Sizes and weights: ocean shipping is the ideal method for heavy and/or bulky goods, as it does not have the size and weight constraints of air freight or road transport.
Environment: ocean freight is more environment-friendly than planes or trucks. As with costs, the benefits increase as cargo quantities and distance increase.
Inventory management: It can be advantageous to ship goods early and use a long shipping route, in order to save warehousing costs.
Advantages of Import and Export of Goods by Ocean Vessels
Disadvantagesof Import and Export of Goods by Ocean Vessels:
Access to ports: landlocked countries without ports need to use a third country’s port facilities, creating a dependence, potential delays and higher costs.
Time constraints: because ocean freight is the slowest of all modes, it requires more advanced planning; it is difficult to accommodate last-minute market changes.
Additional packaging: generally speaking, cargo shipped by ocean freight needs more protection against the elements, humidity, condensation, changes of temperature and movements. In addition, for LCL shipments, cargo must be well protected to withstand multiple handling.
Financing: exporters shipping by ocean generally have higher financing costs than when shipping via faster means, since buyers often pay for goods on or shortly before arrival, or even after delivery. When goods are paid in advance, this is not a concern for the exporter any more, but for the importer.
Weather constraints: since ocean freight takes longer, the risks of weather-related delays are proportionally greater.
Disadvantagesof Import and Export of Goods by Ocean Vessels
