Empty container return is a term well known in the global shipping environment but not quite clear to everyone in the supply chain operations. It is a process of delivering the containers to ports or depots after customers have unloaded their goods at the required destination. In fact, container empty return might sound quite simple, but it is a major factor of the container shipping industry. In this blog post, the focus will be on what exactly container empty return entails and how container empty return happens.
What is Empty Container Return?
Container shipping is an activity where good are sorted and packed in containers to be transported to a particular destination. These containers are most often shipped by sea, rail or truck, and when they arrive at the final destination and the cargo is then unloaded, the containers themselves have to be taken back to a deposit, terminal or port in order that they may be used again in the next shipment. This action is called empty container return.
Empty container return can be defined as the action managed by logistic providers of returning empty containers to the starting point or to other regions where they are required for holding the subsequent consignment of goods. Because containers are frequently shipped empty for thousands of miles before being returned to their service.
How Does Container Empty Return Happen?
Empty container return can be defined as the return of the empty containers by one party to another for reuse based on a reciprocal agreement that the sender package will be delivered back to the origin in due time; this seems like a simple process, but it is a logistical exercise in ensuring that the right container is returned to the proper place. Here’s how it generally works:
1. Unloading the Container
When a container gets to the final port it is discharged from the ship and the goods are either directly delivered to the final buyer or forwarded to a warehouse or a depot for storage or for further processing. When they are pulled out, the container has no content with it, this is where the concept of distribution comes in.
2. Inspection and Cleaning of Containers
It can be assumed that prior to the return of the container to the manufacturer it can be inspected by the latter. Sometimes the very container may have to be washed or perhaps repainted if for instance the container was used for transporting perishable foods or dangerous chemicals.
3. Return to the Depot or Port
On reaching its destination, the container is unloaded, inspected, before being returned to a shipping depot or a port. In most cases the container is either placed in the container yard of the port for as long as the next shipment will require the particular container or else is shifted to the place where there is high requirement of containers.
4. Repositioning and Balancing
Repositioning involves moving empty containers from places where they are in surplus (often areas far from major ports) to locations where demand is high (such as key export hubs). This can be expensive since transporting certain containers and handling them incurs quite a lot of expenses, but such a process is fundamental to ensure that an equilibrium is created for containers all over the world.
5. Container Reuse
Once the container has been moved to the right location it is positioned to be loaded with other goods which will be transported to the next destination. The container is then put back on its journey in readiness to work again.
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