Top 9 Shipping Companies Registered in India

Top 9 shipping companies in India

Shipping enterprises are a boon to India and its financial system. Shipping enterprises are the most significant form of transportation in the current generation.

Shipping companies function as a trade correlation between the countries and enable to uphold a stable economic affair between them. Whereas this enables the interchange of profit between the foreign countries and maintains the flow of exchange of goods to a constant level.

Cargo, automobiles, petroleum products, organic chemicals, coffee, iron, and steel products, etc. are the goods normally transported through this way. 

The United States of America, China, Australia, the United Kingdom, the Middle East, and Japan are the major foreign countries in which India exports its shipping services.

America is the leading superpower in import and export has supported strengthening the profits and has continued a steady amicable relationship with India. This has enabled to maintain trade and wealth between foreign countries and India.

Let’s take a look at the top shipping companies that are trustworthy and are popular in India over the last few years. 

The Shipping Corporation of India Ltd

Shipping Corporation of India is the front-runner shipping enterprise in the country. The shipping corporation is a purely government-owned enterprise. It was started in 1961 in Bombay by the government of India.

Its headquarters is incorporated in Corporate Centre, Madame Cama Road, and Mumbai. The company is rendering various services like Liner and Passenger services, Bulk carrier and tanker services, offshore services. The company is functioning and handling vessels that catering national and international lines.

Essar Shipping

Essar shipping is the second-largest shipping company in India. Essar Shipping is a private sector company that started in the year 1945. Its headquarters is situated in Mumbai, India.

The enterprise is part of the Essar Group. Essar Shipping Ltd is an integrated logistics services provider involved in the trading of sea shipping, oilfields services, and, logistics services.

The enterprise provides various transportation services to Essar Steel India Limited (ESIL) and Essar Oil Limited (EOL), which are preoccupied with production activities, and require services of the Company for exporting and importing raw materials and finished goods.

Cochin Shipyard Ltd

Cochin Shipyard Ltd is one of the leading Shipping Companies in India. Cochin Shipyard Limited (CSL) is the primary shipbuilding and maintenance enterprise in India.

The shipping enterprise is part of a line of maritime-related services in the port city of Kochi, in the state of Kerala, India.

The company is providing an extensive range of products including Tankers, Bulk carriers, Patrol boats, Diving support vessels, and Platform supply vessels.

The Great Eastern Shipping Company

The Great Eastern Shipping Company or also known as GE shipping is the second-biggest private sector shipping after Essar Group. It was started in the year 1948.

The company headquarter is situated in Worli, Mumbai, Maharashtra. Great eastern is a top notch private sector shipping company that mainly transports gas, liquid, and solid bulk products.

The main business of the enterprise is separated into two parts-shipping and offshore. Crude Oil, Dry Bulk Commodities, Gas, and Petroleum Products, are transported in Shipping Business. The total numbers of the workforce working for the enterprise are around 2000 to 3000.

Bharathi Shipyard

Bharati Shipyard is India’s principal shipbuilding company. The company was started in 1973. The enterprise is based in Mumbai and the founders are Prakash Kapoor and Vijay Kumar, graduates of the Ocean Engineering & Naval Architecture program.

The company is mainly focusing on shipbuilding, designing, and repairing. The overall income of the Bharati Shipyard is Rs 5257 crore until now. The total numbers of workers are around 3000 to 5000. 

ABG Shipyard

ABG Shipyard is the largest shipping company that focuses on shipbuilding and designing company like Bharati Shipyard. It was founded in the year 1985, headquartered in Mumbai.

Rishi Agarwal is the founder and chairman of the company. The overall income of the company is around Rs 4322 crore until now. The total numbers of workers are around 3000 to 4000. The company has the largest ship-repairing unit in Goa and two facilities in Gujarat also.

Mercator Limited

The company was earlier recognized as Mercator Lines Ltd. The company is into various businesses like Commodity Transportation, Dredging, and Coal, Oil & Gas. It was started in the year 1983, Mumbai. Its headquarters are incorporated in Mumbai, Maharashtra.

The overall income generated by Mercator Limited is around Rs 1835 Crore. The total numbers of staffs working for Mercator limited are anticipated to be 2000 to 5000 and they are increasing in numbers. H K Mittal is the founder and chairman of the company.

Gujarat Pipavav port Ltd

Gujarat Pipavav port ltd is a leading shipping company started by Nikhil Gandhi in the year 1996. The shipping enterprise could be also known as Pipavav Shipyard. The company is providing various services like logistic support, cargo handling, pilotage/towage.

The total revenue generated by Pipavav Shipyard is around Rs 1515 crore. The total number of staff working for the company could be around 3500 to 5000. The company is incorporated in Mumbai and Rajiv Shukla is the current CEO of the company.

Trans Asia Shipping Services Pvt Ltd

Trans Asia Shipping Services Pvt Ltd is leading shipping & logistic service provider with 28 years of expertise. The enterprise was incorporated in 1992 at Kochi, a port city along the coastline of Kerala, India.

The company is providing various services like Ship Owning, International and Domestic Liner operations, Container owning, Logistics, Plantation, Ship Building and Realty. 

Trans Asia Line was launched with its own shipping operations in the Middle East, South East Asian ports, India and sub continents and China among others.

Difference between shipping and delivery

With the expansion of online trade, the two terms, shipping, and delivery, have become more common and well-known. Commonly, these terms have appeared in the terms and conditions section of online business and shopping platforms. Many online shoppers misunderstand the two terms and assume these two words are synonyms. They interchange the words unknowingly when, in fact, their significations are markedly different.

It is significant to notice the disparity between the terms: “shipping” and “delivery” whether you are a digital retailer or customer. As an online business owner or as a retailer, you must let your customers acquaint themselves with the shipping and delivery details like date, time, delivery charge, and availability to make the consumers satisfied with your services.

While ordering products via online methods, shoppers should be aware of the dates of delivery especially, a product is time-sensitive. Regardless of their likenesses, the terms “shipping” and “delivery”, have some considerable distinctions to recognize between the two. Consumers who are enthusiastic about a short shipping timeline may be dissatisfied with your platform if their products reach days later.

What is shipping?

The term “shipping” entails the procedure of packing and sending items that can be transmitted through the regional mail service. When consumers make an order, they get a message that their ordered item will be supplied within a specific number of days, this is commonly known as the shipping timeline. Online shopping platforms take a number of days to organize for the warehouse worker to pack and send the item from the company’s end, adding the cost of shipment. In general, shipping is the time taken by the company to arrange the shipment from the stockroom to the customer.

What is delivery?

Delivery suggests the considered date or timeline of a greater important number of products like types of equipment, huge items that are sent to the consumer from the warehouse. The delivery cost relies on the distance from the packing center to the consumer’s address and the type of items that are being shipped.

Difference between shipping and delivery

  • Delivery is the term used for small products; meanwhile, the word used in the more important cases is shipping.

Shipments from where the customers use a third-party carrier to carry out      that shipment. Shipments can take weeks or days, and when you make the orders, you will no longer be able to choose a delivery date and window.

 

  • Delivery is aimed at regional use and is usually handled and kept by the warehousing company. They can get their drivers by using a messenger and can normally parcel out straightaway from the store within hours without a shipment supplier’s mediator.

Shipment is the day the carriage leaves the manufacturing plant of the provider and Delivery is the day on which the shipment reaches the customer’s doorstep.

 

  • One explanation shows that the measure of shipping or box is a major difference here between the two terms. Smaller products, such as accessories, outfits, shoes, and so on come under the class of shipping. These products can be covered and sent to the consumer by using a postal or courier service.

At the same time, huge products, such as home appliances, furniture, and so on needed installation come under delivery. In such a case, a delivery agent is required to arrive and deliver it to you. They just cannot be sent via postal or courier service.

Conclusion

Accordingly, the perceived opinion is that the consumer should acknowledge the distinction between shipping and delivery so that they should not be misguided by anyone. Qualified support workers will be promoted and create treasured support moments that influence the customer organization’s purpose by their service success and expectantly improve it. Thus, as a layman, an individual should know the distinction between as in e-trade it is significant. Digital trade has transformed the world with its productivity. By just pressing a button, we became the owner of our desired product.

The firm’s prestige will increase when the item to be shipped is always on time. It will develop strong promises to draw on the company’s customer interest. The customer trust always should get ramped up. With faithfulness and strong reliability, the customers can depend on the firm, without any tension, to let the company deliver their parcels.  If the products are shipped on the correct date and without delay or damage, this will produce good customer service and loyalty.

What are the advantages of coastal shipping in India?

India’s long 5560 KMS of coastline and range of ports on the east & west coast; and a large & resilient domestic economy grant a perfectly natural system for the country to build up a substantial coastal shipping industry. Shipping has always been considered a significant transport sector of national activities in India and it is perfectly suited for the transportation of bulk cargoes. Coastal shipping, as an approving mode of transport, is not only a financial necessity but also a beneficial asset in times of emergency.

India lays in geographical proximity to significant shipping routes which gives an innate advantage to the country’s shipping. Furthermore, coastal shipping is no longer a separate mode of transport but forms a part of an intermodal transport chain connecting other kinds of transport. National Shipping serves in making the country more autonomous and renders the essential strategy support in critical times.

The significant advantage of coastal shipping is to help in extending the resource base of the country by facilitating the harnessing wealth of the adjoining seawaters. The Indian shipping industry also gives support for national ship-building, ship-repairs ship-breaking, and other secondary industries and business, shipping, therefore, engenders employment both straight as well as through several ancillary activities.

What is coastal shipping?

Coastal shipping is the transport of cargo as a business and shipping within 20 nautical miles of the coastline. Coastal shipping allows ships to travel between the main ports of the country and it is helpful for domestic trade as well as transporting people within the country. Coastal shipping is relevant for transportation of containers, over-dimensional cargoes, and project cargoes, RORO cargoes such as semi-trailer trucks, cars, trucks, trailers, and railroad cars and also includes dry bulk cargoes like grain, fertilizers, steel, coal, salt, stone, scrap and minerals and Liquid bulk cargoes like oil products.

Advantages of coastal shipping

Cost savings

The primary advantage of coastal shipping is huge cost investments to the shipper and government. Freight transportation by coastal vessel is far more proficient and money-spinning than road transport and is much less prone to theft and damage. Conversely, ocean freight shipping expenses are normally four to six times less expensive than air. Hence, it is easy to claim that ocean transportation is an affordable international shipping option.

Efficiency 

One of the significant advantages of coastal shipping, no matter the size of the shipments; sea freight enterprises can frequently accommodate the needs. Smaller shipments can be broadly grouped with other cargo to fill a container, permitting for co-financing of the transportation services. Huge cargo can fill one or more containers, providing shippers unmatched bulk options. Indeed, vessels are the perfect way to move high volumes of cargo as they are intended to hold a large number of goods or raw materials.

Heavy, oversized, and bulky cargo capability

A major advantage of coastal shipping is shipping enterprises’ capability to manage extra-large, weighty, or huge cargo; often categorized as breakbulk or Not in Trailer loads. Such cargo could comprise types of equipment, large vehicles, construction materials, and more. Oftentimes too weighty or huge for air freight or even over-the-road transportation, very huge cargo is not a difficulty on many shipping vessels.

Safety

Ships are developed to carry dangerous materials and hazardous cargo securely. The shipping industry is adept in the managing of such goods and has regulations in place to make sure the security of the vessel, crew, cargo, and environment. Cargo loss caused by circumstances during transportation is continually dropping as maritime protection increases and has dropped considerably in the past decade. Containers are adapted to be sealed and locked during transportation for extra safety.

Environmental friendliness

When contrasted with sea shipping, air and many alternative modes of transport have much high carbon footprints; an explicit disadvantage for the environment. On the other hand, ships render the most carbon-efficient mode of transportation and create fewer grams of tire out gas emissions for each ton of cargo transported than any other shipment method.

How does COVID-19 affect the shipping industry in India?

The COVID-19 pandemic has resulted in a huge influence on people’s lives, families, and communities.

One of the activities that have also been majorly affected due to the expansion of spreading this disease is the shipping and maritime industry in India.

India is one of the dominant suppliers of seafarers for the maritime sector. The shipping industry in India has been playing a significant role in supporting the world market, sustaining trade, creating jobs, linking countries, businesses and people, on a level not possible otherwise.

The impact of Covid-19 on the shipping industry in India has resulted in a situation whereby commercial shipping is confronting serious financial constraints and the cruise business has virtually closed down.

Overall, the medium and long-term effects will be influenced by global macro-economic trends which seem to become visible very severe at this stage.

Covid has caused the industry to cope up with the worst circumstances as the workforce in these sectors have been shut down for the preventing another outbreak.

During the pandemic and the pressure of the situation, a ban has also been mandated by different countries on the entry of containers and vessels that are being operated from other ports, mainly those that are transported from China. The shipping transport and maritime industry are plastered with great difficulties during these challenging times.

Port Shutdown

The pandemic has lead to shutdown of ports due to the isolation periods. The ports have closed to make sure the safety of workers and several conditions have been levied.  For instance, the ban of shipping vessels into various countries which has obliged such vessels to be on the water and not have a destination port to go to.

The entry of vessels by certain countries has been constrained or banned, thus, resulted in chaos amongst the marine transportation amenities globally.

Fewer exigencies for cargos

The health authorities of India have eluded the menace of spreading COVID-19, which has led to the refusal in import and export of products and goods between countries.

All such goods that were before carried expediently on a ship have to follow a set standard of rules and processes which has limited the exigencies for such cargo. The holdup in such transportation due to added intricacies of quarantine periods has led to the further refusal of demand for such cargos.

Conflicts between owners and charters

Charters hire the vessels from the owners of the vessels and different kinds of clashes are surfacing between the owners and charters of such vessels due to loss of time and money. The owners permit the vessels to charters for a certain period for fixed expenses.

The overriding of such period results in additional expenses that have to be paid for surpassing the set period. The pandemic has imposed major challenges on the payment of such period as the vessels are banned from entering definite ports and compel them to be on territorial waters for an extended period forcing them to be a party to pay additional expenses that are under the light of dispute.

Indebtedness

Many small enterprises engaged in the shipping and maritime industry have resulted in bankrupt due to fewer exigencies and the lack of ability to manage the finances of the company during this period of less require of cargos and shipping. This has majorly affected the small running business enterprises and even resulted in the closure of various companies engaged in this industry.

Further Reading :  

Top Shipping Companies in India

How to Choose a Shipping Agent?

10 Major Seaports in India

Major Ports in India

Seaports have been the backbone of the trade and economy of the world. There are many seaports in India that facilitate the transportation of goods worth billions of dollars every year. 

India also has the longest coastline on the Indian Ocean. In fact, the Indian Ocean got its name from the country. 

The sea ports are the lifeline of the country’s economy. In this article, we will be taking a look at the major seaports in India and how they work. Let’s dive right in!

List of Major & Largest Sea Ports In India

Below given are the details of the major seaports in India, all of these ports are equipped with state-of-the-art facilities and are tightly monitored by authorities and management for any irregularities and issues.

  • JawaharLal Nehru Port, Navi Mumbai, Maharashtra 

Located in the proximity of the financial capital of India, the Jawahar Lal Nehru port is one of the biggest and most active ports of India, Mumbai is a big hub for import and export, the city has a massive population and has every infrastructure to support the trades. 

Ranked 28th among the world’s top container ports, this port handles 55% percent of the total container cargo passing through India. The port was opened in 1989. The Jawahar Lal Nehru port is managed by DP world and is amongst the first privately managed ports in India. Several other plans and processes regarding seaports in Mumbai are undergoing, these ports will handle more than 10 million tons of cargo each and will be managed by international companies too.

  • Chennai Port, Chennai, Tamil Nadu

The Chennai Port, as the name suggests is located in Chennai, Tamil Nadu, and is the biggest port located on the southern tip of the Indian mainland. The Chennai port is one of the oldest operating modern seaports, functioning since 1881. 

This port manages a massive 50 million tons of cargo each year and has been the backbone of Chennai’s automobile industries by helping them import steel. The Chennai port also majorly exports automobiles. The current container handling capacity for the Chennai Port is at 2 million TEUs. Chennai Port is also seeking to increase its handling capacity by 100 million tons. 

  • Mundra Port, Kutch, Gujarat

Mundra port is managed by Adani Ports and SEZ limited and is the largest privately managed seaport in India. Gujarat is the hub for business in India, and there are tremendous amounts of imports and export.

The Mundra port has a bigger advantage over other ports as it is well connected to the railway routes all across India. Also, the Mundra Airport is undergoing several changes for it to become an International airport for air cargo.

The port handles a massive 5 million TEUs and 338 million metric tons of cargo. The Mundra port also holds the title of the largest coal import terminal in the whole world.

  • Visakhapatnam Port, Visakhapatnam, Andhra Pradesh

Located on the eastern ghats, Visakhapatnam port is the center of arrival for cargos on eastern ghats. Visakhapatnam Port is the largest harbor in all of Andhra Pradesh. The unique location of the port makes it even more favorable as it is situated in the most active regions of the country, between Chennai and Kolkata ports. 

The Visakhapatnam port handled 0.43 million TEU units and has a cargo capacity of 72.73 million metric tons. The port is already on its course of expanding, RINL has begun operations out of Vizag for its expansion. 

  • Cochin Port, Kochi, Kerala

Approximately 100 years old, the Cochin port in Kerala experiences traffic from the Arabian Sea and Indian ocean. The port was established by the British in 1928 to facilitate trade from countries in the Gulf. The Kochi port is also the home to ICTT, The international container transshipment terminal, which is the largest container facility in India.

The Cochin port has a gross cargo tonnage of 32.03 million metric tonnes and a TEU traffic of 0.6 million units. Cochin port witnesses around 1500 vessels visit every year. This port is well connected with railways, highways, and international airports too. There is a naval base nearby.

  • Kandla Port, Kandla, Gujarat

The Kandla port of Gujarat is yet another hub for imports of petroleum and gases from the gulf, this port is located on the gulf of kutch and lies close to the Karachi port of Pakistan. Kandla port is also closely located to Kandla special economic zone, KASEZ, which is one of the first and biggest SEZ in all of asia.

The port majorly exports Salt and textiles and has a capacity of 122.5 million metric tons for cargo and a TEU traffic of 0.17 million units. The port is also undergoing several upgrades to improve the handling capacity and the surrounding areas.

  • Mumbai Port, Mumbai, Maharashtra

The port of Mumbai is one of the most known and recognizable ports in India, all of this because of its unique history and importance. The port is more than 300 years old and was established in the late 17th century by the British. The Jawahar Lal Nehru port was opened to ease the traffic on Mumbai port, the Mumbai port currently handles bulk and general cargo. 

The Mumbai port handles a gross cargo tonnage of 62.9 million metric tons and TEU traffic of 40000 units. There are over 41 births and the port spans over 400 Sq. KMs.

  • Hazira Port, Hazira, Gujarat

The Land of business has yet another major port to offer on this list. The Hazira port of Gujarat is related to one of the biggest import and export centers of India, Surat. It is one of the most important petroleum and LNG harbors on the western coast and is managed by Adani Hazira Port Private Limited. Hazira port is one of the most advanced ports of India and handles vessels from Europe, Africa, America, and the Middle east.

Hazira port has a perfect location on the Delhi-Mumbai special economic zones and lies close to the ports in Mumbai. There are expansion activities going on in the port and it will soon be able to handle more traffic. At present, the port can handle 1 million TEU units and cargo tonnage of 2.5 million tons.

  • V.O Chidambaranar Port, Tuticorin, Tamil Nadu

The 4th largest container terminal. VOCP port is an ISO-certified port and handles traffic from China, Sri Lanka Mediterranean, and the USA. The port spans over only 8 sq. KMs  and is the prime exporter of raw materials and agricultural goods.

The VOCP port manages roughly 7% of India’s total container traffic and is undergoing a $1 billion expansion project. There is also a space for passenger cruises on the port. Currently, the port manages 36 million tons of cargo and 0.8 million TEU units.

  • Marmagao Port, Goa, India

Located at one of the most serene locations in Goa, the Marmagao port in Goa has a state-of-the-art mechanized material handling system of conveyers and a cargo capacity of 7 million metric tonnes. The Marmagao port of Goa also has specialized berths for the navy and is undergoing huge expansion activities. The port is one of the most recently declared major ports of India.

The Bottom Line

India has a great advantage when it comes to trade, the governments, time and again have understood this and always worked towards the improvement of facilities when it comes to ports. India is home to a vast variety of exports, and these ports help in making made in India reach out to the world.

10 Most Common Types of Shipping Containers

Common types of shipping containers

Shipping containers plays the most vital part in delivering goods from one region to different parts of the world. Whether it is trade, shipping industry, or transportation work, none of it will be possible without shipping containers. 

Numerous types of shipping containers are used to store different kinds of goods depending on the structure or requirement of the material that is being transported.

The primary purpose of using shipping containers is to ensure or guarantee the safety of the products, as more than 90% of the world’s cargo is carried by ships. The containers vary in different structures, shapes, dimensions based on the product they are meant to carry and their purpose. 

Here are the 10 most common and generally used shipping containers:

1. General Purpose Containers

The general purpose containers are the most commonly used category of containers. These are also known as Dry Containers. They are used to ship dry products, and they are fully enclosed from all sides, making them weatherproof. These containers carry standard types of cargo.

 They come in various sizes ranging from 40ft, 20ft, and 10ft. Some dry containers might have flexitank or linear bags to carry certain liquids or dry bulk cargo.

2. Flat Rack Containers

Flat rack containers are ideal for carrying goods like heavy machinery, vehicles, building materials, etc. These containers have collapsible sidewalls, which can be folded to store cargo in a more accessible and efficient way. After loading the shipment, the sidewalls can be unfolded, making it a secure way to transport cargo.

3. Open Top Containers

As the name suggests, the roof or the top of the container is entirely removable. This feature makes over-height products that cannot be loaded traditionally from the front door easy to load. Likes of the product include tall machinery and finished products that are tall in nature and can be loaded from cranes or rail bridges only.

4. Double Door Containers

These containers have doors on both ends. It is also called a Tunnel container. Having doors on both ends makes them very accessible for quick loading and unloading of products. It also allows putting slightly wider products. Both the doors have a similar locking scheme and are weatherproof, ensuring the safety of the goods.

5. One Side Containers

One side containers are very similar to the general-purpose containers. The only noticeable difference between them that sets them apart is that the doors can open entirely on the sides. Due to this capability, it creates a much wider space to load and unload stuff. This container is ideal for materials that cannot be loaded through the front doors. One side container is generally available in two sizes, 20’ and 40’.

6. ISO Reefer Containers

The ISO reefer is an exceptional kind of container. These containers are generally used for storing and shipping temperature-sensitive products or materials. The most common examples of the products can be edibles like fruits, vegetables, meat, etc. Keeping them at a specific temperature is necessary; otherwise, they will rot before reaching their destination. 

These containers are powered by an external power source to maintain the specific internal temperature inside the container.

7. Insulated Containers

Similar to the last container mentioned above, this comes under the special category of containers. The insulated containers share a lot in common with the ISO Reefer container. 

The only difference is that the thermal container has a regulated temperature that can cope with high temperatures. They are attached to a mechanical compressor to heat or cool the insides of the container. They carry items that are easily affected by temperature, like blood, organs, food materials, etc.

8. Tank Containers 

The design of a Tank container is very different from our traditional containers. These containers are designed to carry liquid or fluid materials. They are made up of strong steel and anti-corrosive materials. 

But there is a condition with them, and these tanks must be 80% filled to prevent surging of liquids inside them and should not be filled more than 95% to allow sufficient room for thermal expansion.

9. Half Height Containers

They are most commonly used in transporting bulk cargo that is supposed to be extremely heavy and dense in nature. Goods such as coal and stones are the ideal stuff for half-height containers. The most area where these containers are utilized is the Mining industry. They are designed in a way so that they have a low center of gravity compared to our tall containers for better handling. These are very robust and very easy to load and unload goods.

10. Car Carriers 

These containers are specially designed for transporting newly manufactured cars from one place to another. Most of the vehicles we use are imported, and these containers help them reach their destination safely. These containers are equipped with collapsible sides that allow the car to get loaded in the container. 

Keep Reading: 

Different Types of Shipping You Probably Didn’t Know About

7 Different Types of Cargo Transported Through Shipping

Conclusion 

Mentioned above are the most common types of containers that are used in transporting goods that we use in our daily lives. Each container is made with a specific purpose to fulfill and follows a different trait. 

If you’re looking to rent shipping containers, we’re here to help. At Tassgroup, we offer high-quality 40ft and 20ft storage and high cube containers at affordable and flexible lease options. Feel free to contact us to know more about how we can help you!

Meaning of CNF in Shipping

Meaning of CNF in Shipping

International shipments are way too complex than domestic shipments as there are many steps involved in the shipping process. That’s where the acronym CNF comes in. 

Meaning of CNF in Shipping

CNF stands for Cost and Freight. It is the most widely used shipping term in International shipments. It is basically a shipping agreement between the buyer and seller. The seller pays to deliver the goods to the port closest to the buyer, after which the buyer is responsible for all other shipping charges, including insurance from the port to the final destination. 

CNF is also known as CFR and C&F. 

Importance of CNF in Shipping 

With the growth of worldwide trade, there is a need to standardize international shipping. Understanding the various shipping choices allows the business owner and seller to improve the efficiency and flexibility of their supply chain.

CNF and other international shipping terms assist shippers and buyers in calculating and managing freight costs efficiently. 

Other terms related to CNF 

FOB: 

FOB stands for Free on Board/Freight on Board. Here the seller bears the cost of delivering items to the nearest port, but then the buyer is responsible for the shipping and all the other charges. 

CIF:

CIF stands for Cost, Insurance and Freight. Here the seller is responsible for all costs, including freight and insurance, associated with transporting the items to the final destination. Once the products are carried on the ship,  the risk is moved to the customer.

What is the difference between CNF and CIF?

In CIF, the cost includes sea freight and insurance to deliver the items to the buyer’s closest port. The buyer then has to take responsibility for the package from that point forward. CNF is similar to CIF, except insurance is not included.

If you would like to know more information about shipping or if you are looking to get your cargo moved seamlessly, then feel free to contact our shipping experts at Tass Group. 

How to Choose a Shipping Agent?

rHow to Choose a Shipping Agent

Seas and ships have played a prime role in shaping this world; they have been the primary mode of transportation of goods and cultures for centuries and continue to do so. 

The heavy cargo ship, which was stuck in the Suez Canal for days, cost $54 Billion to the world trade, which makes it a whopping $6.7 million per minute. If blocking a shipping route for just a few days can cause this big loss, you can clearly imagine the impact ships have on today’s world.

When you’re shipping goods, it’s important to choose a shipping agent. There are many different factors that go into choosing a shipping agent, and finding the right one for your needs can be a difficult task. 

The last thing you want is to ship your packages incorrectly or waste time on something trivial. In this article, we’ll provide you with all the information you need to make an educated choice when choosing a shipping agent.

8 Factors to Consider While Choosing a Shipping Agent

You need to make sure that you check these things about a shipping agent before handing them your cargo. 

  • Type of Goods/Cargo

A shipping agent may have good reviews and word from people, it can be fairly reputed too, but that does not mean that it is the best for you. There are many shipping carriers that specialize in certain types of cargo, you need to understand your cargo type and look for shipping companies that specialize in it.  

Certain shipping agents have special policies for different types of goods, and some might not be able to handle extremely fragile goods or refrigerated food items. You should check the shippers’ policies for your type of goods before proceeding further.

  • Industry Reputation

While new shipping agents can be good in terms of costs and services, they do not always turn out to be the best. It is always recommended to go with reputed shipping agents from the market. They might charge you a bit more, but their services are reliable.

Established shipping providers also have better knowledge and ways of passing the laws and regulations, and you will have less trouble while shipping.

  • Pricing

Shipping companies charge for storage, customs clearance, fuel surcharges, terminal handling charges, brokerage charges and more depending on the level of service you are requesting.

The best way to make sure you are getting the best shipping rate is to find out how much it will cost to ship your product from the origin to the destination by contacting different carriers. Each carrier has its own set of rules for pricing which may or may not be transparent upfront.

  • Shipment Tracking

Having a good amount of information while your shipment is delivered to its destination is an important part of the process. You may also need to disclose the tracking information to the buyer at specific time intervals. A good shipping agent should provide adequate tracking information for your goods and cargo.

  • Convenience

There are different benefits for different shipping agents, you need to find out which of them are best for you, some shipping agents will offer free goods/cargo pickup from your location which will save you some costs and trouble, these services definitely add goodness to your experience.

  • Insurance

Insurance is one of the most important things while shipping goods in large quantities, it gets even more crucial when you have to ship fragile goods. While all insurance options might look the same, they aren’t. Your shipping agent should be able to disclose all the necessary information for the insurance and should cover most of the losses and damages.

  • Customer Support

Shipping your goods to far lands is a huge task, you can have queries, concerns, and grievances in this process and there should be an efficient system of resolution for all of these. Your shipping agent should have a knowledgeable customer support team that can solve your queries in an instant.

  • Shipping Options

There is no size that fits all. Sometimes you might occupy a full container, and sometimes, even one container may not be enough. Your shipping agent should be having a wide range of options for you to choose from.

Conclusion

Shipping needs to be done with utter care and thought. To ensure the best experience for your buyer, a good shipping agent is a must. Keep these factors in mind and you will surely find the one that suits your business.

If you are looking to get your goods shipped, get in touch with us and see how we can help you get your cargo moved seamlessly.  

Trans Asia Group is one of the top names among the best shipping service providers in India. We have served over 30,000 customers worldwide to date and have an impeccable track record of client satisfaction. Contact now for a free quote!  

7 Different Types of Cargo Transported Through Shipping

Types of Cargo

Cargo refers to goods that are transported from one location to another via various mediums of transportation like air, water, and land. From food to oil to large pieces of equipment, goods are transported worldwide through shipping now.

In this post, we’ll be looking at the different types of cargo that are transported through shipping. Let’s dive in!

  • Container Cargo

As the name suggests, Container cargo are cargo that is transported in containers making use of intermodal transportation. The capacity of these containers is massive; hence huge amount of goods can be transported easily.

The container cargo usually consists of goods like electronics, clothing, toys, and items similar to that. Container cargo is usually loaded/unloaded on ships with the help of machinery.

The size of the containers used in transporting the cargo is usually fixed, which comes with its own convenience perks.

  • Liquid Bulk

Just like container cargo, the name of this cargo speaks for itself. Liquid bulk cargo contains goods that are liquid in nature and shipped in bulk. Usually transported by ships, liquid bulk is an important cargo type; the main reason is that most liquid bulk cargo has crucial economic and domestic significance.

Liquid bulk cargo usually contains fuels and other crucial oils. Crude oil, vegetable oil, alcoholic beverages, petrol, and even unprocessed beverages make up a liquid bulk cargo. Shipping is the ideal and preferred method of transportation for liquid bulk.

Since liquid cargo is highly unstable and risky, the entire cargo hold is double-shelled and has a double bottom to prevent cargo leakage in case of any collision.

  • Dry Bulk

Materials important for construction purposes like sand and cement and other important materials like grains, iron ores, coals, and even edible stuff like salt and sugar make up dry bulk cargo.

Dry bulk cargo are not packaged and are usually transported in large quantities. They are loaded/unloaded in and from the hold of a ship. Wagons and lorries also play an important role in their transportation. The food and infrastructure industry, both of them are highly dependent on this cargo type for smooth functionality.

  • Breakbulk 

Breakbulk cargo stands for goods that cannot fit in standard-sized shipping containers or cargo bins. Instead, the load is transported in bags, boxes, crates, barrels, other handling equipment.

Cargo like wood, paper, unprocessed metallic materials, steel rolls, etc make up the breakbulk cargo. They are mostly packed in crates or racks which makes them easier to move around while loading and unloading. Breakbulk cargo is rather easy to deal with in most cases. The convenient part about breakbulk cargo is that we rarely face any issues while transporting the goods.

  • Livestock

Livestock cargo contains livestock that includes alive animals. Livestock and animals are some of the most commonly transported cargo between many countries. Intensive care has to be taken when transporting livestock cargo as they need ample maintenance during the whole process.

On one hand, while transporting livestock may seem a rather easy task, taking care of them throughout the process is the harder part. Important aspects when it comes to the livestock cargo include taking care of their health and nutrition needs. Also, the livestock has to be cleaned regularly, and proper ventilation should be ensured during transportation.

  • Ro-ro

Ro-ro stands for roll on/roll off. In terms of significance, it won’t be wrong to say that this is one of the most important types of cargo. Ro-ro cargo is basically cargo that contains goods that can be loaded/unloaded with the help of the principle of rolling.

You may have guessed it already; we’re talking about vehicles. Ro-ro is used to transport vehicles of all sizes and types. These include cars, motorbikes, vans, buses, trucks, tractors, even JCBs. Regardless of how big the vehicles are, Ro-ro ships can be used to transport the vehicles all across the globe.

  • Refrigerated cargo

Packaged and frozen foods are perishable in nature, making them one of the riskiest and difficult goods to transport.

Due to the short life and high possibility of decay, refrigerated ships, also known as reefer vessels, are used to transport such food items. The reefer ships have specially built temperature controlling features to help the cargo last longer, which keeps the goods safe and intact.

Meat, fish, dry vegetables and fruits are the most common stuff we see in refrigerated cargo. Reefer ships are manufactured especially for the transportation of refrigerated cargo.

Related Reading:

What is Out of Gauge Cargo?

Out of Gauge Cargo

The exchange of goods and services through waters has been shaping human civilization for more than 2 millenniums now. The world economies, defense, research, and many other requirements are largely dependent on this. There are countries that hardly produce foodgrains, these countries import massive quantities of food grains from other countries. 

Sea freight is one of the most used forms of transport for large goods and cargo. Most of the goods and cargo are shipped in big metal containers that have the capacity of holding tonnes of load at once. While most of the goods and cargo can fit in these containers, some of them are just too big for these containers.

In this article, we will tell you about everything you need to know about Out Of Gauge Cargo (OOG cargo). So without further delay, let’s jump straight in!

What is the meaning of Out of Gauge or OOG cargo?

In simple terms, Out of Gauge or OOG cargo is any cargo that is too large to fit in the container. The cargo can be either too heavy or just too big or unique in shape to fit inside a container. 

The cargos which exceed the most popular size of containers, the 40’ HC containers are termed to be out of the gauge cargos. These cargos are often carried out without containers or partially into the container.

For cargo to be termed as an Out of the gauge cargo, it should exceed the dimensions 12.05m X 2.33m X 2.59m. 

The OOG cargos propose a greater challenge for the shipping company as well as the person shipping the cargo. The cargos need to be resistant to weathering and can be prone to damage and other issues at the sea. While shipping these cargos, the customers will have to incur additional charges in most cases.

How does Out of Gauge Cargo Work?

Keeping it straight forward, an Out of Gauge Cargo is nothing short of a huge hassle. You need to plan a lot of things before shipping out an OOG cargo. There are many risks involved while shipping an OOG cargo, and only the best shipping companies can handle one properly.

If the OOG cargo is a little larger than the size of a container, it can be partially fitted in a container and can be put into place with belts, you also need to get it covered properly to prevent any damage from salty sea water and sunlight. 

Before sending your cargo out to a shipping company, it is highly recommended to tell them about the exact dimensions, type, and weight of your cargo. Failure to disclose proper information can cause problems while shipping. Also, brace yourselves for extra charges and insurances, shipping these cargos is not easy. The charges also depend on the urgency, the type of cargo, and the kind of protection and care you need for your cargo. The more the risk and lesser the urgency, the lesser are the charges.

The cargos can be transported to the vessel on a trailer, crane, forklift or any heavy vehicle completely depending on the size of the shipment.

Out Of the Gauge cargos ideally take the same time as that of normal sea freight to get delivered, however, if the cargo is just too big, then the shipping company might need to get extra permits and permissions, which can cause some delay.

Recommended Reading: What is Sea Freight & Why Use it?

What are the Different Types of Containers Used for Out of Gauge Cargo?

There are 4 types of containers used for out of gauge cargo:

  • Roll On – Roll Off Services: 

These are the type of vessels where the load can be directly driven inside them. These vessels have multiple decks where the cargo can be driven off and perfectly placed.

  • Open Top and Flat Rack Containers: 

Open Top and Flat Rack containers are ideal for medium sized out of the gauge cargos. These containers are general used for transportation of cargo, and not actual shipment. If needed, two or more of these can be interconnected for a cargo.

  • Vessel Charter: 

A complete vessel can be lent for one OOG cargo if it is big enough. This setup is ideal for massive OOG cargos. In vessel charters, one does not need to worry about the handling as the entire vessel and crew is dedicated to the load.

  • Aircraft Charter: 

If the cargo needs to be shipped urgently and is adequately fit for an aircraft, there is no other option better than using one. Aircraft can ship big cargo in a matter of few days, of course, the charges are very high.

Common Types of Out of Gauge Cargo

  • Military Transport
  • Subsea Extraction Equipment
  • Oversized Steel Reels
  • Turbines
  • Heavy Machinery
  •  Oil Refinery Equipment

What is the Cost of Transporting Out of Gauge Cargo

Transporting out-of-gauge cargo can be expensive due to the added costs. Sometimes, when a huge cargo is loaded onto a cargo carrier, it can take up room that could have been used to load other cargo containers. Also, there is the risk of damaging other containers in the process. 

So shipping companies tend to charge extra to make up for the wasted space and also for the risk they will be taking to transport the out of gauge cargo. 

Wrapping up!

Shipping an OOG cargo is not complex. Experienced shipping companies can handle these cargos with ease. You just have to make sure that you have disclosed all the necessary information before shipping one out to avoid any delays. 

If you are looking for OOG Cargo Services, our experts at Trans Asia Logistics can help. We are specialized in out of gauge cargo services and have been serving businesses worldwide for the last 28 years. 

So if you want a quick quote or need more guidance in transporting OOG cargo, feel free to contact us.