Breakbulk Cargo vs. Container Shipping: Choosing the Right Option

Shipping goods across oceans has been essential for global trade for centuries. Originally, ships transported cargo by loading and unloading items like grains, textiles, and timber individually. This method was labour-intensive and time-consuming.

The introduction of container shipping in the 1950s, pioneered by American entrepreneur Malcolm McLean, revolutionised the industry. Standardised containers that could be easily transferred between ships, trucks, and trains significantly reduced handling time and costs, streamlining logistics and boosting international trade.

While container shipping expedited the process and introduced standardisation, it couldn’t solve the challenge of transporting heavy, irregular, or bulky goods that didn’t fit into standard containers. For such items, the traditional method remained essential. This involved using bags, boxes, crates, drums, barrels, or other handling equipment, or simply rolling, lifting, or pushing the items onto a ship or barge. This method is known as breakbulk shipping.

Today, more than 30% of the goods transported via sea are transported as breakbulk cargo. With the rapidly growing market for electric vehicles (EVs) worldwide, breakbulk shipments are expected to equal the volume of goods transported by containers. The recent positive signs shown by the breakbulk cargo segment in the Port of Antwerp-Bruges, a major industrial trade hub, prove that the breakbulk shipping industry is on an upward swing.

Breakbulk Shipping 101

Breakbulk shipping involves transporting goods individually rather than in containers. It is ideal for oversized or irregularly shaped items that do not fit into standard containers. Breakbulk cargo is often loaded, stowed, and unloaded using cranes and other specialised equipment.

Common Products Transported Through Breakbulk:

1. Machinery and Equipment: Industrial machinery, agricultural equipment, and construction vehicles are often shipped as breakbulk cargo due to their size and weight.
2. Vehicles: Automobiles, trucks, and other large vehicles are frequently transported in this manner.
3. Construction Materials: Steel beams, pipes, and other bulky construction materials are typically shipped as breakbulk cargo.
4. Project Cargo: Specialised items for large projects, such as wind turbine components or oil rig parts, are transported individually because of their unique dimensions and requirements.
5. Timber and Logs: Large quantities of timber and logs are often shipped breakbulk due to their bulkiness.
6. Steel Products: Large coils, sheets, and other steel products that cannot fit into standard containers are also shipped as breakbulk cargo.

Let’s understand breakbulk shipping with a story: The Tale of Simona Apparels.

Simona Apparels, a company based in Tiruppur, India, specialises in producing large volumes of fabric rolls and garments. They export their products to various countries, including the US, the UK, Canada, France, and Australia. Annually, Global Engineering ships around 10,000 TEUs (twenty-foot equivalent units) of containerised goods. Their logistics coordinator, Anjali and her team, handled all the imports and exports of Simona Apparels.

One day, Global Engineering Ltd. decided to expand its business by importing heavy manufacturing machinery to boost production capacity. Anjali faced a new challenge: the machinery was extremely difficult to dismantle, store in containers, ship, and then reassemble. She realised that container shipping might not be the best option for this particular task.

Feeling stuck, Anjali delved deeper into alternative shipping methods and discovered breakbulk shipping. This method involved transporting goods individually rather than in containers, making it ideal for oversized or irregularly shaped items like the machinery she needed to import.

Anjali learned that breakbulk cargo is transported on specialised vessels designed to handle various types of loads. These vessels, equipped with onboard cranes (geared vessels) or relying on port cranes (gearless vessels), manage the loading, stowing, securing, and unloading of cargo individually.

She found that breakbulk shipping had several advantages:

1. Flexibility: It could accommodate the oversized and irregularly shaped machinery without the need for dismantling.
2. Direct Handling: The machinery could be loaded directly onto the vessel, minimising handling and reducing the risk of damage.
3. Customisation: Breakbulk shipping allowed for tailored handling solutions specific to the machinery’s requirements.

With a newfound understanding of breakbulk shipping, Anjali coordinated the import of the heavy manufacturing machinery. The machinery arrived intact and on schedule, ready to be put to work immediately without the complications of reassembly.

However, she also recognised the challenges of breakbulk shipping:

1. Labour-Intensive: Loading and unloading each piece of machinery individually required more time and labour.
2. Higher Risk: Without the protection of containers, the machinery was more susceptible to damage from the elements and handling mishaps.
3. Complexity: Managing the documentation and customs procedures for diverse types of cargo could be more complicated.

Despite these challenges, breakbulk shipping proved to be the perfect solution for Simona Apparels’ specific need.

Choosing the Right Option : Container vs Breakbulk

After closely working with both container shipping and breakbulk shipping, Anjali realised that each method has its pros and cons. She understood that choosing the right one depends on several different factors. Which are,

1. Nature of the Cargo:
   • For oversized, heavy, or irregularly shaped items, breakbulk cargo is often the best choice.
   • For smaller, standardised goods, container shipping offers unmatched efficiency and security.
2. Destination Infrastructure:
   • Assessing the capabilities of the destination port is crucial. Some ports may not have the necessary facilities for handling breakbulk cargo efficiently.
   • Container shipping may be preferable if the destination port is well-equipped for container handling.
3. Cost Considerations:
   • While container shipping can reduce handling costs, the overall cost-effectiveness depends on the volume and nature of the goods.
   • Breakbulk shipping may incur higher handling costs but could be more economical for specific types of cargo.
4. Time Sensitivity:
   • Container shipping is generally faster due to the streamlined loading and unloading processes.
   • If the cargo is not time-sensitive and requires special handling, breakbulk shipping might be more appropriate.
5. Risk Management:
   • Evaluating the risk of damage and security for the specific cargo is essential. Containers provide added protection, whereas breakbulk cargo requires meticulous handling and packaging to mitigate risks.

The decision between breakbulk cargo and container shipping is not a one-size-fits-all choice. It requires a nuanced understanding of the cargo, destination, costs, time constraints, and risk factors. At DahNAY, we excel in providing expert guidance and tailored solutions. Trust DahNAY to optimise your shipping strategy with our unmatched industry expertise and leadership. Learn more about our logistics solutions on our website and through our social media platforms.