Dry Bulk Shipping or Dry Container Shipping? Which One to Choose.

Because of the impact that an in-transportation accident can have on the environment, dry bulk cargo transportation is highly regulated by the industry. As dry bulk cargo is loose, any spills during the voyage mean the cargo is more likely to go directly into the ocean. Not only does this make the cargo extremely difficult to clean up, but also puts both people and wildlife in danger.

The dry bulk shipping industry is founded on the international transportation of various dry bulk commodities. These commodities are broadly divided into major bulks and minor bulks, with major bulks comprising nearly two-thirds of global dry bulk trade. Understanding these categories is essential for choosing the right shipping method.

 

Major bulk commodities

Major bulk commodities consist of high-demand raw materials that are shipped in enormous quantities using bulk carriers.

• Iron ore: A primary ingredient in steel production, iron ore is one of the most transported dry bulk commodities globally, fuelling industries like construction and automotive manufacturing.
• Coal: Widely used in energy production and steelmaking, coal is another critical major bulk item. It is transported across vast distances to meet energy and industrial needs.
• Sand and Scrap Metal: Both commodities are critical resource for construction, often transported to meet regional demand in urban development projects.
• Grain: Essential for global food security, grains such as wheat, corn, and soybeans are shipped in bulk from producing regions to markets worldwide.
  
  

Minor bulk commodities

Minor bulks, while smaller in scale compared to major bulks, encompass a diverse range of materials. These commodities are often shipped in smaller parcels, requiring flexible logistics solutions:

• Steel products: Includes finished steel like bars, sheets, and coils used in construction and manufacturing.
• Sugar: A key agricultural product moved in bulk to support food and beverage production.
• Cement: Widely used in construction, cement shipping supports global infrastructure growth.
• Fertilisers: Essential for agriculture, fertilisers are shipped to farming regions to enhance crop yields.
• Metal scrap: Recycled materials used in the production of new metals, contributing to sustainable manufacturing practices.

There are several key differences between bulk and container shipping for dry goods. With dry bulk shipping, usually the entire vessel needs to be chartered due to the nature of the cargo. With container shipping, it is possible to secure enough space to ship the required volume for your cargo.

With bulk shipping, there are different types of chartering, so companies with frequent transportation requirements will often opt for long-term chartering solutions. As there are no dedicated vessels for individual bulk shipping commodities, the vessels must be cleaned with utmost care to prevent the contamination of cargo from one shipment to another.

There is also a difference when it comes to loading and unloading dry cargo. With container shipping, customers can take ownership of the container at their warehouse where they can fill it and arrange for the container to be picked up and delivered to the port for loading. Conversely, with bulk shipping, loading happens directly in the port where the commodity is loaded directly from a truck, or via a conveyor belt.

Similarly, container shipments can be directly loaded from the port onto waiting truck beds or railroad wagons. They can also be stored in the port until they are picked up. Bulk shipments however need to be unloaded from the ship and then reloaded onto a different mode of transportation.

Container shipping offers several key benefits that make it a popular choice for transporting goods worldwide:

• Flexibility in the type of cargo shipped.
• Better safety and security of cargo due to locking mechanisms on containers.
• Faster transportation times for cargo.
• Easier tracking and better overall supply chain management.
• Better economies of scale equalling greater cost efficiency.