Goods travel across the globe in standardized shipping containers. When these containers arrive at a port or rail yard, they must be moved to a nearby location, like a warehouse. This specific, short-distance leg of the journey is known as drayage. It is a field of trucking that transports these large containers over a short distance, usually within the same metropolitan area. The term dates back to horse-drawn carts, called drays, that moved freight from ports to nearby city locations.
The Role of Drayage in the Supply Chain
Drayage functions as a connector within the logistics network. It is often called the “first and last mile” of the supply chain, bridging the gap between transportation hubs and the next stage of the journey. Without drayage, a container arriving on a ship might be stuck at the port, unable to reach a nearby rail terminal. This service allows cargo to move between modes of transport, such as from a vessel to a truck or from a train to a warehouse.
The efficiency of the drayage process influences the speed and reliability of the supply chain. By quickly moving containers out of congested ports and rail yards, drayage helps prevent backlogs and ensures goods flow toward their final destinations. This movement is part of intermodal shipping, where goods are transported using multiple methods without the cargo itself being handled.
The Drayage Process Step-by-Step
Container Arrival and Notification
The drayage process begins when a shipping container is offloaded from a vessel at a seaport or a train at a rail terminal. Once unloaded, it is moved to a holding area within the terminal yard. Before the container can be picked up, it must clear any necessary customs inspections and have its documentation verified. The shipping line or terminal operator then sends a notification to the cargo owner that the container is available for pickup.
Carrier Dispatch
Upon receiving the notification, the drayage company is tasked with retrieving the container. The company’s dispatcher assigns a driver and truck for the job. This requires careful coordination, as the dispatcher must ensure the driver has the correct information, including the container number, its location in the terminal, and any specific pickup appointments.
Container Pickup
The dispatched truck driver proceeds to the port or rail terminal. Upon arrival, the driver presents the required documentation, such as a pickup order and identification, to gain authorization to collect the container. The driver locates the container and a chassis—a wheeled frame designed to carry shipping containers—is positioned. The container is then lifted and securely mounted onto the chassis using locking mechanisms called twist locks.
Transit to Destination
With the container secured, the driver transports it from the terminal to its designated nearby destination, such as a warehouse or distribution center. This short-haul transit is the core of the drayage service. The driver navigates local roads and highways to deliver the container in a timely manner.
Unloading and Empty Container Return
At the destination, one of two scenarios occurs: a “live unload” or a “drop-and-pick.” In a live unload, the driver waits while the consignee’s staff unloads the goods. In a drop-and-pick, the driver detaches the full container and chassis, leaving it for unloading at a later time, and often picks up a previously delivered empty container. After the container is empty, the drayage driver returns it to a designated location at the port or an empty container depot, completing the cycle.
Types of Drayage Services
Drayage is not a one-size-fits-all service; it is classified based on the specific movement being performed. Some services address logistical needs within a single area, while others connect different carriers. Common types include:
- Pier drayage: Moving a container from a dock or pier at a seaport to a nearby location like a rail yard or warehouse.
- Inter-carrier drayage: Transferring a container between two different transportation carriers, for example, from a rail line’s terminal to a trucking company’s hub.
- Shuttle drayage: Moving containers to a temporary storage lot when the primary port or terminal is overcrowded to manage congestion.
- Intra-carrier drayage: Moving freight between two locations owned by the same carrier, such as from a company’s railyard to its intermodal hub.
- Door-to-door drayage: Moving a container directly from the port or terminal to the final customer’s location.
- Expedited drayage: Used for time-sensitive shipments that must be moved with urgency.
Common Drayage Challenges
The drayage sector faces several operational hurdles that can cause delays and increase costs. Port congestion is a significant issue, as high volumes of trucks and containers can lead to long wait times for drivers. This is often compounded by a shortage of available chassis, the trailers needed to haul containers. When a drayage carrier cannot secure a chassis, the container cannot be moved, leading to delays.
These delays can result in financial penalties. Demurrage fees are charged by the port or terminal when a container is not picked up within its allotted free time. Detention fees are charged by the shipping line when the carrier keeps the equipment for too long outside the terminal. A shortage of qualified truck drivers further strains the system, making it difficult to keep up with demand and contributing to bottlenecks in the supply chain.