What do you understand „containerization‟. Briefly explain the benefits associated with containerisation.

Containerization refers to the packing of the cargo in standardised containers which are sealed the  exporter or his agent.  The sealed containers are loaded on to the  ship and delivered to the importer sealed.

 

Benefits:

  • Takes little space since containers are of standardised sizes.
  • Enhances simple and cheep movement of goods
  • Enables the use of modern cargo – handling machinery
  • Safe since containers are sealed
  • Insurance premium is low due to lower risks involved
  • Assists road transport
  • Convenient since different containers are for specific goods.



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