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The Role and Diversity of Shipping Terminals in Global Trade

FIona Macdonald by FIona Macdonald
June 20, 2024
in Free Content
0
The Role and Diversity of Shipping Terminals in Global Trade

There are various types of shipping terminals in operation today, each designed to handle specific types of cargo or passengers. While every terminal will differ slightly in its operational set-up, most terminals will discharge or refuel ships, service passengers, or in the case of cargo, load, store, and unload cargo, and connect inland transport. 

The most common commodities handled by terminals include containers, general cargo, dry bulk items, liquids, RoRo cargo, cars and vehicles, and project cargo. Different types of terminals will handle different commodities, although some may handle a combination and are referred to as mixed terminals. There is some ambiguity in the definition of terminals therefore, throughout our latest report created  in partnership with Kaleris, Gateways of Tomorrow: Exploring the business value of digital transformation for general cargo terminals, terminals have been defined as;

General Cargo Terminals

General cargo terminals, sometimes also called mixed cargo terminals, handle various types of cargo
that are transported in one piece. General cargo terminals include:

  1. Break bulk cargo in drums, bags, boxes, or pallets
  2. Neo bulk cargo such as paper, steel and vehicles

A general cargo terminal is versatile, using equipment designed to load, unload, transfer, manage, move, and store multiple types of specialised cargo. These terminals offer value-added services such as blending, bagging, or aggregating. It is important to note that goods described as ‘general cargo’ may be packaged into containers and therefore handled by a container terminal, but a general cargo terminal’s primary focus is non-container cargo.

Bulk Cargo Terminals

Bulk cargo terminals handle both dry bulk and liquid bulk commodities.

  1. Dry bulk includes loose materials, such as grain, coal or iron ore, which are loaded directly into a ship’s hold or train carriage. The five major dry bulk commodities include iron ore, coal, grain, bauxite/alumina, and phosphate rock. These account for about 57% of the total volume of all transported dry bulk commodities. 
  2. Liquid cargo includes hazardous chemicals in liquid form, oils, and petroleum products.

Container, multipurpose, and other types of terminals

While the main report, “Gateways of Tomorrow”, focuses largely on general cargo and bulk terminals, it’s important to acknowledge the existence of other terminals such as container, RoRo, and passenger terminals. Container terminals may handle similar goods to mixed cargo terminals, but all items are stored and transported in standardised, robust containers. RoRo terminals handle vehicles that are rolled on and rolled off vehicles, while passenger terminals handle people embarking or disembarking ferries or cruise ships. Multipurpose terminals handle various cargo types within their operation, including containers and one or more types of general, bulk or break bulk cargo.

Overall, shipping terminals are integral to global trade and transportation, each tailored to efficiently manage specific types of cargo or passengers. These facilities ensure the smooth handling, storage, and transfer of a wide range of commodities, from versatile general cargo terminals to specialised bulk and container terminals. Understanding the distinct functions and capabilities of each type of terminal is crucial for optimising their use and improving the overall efficiency of maritime logistics. As trade continues to evolve, the role of these diverse terminals will remain vital in connecting global markets and supporting economic growth.

For a more detailed understanding and exploration of the topics covered in this article, refer to our report, commissioned by Kaleris. Gateways of Tomorrow: Exploring the business value of digital transformation for general cargo terminals. You can download the full report below: 

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