What is ocean shipping?

The logistics industry is an extremely dynamic sector that constantly improves the performance of different types of services. In international shipping too, but it is still important for every customer and specialist to learn the most basic information – what are ocean freight services, what include basic cargo, how to ship goods internationally, and more. In the bottom lines, you will be introduced to all of this and more important things. 

What are ocean freight logistics?

Ocean freight logistics are designed to assist shippers. They aim to ensure that the necessary goods are transported to another country. This whole process now provides much more peace of mind for all involved – arriving at the end point is much more reliable because it is done under strict supervision. 

In addition, freight forwarders assist the customer in international transportation, from a financial point of view. There are two benefits: speeding up delivery and transportation at low prices. The individuals involved in this task are experienced and offer reliable door-to-door delivery between two different countries. Many freight forwarders rely on freight management software to control all ocean freight logistics.

What are the main cargoes transported across the ocean?

It cannot be said that there are typical cargoes because customers need daily transport of various goods. Although there are some restrictions in this regard, more articles are allowed for sea freight. There are just some types of dangerous and non-perishable goods that require more specific transportation conditions. For example, a product with low durability is placed in a suitable container and some are frozen in order to remain dry. 

It is important that the shipping agent checks your shipment and that it meets the ocean freight requirements. Usually, if you have a shipment over 100 kg or a load with multiple boxes, this means that the shipment corresponds to ocean freight. You just have to load it properly, but that’s the job of the specialists.

How are things delivered internationally?

The answer to the question « how » is the responsibility of the professionals to whom you decide to outsource your shipment. However, it is a good idea to be familiar with the type of shipping – through which containers and ships it is operated. A major unit of the global economy (TEU) plays a very important role here: twenty feet equivalent.

Vessel Container cargo containers are most commonly used in international shipping. The entire import and export procedure goes through precision packing, loading of the ship and passing through the relevant customs to get the goods to their final destination. That’s why a twenty foot unit is important – it’s any average shipping container. The number of articles should be at least that, although for the average size of new containers is beginning to be understood about 40 feet

You will often come across letters like FEU or sometimes 2 TEU. And while FEU is considered the most popular size of shipping container, it is still possible for customers to take advantage of 20-foot containers. All of these conditions will have to be negotiated with companies that ship overseas. 

The advanced technology of ocean freight software

Keep in mind that ocean freight is becoming more secure and modern. And the use of freight management software helped provide new technologies to manage and track shipments. Today, freight forwarders and their customers have easy access to check all information about their shipments at any time. For example, some containers have built-in technology that allows full tracking of the shipment – identifying where they are and what’s inside. Innovation is also occurring in terms of load capacity – maximum capacity is increasing

Maersk is the largest international shipping company in the world and there are major improvements. It is a huge base and capacity that allows the transport of multiple containers. In short, international shipping is today the most effective solution possible. There are many automated ports in developed countries, where loading and unloading is actually very quick, easy and cheaper.

Where is international shipping done?

Yes, this is also an interesting question for anyone who wants to know a little more about ocean freight logistics. The truth is that some companies offer imports and exports worldwide, so you are unlikely to encounter difficulties in this regard. The cost of entry in some countries is already higher. 

Massively, however, there is high traffic by sea, following a route from China to the US West Coast. Exports from Asian cities are based on almost 50% of maritime trade that exists at all. Keep in mind that under better weather conditions, shipments can be speeded up and prices are cheaper. Check out several offers to choose the best one to transport your shipment. 

How long does it take to transport ocean freight?

Time is a relative term, as unforeseen situations can always arise. The good thing is that nowadays they are getting smaller and in most cases everything goes according to plan. There are many factors that affect the time of transportation by ocean.

For example, do you know that the time the shipment is in water and the time it takes from point A to point B is not the same. There are many steps that need to be performed carefully to reach the final location. 

Although carriers will give you indicative time during which the shipment is expected to arrive to the opposite party, it is influenced by the location of the goods, the occurrence of delay – the customs, incorrect information or insufficient when entering the other country, etc.

What is the current economic situation of international shipping?

Maritime trade is the most used way of transporting goods between different countries. This innovation has become a continuous trend years ago and is therefore constantly being invested in improving technology. Growth is seen almost every year, which means that there is strong demand and customers are satisfied. Carriers are also investing in the addition of new ships, with more capacity and additional routes. 

This led to a real financial disaster for the major contractors of these overseas operations – Maersk, MSC and CMA CGM Group. There was a fight for low tariffs, and this was achieved, but the big companies suffered serious damage and slowly recovered over time. From this endeavor, the companies that buy and sell international goods have benefited, and the port operators make a net profit and are more than satisfied. 

Different types of shipping

There are many types of ships available to transport goods around the world in order to be able to prepare bargains for all types of needs. Not all international merchants can fill a large capacity, so there is a wide range of ships. The one that will best suit the type of cargo and the way it will be transported is selected. 

Here are the types of ships that can be used for ocean transport:

• Container ships – also called « ship boxes ». Containers of 20 ‘or 40’ capacity are used. Stacked on the deck itself and below it

• General cargo ships – they are great if you have bulk cargo. The type of goods does not matter, they will be combined appropriately. Usually carriers are engaged in bulk goods, including fertilizers, ore, grain and other

• Roll-on-roll (ro-ro) vessels – they are intended for the transport of road and passenger vehicles. If you are interested in road haulage, you need to look at some aspects in more depth and get in touch with more companies that offer this service
• Tankers – For oil and gas in bulk transportation. 

Merchant operates his business with all these types of ships in two main ways:

• Linear ships – the specific thing about them is that they work to a fixed standard that the client must agree to. They have specific routes and timetables and a standard fare. These types of deals are quite preferred by clients because they get a cheaper price. They are dominated by container ships, carriers / roll-carriers and general cargo ships.
• Springboard- they are tailored and fully operational according to the client’s desire. A person hires them for a particular load. Their ports of loading and unloading are chartered, and their cost is variable and significantly higher – it is determined by current demand and supply. Most charter bulk carriers and carriers are operating in such charter markets.

What influences ocean freight rates?

Overseas shipping is often the cheapest option for large shipments. However, for kids it is quite unprofitable, so you should keep this in mind when preparing the goods. The tariffs of the companies are different and quite dynamic, as there are constantly variables in different periods of the year.

There are some major factors that summarize the formation of the final price for ocean freight:

• Fuel – the main factor is undoubtedly the fuel that will be required to reach the shipment to the end point. With the constant change in oil prices, there is a change in the freight charge. Carriers are directly affected by fuel prices and, on this basis, prepare tariffs
• Capacity – if demand is constantly increasing and maximum capacity is always filled, then value also increases. When supply is enough or less, prices go down

• Currency – the US dollar can be said to be the most widely used currency when using international ocean freight, but there are exceptions nonetheless. The exchange rates are relevant for the tariff that will be set by the transport company. In some money markets, there are quite large variations in the price of the currency, so that there may be daily changes in tariffs and international water shipping.
• Seasonality – goods are rotated according to the seasonal needs of people. This, in turn, has an impact on ocean freight rates. That is why some goods go up in price over a period ofyear.
• Each shipping line may offer you a different price because they are directly controlled by them. They will quickly prepare you a specific offer according to the current conditions and the cargo to be transported from point A to point B.