Tag Archives: intermodal transportation

What Is Drayage Shipping and When Do You Need It?

Drayage shipping is moving container freight over short distances, mainly in the same metropolitan area between ports, facilities, rail yards or other shipping hubs. Drayage transportation is handled by trucks and is usually part of intermodal transport. The service is in extremely high demand in large port cities, like Los Angeles, Miami, New York, Baltimore, Seattle, and more.

The History of Drayage

Surprisingly, the history of drayage service goes further in the past than many can imagine. In fact, the term “drayage” originates from the word “dray.” This is an old vehicle which means a low cart without sides, driven by horses. Obviously, such carriages couldn’t handle long hauls and moved goods over short distances within the villages and towns. The technology was used until the beginning of the twentieth century before modern trucks replaced it.

The Role of Drayage in Intermodal Transportation

Although drayage seems like a small link, it plays a substantial role in the entire supply chain. Quick and safe pick up of your cargo and smooth delivery to the next shipping dock ensures that every following operation goes well. Essentially, proper equipment and well-organized load planning are crucial for an efficient drayage move.

Intermodal shipping accounts for a sufficient part of overall cargo movement. According to the Intermodal Association of North America, 95 percent of intermodal freight goes in a container at some point of transit. This means drayage, which is primarily transporting a container, is critical for companies who ship intermodal.

What Services Does Drayage Include?

  • Moving cargo from port to port
  • Port to the rail yard
  • Port to warehouse/shipping hub
  • Facility to the port, rail yard, or another facility

What does the drayage transportation process look like?

The intermodal drayage process begins with receiving a container with freight at the port, facility, warehouse, or a rail point. Then, the received goods are separated, loaded and taken to its next destination point. Short distance shipping as drayage is handled by trucks. Consequently, companies who use drayage services need accurate scheduling and shipment planning. That’s where a third-party logistics provider (3PLs) can help.

Ultimately, any successful logistics operation starts with proper planning. Make sure to find a reliable transportation partner. Whenever you need to pick up freight and move it to the next hub, drayage services step into the game. It can be a efficient solution for your intermodal strategy.

When Should You Use Intermodal Transportation?

Shippers who work to reevaluate their current shipping strategy should pay attention to intermodal transportation. More and more companies switch to this solution since it lets them reduce time and costs used on transportation. Despite the fact that intermodal involves several transportation modes, it can actually bring more efficiency than a single OTR shipping. 

What is intermodal?

Intermodal is a combination of two or more transportation modes. It suggests moving freight without any handling during changing modes. On each stage of shipping, a different carrier manages your load.

Benefits of intermodal

With all the modern problems of trucking, like tight capacity, gas prices, gas emissions and the driver shortage, finding capacity can be complicated. Eventually, many shippers are seeking ways to reduce their transportation costs and move freight more efficiently. It turns out that intermodal shipping can be a great solution for those needs.

Shippers use intermodal transportation for a variety of reasons:

  • Reduced transportation costs. Intermodal combines different shipping modes. Some of them, like rail, can eliminate the overall shipping price. Additionally, it lets you save on fuel. Intermodal shipping also means your freight is moved in containers, which do not require individual handling and cuts manual labor cost.
  • Reliability and safety. In terms of capacity, you can always rely on intermodal. Unlike the OTR mode, rail and other modes give you guaranteed capacity and resources. Shipping with rail is more convenient and secure than trucking because the freight goes through a solid route with fewer stops. Additionally, containers and no handling ensure shipment safety. The train is less likely to cause accidents and can avoid highway congestion.
  • Eco-friendly. Being environmentally conscious is the new thing in the shipping industry. In fact, trucking is a major contributor to overall air pollution: 28 percent of all GHG emissions are caused by heavy-duty trucks. Using alternative transportation modes can drastically lower your carbon footprint. Additionally, more customers become interested in your social mission. Going green can help reduce costs, help the planet, and raise your brand awareness.

Eventually, intermodal shipping can offer companies many considerable advantages. However, it won’t be the best solution for every company and lane. You should choose the shipping strategy depending on your freight type. mileage, cargo volume, and many other factors. 

You should use intermodal transportation for:

Long-distance shipments

Intermodal can be a perfect fit for shippers who move loads to more than 750 miles. Long lanes require high fuel consumption, but rail can resolve this challenge. If the truck has to move your load for more than one day, you’ll most likely benefit from mode combination.

Low and medium value shipments

If you send high-value goods, it’s better to consider the direct and faster method of transportation like air freight. Otherwise, intermodal works for medium value shipments.

Regular shipping of similar products

Combination of modes would benefit you if you regularly send freight in similar quantities. For example, multiple LTL shipments on a constant basis.

Final thoughts

Ultimately, intermodal is a reliable and affordable shipping method that lets you save transportation costs and decrease your company’s carbon footprint. It would surely benefit your long-distance loads and will add value to your supply chain.

For more information please visit our Intermodal transportation page or submit your information to receive a free quote today!

What Is Intermodal Transportation & How Can It Benefit You?

What is Intermodal Transportation?

Intermodal freight transportation is a combination of two or more different shipping modes like a truck, rail, ship or aircraft to move freight to the final destination. Also, in intermodal transportation, each carrier is responsible for a particular mode. Therefore, there are several freight bills from different carriers.

Shippers who move loads more than 750 miles, can add value to the overall supply chain. How? Try using different transportation modes, or intermodal, instead just OTR. The top 3 reasons for shippers to use intermodal transportation are lower costs, consistent capacity, and quality service.

Benefits of Intermodal Transportation:

Lower Costs  use intermodal transportation

Companies can reduce transportation spend by moving freight in intermodal containers.  Using truck and rail provides major savings on fuel.  Trains use much less diesel than trucks, in fact, a train can move one ton of freight nearly 450 miles on one gallon of fuel.  Fuel can become a huge expense for long-haul trucking, but trains help ease the impact.  Not to mention, companies taking the initiative to reduce their carbon footprint.

Read The Benefits of Intermodal Transport

Another money-saving feature of intermodal is the ability to ship in containers.  Containers do not require individual handling.  This reduces the transportation cost because you need to make a very little effort to move a shipment from a truck to a train or a ship or any other combination.  Containers will fit easily into any mode and are easy to switch, which makes carriers more efficient.

Consistent Capacity

Intermodal transportation, especially truck and rail, provides reliable capacity.  There is less competition to secure freight for intermodal transport, which further lowers cost, but more importantly, offers capacity when and where it’s needed.

With the driver shortage and increased shipping activity, intermodal transport is increasingly appealing to shippers.  Rather than paying high rates to guarantee capacity, or bending over backward to accommodate carriers, companies can ship via intermodal any time, at a reasonable price.  This is a good way to overcome current problems in the trucking industry, where carriers are cranking up prices and slowing down service.

Quality Service

Possibly the biggest benefit of using intermodal transportation is the quality of service.  Intermodal is more resourceful than other modes.  Shippers have discovered that intermodal transportation is faster than OTR, as intermodal providers are increasing train speed and reduce the time for cars in the yard.

Read Intermodal vs Multimodal Freight

Safety

Intermodal transportation can also be safer and more secure for cargo.  Obviously, trains are on a fixed track and are less likely to be in an accident while carrying hazardous or highly combustible freight.  This means fewer restrictions on loading, unloading, and carrying dangerous materials, which speeds up the shipping process.  On a train, when containers drop down into the well, the doors cannot open, and when they’re double-stacked, the top container is 15 feet off the ground, making it difficult to reach.  And, cars are spending less time in the yard, which keeps freight moving.

Convenience

Intermodal transportation is convenient, too.  Not only is capacity available when it is needed, and shippers find a 10 to 30 percent over trucking, but technological advances in the industry have made shipping intermodal just as efficient and reliable as shipping OTR.  Containers now have track and trace capabilities.  Shippers no longer have a 3-day span for delivery time and kept in the dark hoping their shipment made it.  Visibility into shipment status is the same as shipping OTR, making intermodal service selection easier and mode comparison more accurate.

Final Thoughts

Intermodal transport is becoming popular very quickly.  A number of inefficiencies in OTR shipping are pushing shippers to find other ways to move their products.  Intermodal provides a promising alternative.

For more information please visit our Intermodal Transportation page or submit your information to receive a free quote today!