Drayage services

  Drayage Services: An In-Depth Guide to Drayage in Intermodal Transportation   Drayage is a central process in intermodal freight shipping where cargo is exchanged between different transportation modes. While cargo is moved in container ships from ports of different countries and trucks and rails are primarily used for logistics within the border, goods also go through a short haul form of transport within a single geographical area, and that’s where drayage comes into play. In this article, we cover what does drayage mean, an overview of six types of drayage services, and what factors affect drayage costs.  What is Drayage?  Drayage service meaning has a special history. It means a transport that involves a sideless cart originally led by a horse. Today, semi-trucks have taken the place of horses, but the concept essentially refers to short-distance transport where goods are moved from the port of entry to the next form of transport or some sort of storage. The drayage definition indicates its vital role in ensuring that cargo travels seamlessly across carriers before reaching its final destination. Drayage refers to a type of transport that covers freight over short distances, such as when shipping containers are moved between ports and rail terminals or warehouses.  What is Drayage in Logistics?  It is predicted that the global drayage services market will grow by USD 2,462.9 million from 2024 to 2029. Now, we’ll talk about what is drayage services in the arena of logistics.  Drayage services act as an intermediary to facilitate the movement of goods between different modes of transport in the shipping process. Drayage is overseen by trucking companies operating within specific regions that act as third parties in transporting cargo efficiently and quickly. For businesses that are involved in international shipping, drayage services are highly important to move cargo from ports to minimize costs and delays.  Intermodal Drayage Drayage is mostly seen in the context of intermodal shipping. Here, items are packed into standardized containers to facilitate movement from one mode of transportation to the next without repacking. An example of this would be a container lying at the port of Los Angeles that is destined for a transport terminal somewhere in the Midwest. Its journey from the port to the rail hub will be handled by drayage trucks.  Drayage in Trucking If you are confused about what is drayage in trucking, then this refers to a type of freight transport that primarily uses trucks equipped with chassis trailers. These trucks are meant to carry containers over short distances from ports or rail terminals to their designated facility, which could be a distribution center or a warehouse. Drivers who handle drayage trucking are required to follow prevailing regulations and strictly adhere to timelines to ensure timely delivery.  Importance of Drayage in Supply Chains The unprecedented growth of e-commerce and rapidly expanding global trade networks have spurred demand for drayage services. Drayage is colloquially referred to as the first mile, just like the first domino, because it has a domino-like effect on logistics operations. If anything goes wrong in the first drayage, this will have implications for the entire shipping process. Suppose a container remains stuck at a port and is not transferred to the next form of transport from where it can be moved to its end destination. The supply chain will collapse, resulting in delayed delivery and incurring massive costs for businesses.  Partnering with an experienced drayage carrier has become a critical need for businesses to maintain their competitive position in the marketplace. When you work with a reliable drayage service provider, you benefit not only from more efficient logistics but also from lower shipping costs.  Types of Drayage Service  Now that you know what is drayage service, let’s explore the different types of drayage services in the logistics industry.  Drayage services are generally available in 6 primary forms, according to the Intermodal Association of North America, where each serves a unique function in the supply chain.  1. Inter-Carrier Drayage In this drayage type, goods packed in shipping containers are transferred between two different carriers. For example, an incoming freight might move from a rail terminal to a trucking service. This service is especially important when several modes of transport are involved to ensure goods can move along swiftly without any disruption.  2. Intra-Carrier Drayage Here, containers are transported within the intermodal network of a single carrier or service provider. This means that the same company moves containers between the different facilities it owns, such as a container being moved from its port to a nearby warehouse.  3. Pier Drayage  Pier drayage involves the movement of cargo via freight trucks between rail hubs and shipping ports. This is integral to the processes of import and export to expedite the delivery of containers to and from port terminals.  4. Shuttle Drayage Shuttle drayage is usually used when the railway or ports are short of space, such as during peak freight traffic. In this case, storage depots are normally used to temporarily store containers to free up space at the port for unhindered cargo flow.  5. Door-to-door Drayage  Similar to a door-to-door service, the freight is moved directly from the port or rail terminal to the end point. Since the cargo moves in one go, bypassing other carriers, this ensures the cargo is subject to minimal handling for a smooth logistics process. 6. Expedited Drayage Expedited drayage is exclusively designed for shipments where timely delivery is a huge priority. Although the drayrage cost is higher for this premium service, it cuts down the transit time and offers fast-track delivery to meet urgent freight requirements.  What Influences Drayage Rates?  If you are thinking of procuring drayage services, the following factors can help determine the drayage fees that you will have to pay. Drayage costs are typically divided into chassis-split fees and drop fees. Generally, you are supposed to pay when a truck arrives at your place to pick up your shipping container, and additional charges apply if your container stops