Have you ever been stuck in traffic near a major port, surrounded by trucks hauling massive shipping containers? You might have been witnessing drayage logistics in action, even if you did not realize it. Drayage logistics is the crucial, often unseen, link that keeps global trade flowing smoothly.

Drayage involves moving goods over short distances. This often goes from a port to a warehouse or a rail yard to a distribution center. It’s the connection that joins different modes of freight transportation, from container ships to intermodal drayage trucks and freight trains, in the shipping process.

The Critical Role of Drayage in Global Trade

Think of intermodal shipping like a carefully choreographed dance. Without drayage logistics, though, that dance would fall apart before it could really get started.

Drayage services help cargo make its way through the shipping industry. According to the Intermodal Association of North America (IANA), up to 95 percent of all globally manufactured goods travel in a container at some point.

Because the world relies so heavily on moving freight, we must prioritize efficient transport of shipping containers by drayage trucks. Often this can be in situations requiring special handling of goods, adding an extra layer to manage.

The global ecommerce market has continued to explode with growth. It’s predicted to increase by 56% and reach $8.1 trillion by 2026. Drayage plays a key part in the shipping process for these packages and deliveries.

It also affects domestic retail. More consumers get exposure to goods via ocean freight or even air freight from overseas than ever before. A greater amount of orders from Europe and Asia impacts our distribution center and fulfillment capabilities, along with how short distances moves cargo.

Different Types of Drayage Services

There’s a variety of drayage classifications in the freight shipping world. They move goods between ocean carriers and also inland transportation modes. All this depends on specific needs, but here are the most common forms:

• Inter-carrier drayage: This type focuses on moving freight between different carriers. An example includes transferring goods from a trucking service to a rail line at a rail terminal.
• Intra-carrier drayage: This involves moving freight between locations managed by a *single* carrier. An example would be from a rail hub to one of their distribution centers.
• Expedited drayage: Used when speed is essential. It moves perishable goods or any items in high demand rapidly. This is when drayage trucks come in handy.
• Pier drayage: This covers the ground transport of cargo from a rail yard directly to a dock or pier for container shipping.
• Shuttle drayage: Shuttle drayage refers to dealing with excess containers. When ports get overcrowded, containers are moved temporarily to a remote storage location, or drayage shuttle.
• Door-to-door drayage: Commonly associated with e-commerce, this type of drayage brings freight from a port or rail terminal straight to the customer.

Knowing these distinctions can provide insight into the detailed logistics solutions used every single day. These are services that most are unaware of, yet affect their daily lives regularly.

Addressing Bottlenecks in the Supply Chain Process

Congestion is a major challenge. Backups at ports delay when the containerized cargo is available.

Major events have wide-reaching impact to freight transportation. Consider things like the 2021 blockage of the Suez Canal.

Staying ahead of those delays will help manage costs. Having solid partnerships to stay on top of global trade delays can make all the difference.

Staying Ahead of Drayage Costs

Drayage costs have several parts, like fuel charges and accessorial fees. Managing it all gets expensive very quickly, so gaining a full view of drayage costs will have major payoff in supply chain management.

Here’s a quick reference table outlining common drayage costs and ways you can stay ahead:

Charge Type	Description	How to Manage/Mitigate
Fuel Surcharge	Based on current fuel prices	Choose drayage carriers with fuel-efficient drayage trucks and routes, consolidate freight
Line Haul Rate	Covers distance of cargo transport	Negotiate rates, select hubs strategically to shorten distances between destinations
Chassis Usage Fee	Rental for chassis needed to haul the container.	Use a provider-owned chassis, consider shipper-owned options
Drop Fee	When a truck leaves a container for loading/unloading then has to return later.	Schedule efficient loading/unloading, and improve warehouse operations
Congestion Fee	Applied when ports or rail terminals are extremely busy.	Look into off-peak transport hours. Download the ITS Logistics Freight Index to read updated marine terminal conditions.
Yard Pull Fee	Covers getting a container picked up and moved to warehousing until transport is available.	Better tracking of the freight to be on schedule with delivery and distribution plans.
Special Handling	If dealing with fragile goods that have special needs, additional handling could affect timing and expenses.	Know what to look for and ask questions on best solutions, as the freight is transferred, to avoid unnecessary spending.

Technology Shaping Drayage Logistics

As global trade keeps changing, advancements improve how we approach the overall chain process. One innovative tech used by top companies tracks various parts of intermodal transport.

ITS Logistics developed technology called ContainerAI. This tool offers real-time insight into shipments in a single view.

Drayage and the Future

Drayage may focus on moving goods over short distances, but the market continues expanding. According to Technavio research, the drayage market will gain over USD 3 billion between 2024 and 2028.

Drayage is clearly an area where thoughtful planning creates stability for supply chain managers. Partnering with drayage services as soon as possible is extremely important.

Choosing a Partner for Drayage Service

Companies can handle trucking service on their own. Many find that is too much for their workforce to handle internally.

Consider the requirements involved in running an efficient transportation network. Working with outside logistics providers lets companies stay nimble, as opposed to hiring in-house teams and coordinating efforts to handle certain volumes of freight at different times.

Finding the Best Drayage Services

As you pick a partner to work with, there are a lot of elements to review. Companies want partners who value their partnerships, providing great service, but also peace of mind.

Expert drayage providers build stable relationships with rail hubs, ports, distribution center workers, and many more freight related providers across the globe. They do this so that you don’t have to.

One great indicator of the provider is their industry standing. Transport Topics ranked ITS Logistics as a the #11 Top Intermodal/Drayage Carrier in all of North America.

Conclusion

Drayage logistics is vital to the function of supply chains. This is something more businesses have had to learn the hard way after recent issues and shipping strikes.

Working with a good drayage partner can bring consistency and predictability into your shipping process. It also helps to have partners with boots on the ground at all of the different transportation hubs.