

Some trades and ports cater for 45′ containers, but not in Australia except for some domestic rail operators.

Types of shipping containers.

There are a variety of shipping container types, each one designed for specific types of cargo.

General Purpose (GP) containers

The vast majority of cargo is transported in GP (general purpose) cargo containers. These are fully enclosed units with doors at one end only. These containers can be 20′ or 40′ long, are 8′ wide, and normally 8’6″ high externally.

High Cube (HC) containers

HC shipping containers are 9’6″ high with similar length and width dimensions to the GP containers. HC containers are readily available for 40′ long containers, but 20’HC containers are not available from all shipping lines or all trades.

When packing your freight container you will need to consider internal dimensions, door openings and cargo weight in all cases.

Open Top containers

Open tops come as either 20′ or 40′ in length. These are similar to GP containers except that they do not have a hard fixed roof.

These are often used for machinery or similar items that can only be lifted at the shipper or the consignee by an overhead crane. Cargo can be either in or out of gauge. In gauge means that the cargo is below the height on the container, and out of gauge (OOG) means that it is higher than the actual container.

Flat Rack containers

Flat-rack containers are just that; they only comprise a container base and ends that can be either folded down or left in place. Flat rack shipping containers are mostly either 20′ or 40′ in length.

These containers are typically used for machinery or similar cargo that does not fit into GP containers. The cargo can be over-dimensional in any or all ways but still needs a method of easily transporting it. The main consideration is the securing of the cargo and subsequent lifting and handling of this type of container and cargo.

Refrigerated containers

Refrigerated shipping containers are commonly referred to as Reefer containers. These are either 20′ or 40′ insulated units with a refrigeration unit that can be set at a temperature suitable for the cargo. For example, a container is set for hard frozen for products such as ice-cream, but y temperature-controlled for products including wine, beer, or other dairy products.

ISO tanks

ISO tanks are always 20′ cylindrical tanks in a square framework to fit into the vessel slots. These are commonly used for commodities such as wine in bulk, or chemicals in bulk, and can also be temperature controlled to suit the cargo.

How do you access a shipping container?

That is where SPLS can help. If you need to import or export cargo of any type, come and speak with us regarding a shipping plan.

If you are interested in learning more you can also read our article on whether to rent or buy a shipping container when transporting goods overseas.

The post Different Shipping Container Types and Their Uses appeared first on Air and Sea Freight Forwarding Logistics Specialists.