Top Tips for Shippers for Countering the Threat of Container Rollover
When your cargo does not get loaded onto its scheduled vessel and is accommodated on another vessel sailing later, it is termed container rollover in the shipping industry parlance. While container rollover can happen due to many reasons, shippers need to be ready to tackle it since the delay has a serious impact on scheduling, costs, customer service, and business reputation for all the involved parties. According to The Maritime Executive, 37% of containers missed their scheduled sailing in December 2021.
Reasons for Cargo Rollover
There are many reasons for container rollover, including the carrier overbooking cargo, the vessel skipping the port, mechanical issues with the vessel, container weight exceeding the carrier’s limit, incomplete or inaccurate documentation, and disputes with the customs. Containers requiring transshipment or those headed to less popular destinations are more likely to get rolled over.
Impact of Container Rollover
When the shipping line rolls over containers, there are several repercussions. Firstly, the shipments get delayed leading to unhappy customers. The carrier or the shipper, whoever is responsible for the rollover, has to bear the extra cost of rescheduling. If the container is stuck at a port, port charges and demurrage accrue. Moreover, the port experiences delays, congestion, and scheduling issues.
How to Avoid Container Rollovers
Given that rolling over containers results in a lot of hassle, extra costs, port congestion, and unhappy customers, it makes sense to avoid rollovers to the extent possible. Some practical tips for loading and shipping containers as per schedule:
Book Container Cargo Early
The main reason for container rollover is the inability of carriers to handle peak period traffic. Because four to six weeks can pass from the time of slot booking to receipt of the cargo, it is invariably more sensible for you to book a slot well in advance of the date you expect the cargo to be ready. However, booking your cargo early will need you to be clear about your order processing volumes and more.
Pay Premium for Guaranteed Space
If guaranteed shipping is a must, you, like many other shippers, must be ready to pay a premium over the already-high shipping rates for guaranteed space on a ship. However, due to the significant cost impact, it is a strategy you will want only for highly critical shipments.
Opt For a Flexible Departure Date
With a flexible departure date, you can be sure that your cargo will be ready for loading and not give the carrier any excuse for rolling over your cargo. It is a strategy you can use for non-perishable and non-seasonal cargo.
Avoid Peak Season Shipping
Most container rollovers happen due to booking spiking with shippers trying to meet peak season demand. If you want to avoid rollovers, it can be a good idea to avoid the peak period between mid-August and mid-October and in January-February before the Chinese New Year.
Conclusion
In addition to the above tactics, it also pays to work with a reputable and experienced freight forwarder who can advise you on the best routes and ports. Moreover, they have more clout with the shipping lines and can step in to avoid your containers from being rolled over.
