Thursday, September 9, 2021

IGNOU : M.COM : IBO 4 : UNIT 11 : Q - 1. What are the advantages of containerization?

 

Ans. Containers have become the order of the day. Intermodal transportation is the movement of cargo from one location to another location via more than one mode of transportation (i.e. rail, road, river/ocean). Unitization, in general terms, may be defined as consolidation of a number of bags, boxes, packs, etc. in a single cargo unit, most important of which is the container. The purpose of unitization is to assist the process of cargo handling through reducing the handling frequency of each cargo unit. Unitization has particular relevance to the making up of a number of 'small sized' items into one unit of standard size. .

In international trade, containerization has become a predominant form of unitized transport. It enables the transportation of cargo from the warehouse of the exporter to that of the importers directly.

Containerization offers many advantages including the following :

i) Speed and economy of handling

ii) Safety both with regard to breakage and pilferage

iii) Greater efficiency due to less re-handling of individual packages

iv) Less packaging cost

 v) Less cost of insurance and handling

vi) Door-to-door transport service.

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