Commercial shipping began with Phoenician merchants in the Mediterranean. In the 1600s-1650s, the Dutch led in shipping activity. In 1930, Malcolm McLean invented shipping containers, modifying truck bodies to create the first containers. On April 26th, the first container ship, the Ideal-X, sailed from New Jersey to Texas. Today, over 90% of international trade by volume occurs by sea using container ships. The containerization revolution led by McLean made shipping more cost effective, reduced damage and theft, and increased flexibility.

2. History
 Commercial Shipping began with Phoenician merchants transporting goods in
the Mediterranean.
 Practices were adopted by ancient Greeks and Romans.
 1600 to 1650 – DUTCH – First in Shipping Activity.
 CARGO – in Cartons and Pallets.
 In 1930, CONTAINERS were invented by Malcolm Mclean, modifying the
bodies of Trucks to create Containers.
 On 26th April, IDEAL-X, 1st Container Ship, sailed from Port Newark, NJ to
Houston, Texas.
SEA or Water

3. KEY Reasons – Trading Internationally
 Price – Goods can be purchased elsewhere for LESS.
 Volume – Unable to meet demand for certain commodities.
 Quality – Imported Good may be of Higher Quality.
 Availability – Goods may not be available in Home Country.
FACTS
Maersk Mc-Kinney Moller
Since 72% of the earth is covered by Water, almost 90% of International Trade is
by SEA.
(3) 99% OF Overseas trade in Volume terms, 62% IN Value terms.

4. BENEFITS of Containerization
(1) Cost Effective.
(2) Less Theft / Pilferage / damage.
(3) Labour Saving.
(4) More Protection as handling eliminated.
(5) Flexibility to Transport.
(6) Reduced Insurance.
FACTORS affecting the
(1) Global Economic Conditions.
(2) Consumption pattern of Buyers.
(3) Political Events.
(4) Government Regulations.
(5) Age of Existing Vessels / New vessel delivery schedule.
(6) Availability of ship building slots with ship yards.
(7) Natural Disasters.

5. TOP Exporting & Importing Countries of Containerized Cargo (2012)

6. TOP PORTS for Containerized Cargo (2012)

8.  Transhipment

9. Major Shipping Companies

10.  PORTS
 Types of PORTS
 Base Port – Large Ports from which ships operate, irrespective of
where they are registered (homeport). E.g. Hong Kong, Felixstowe.
 Feeder Ports – Smaller Ports that do not accommodate large
vessels. Used by feeder vessels to transport goods to & from larger
vessels / central ports. E.g. Kandla, Vishakhapatnam.
 Hub Ports – Ports where containers are transhipped from one
vessel to another. Hub ports can be either a base port or a feeder port.

11. CONTAINER

13. EXPORT
Booking 1) Via Email/Telephone/Fax/Internet
2) Shipment Details Noted
3) Vessel Space availability checked & confirmed
4) Shipment accepted
Dispatch 1) Empty Container Allotted
2) Shipper loads container in Customs presence & sends to CY
Receipt at CY / POL 1) Container Receipt confirmation by Liner
2) Container documents & shipping instructions provided by Shipper to
Liner
Invoice Preparation 1) Liner prepares Documentation
2) Prepaid charges paid by Shipper
3) Container loaded on Vessel
Vessel Manifest 1) Documents & containers loading plan submitted to Customs
Vessel Departure 1) Container loaded on ship
2) Shipped on board (SOB) BL released to Shipper

14. IMPORT
Vessel Manifest 1) Prepared by Agent at POD & SEND TO Customs prior Ship's Arrival
2) Info related to all types of Cargo on board
3) Shipper & Consignee Details
Arrival Notice 1) Send via email / fax to consignee
2) Details of Vessel name & voyage, BL no. & details, ETA, Container no.,
Seal no. & Invoice Details
Container Discharge 1) Vessel enters inner anchorage
2) Container discharge from vessel
3) Surveyor prepares the Container List
4) Segregation of Cargo / Containers
Invoice - CHARGES Collected 1) Payment collected by Shipping Line before release of Shipment
Custom Clearance 1) Customs releases Cargo
2) BL submitted by Consignee to Shipping Line
Cargo Release 1) Delivery Order Issued
2) Gate pass given by depot
3) Container released for Delivery
Container return 1) Empty container returned to Shipping Line

15. SHIPMENT
QUOTATION Shipper & Sales Team / person
BOOKING Vessel Status , ETD , ETA
CONTAINER PACKAGING
Dock Stuffing , Factory Stuffing ,
Transportation
EXPORT CUSTOM CLEARANCE
Role of CHA
CONTAINER LOADING
& VESSEL DEPARTURE
Shipping Documents Handover ,
Container Gate-In
RELEASE OF BL
Liner/NVOCC/Freight Forwarder (HBL
/ MBL)
IMPORT CUSTOM CLEARANCE
Role of CHA
ARRIVAL OF VESSEL
& CONTAINER OFFLOADING
Informing Consignee , Demurrage ,
Detention charges
RELEASE OF
EQUIPMENT TO CONSIGNEE Return of Empty Container to Yard

17. Bill of Lading