Marine Drayage and Intermodal Logistics | IMC - Where Drayage is Going (2024)

FAQs

What is the difference between drayage and intermodal? ›

Intermodal utilizes sea, rail and truck to cover distance, instead of relying on just one mode. Drayage refers to the transport of cargo over a short distance by truck, or as part of a longer distance.

In intermodal freight transport, marine drayage is the transport of containerized cargo by specialized trucking companies between ocean ports or rail ramps and shipping docks.

Drayage is the specialty service of transporting goods over short distances between the long hauls of the shipping journey. Drayage is an integral part of the supply chain process, and it has specific characteristics that set it apart from other modes of transportation.

Drayage is important for preventing “traffic jams” and bottlenecks at ports, allowing each delivery to go smoothly. It also helps customers cut down on shipping costs. It's more time-efficient and keeps the supply chain moving. At DTS, we understand our partners' challenges in each transport stage.

There are four primary modes of intermodal transportation: rail, container ship, aircraft and truck. Each of these modes has its advantages and disadvantages, but all of them can be leveraged to transport goods from one place to another.

Intermodal Reduces Traffic

Switching from OTR transport to intermodal transport dramatically reduces the number of freight trucks on highways. A single freight train can transport more than 250 truckloads of goods. Reducing traffic congestion is good for the environment, and it is good for business.

Drayage is sometimes referred to as dray services. The term drayage implies short-distance travel, but “short” is a relative term.

Other examples of drayage include: Transporting an intermodal container from a sea port to a rail yard to continue its journey to the final destination. Moving an intermodal container from a hub to a nearby warehouse. Transporting goods via truck between distribution centers located in the same metropolitan area.

The average going rates for trucking per mile are: Average van rates: Between $2.30 and $2.86 per mile on average. Reefer truck rates: $3.19 per mile on average. Flatbed truck rates: $3.14 per mile on average.

Weight-based – A hundredweight, known as a CWT, is a unit of measurement that calculates how much your shipment weighs in 100-pound increments. The heavier the goods are, the more you will be charged as additional resources are required to transport the freight. In drayage, costs usually run between $60-160 per CWT.

How do you charge for drayage loads? ›

200 pounds, as drayage is charged in 100 pound increments. The weight going into the show is used as the charged weight for all drayage calculations as it is always the heaviest weight. Your shipment weight divided by 100 is multiplied by the drayage rate. That is the number most people use to budget.

2010 Model-Year Engine Standard: Starting January 1st, 2024, all drayage trucks operating in California must have a 2010 model year engine standard or newer. This means older trucks will no longer be allowed to operate, necessitating an upgrade or replacement.

One of the biggest headaches and problems with drayage is lack of equipment availability or issues with said equipment. These issues range in anything from not enough containers or not enough chassis. The depots may have to add a chassis, which is a very consistent problem.

Some carriers have a minimum fee of 200 pounds per shipment. Plus, in addition to the freight's weight, moving containers requires equipment, transportation, and storage availability to house the containers. All these costs also contribute to drayage fees. As you can see, drayage fees are expensive.

By definition, drayage is the transport of freight from an ocean port to a destination. It's also often described as the process of transporting goods over short distances, aka “The first mile.” Now, you may be thinking, what's the big deal?

Freight is a general term that encompasses any goods or cargo being transported, regardless of the distance or mode of transportation. Drayage, however, is a specific type of freight movement that focuses on the short-distance transportation of goods, usually within a local area or between transportation hubs.

Intermodal shipping refers to moving freight by two or more modes of transportation. By loading cargo into intermodal containers, shipments can move seamlessly between trucks, trains and cargo ships. Intermodal shipments typically fall into one of two categories: international intermodal or domestic intermodal.

Drayage and Transloading Explained

Drayage takes a shipment that has arrived at a port and transports it to a destination, typically a warehouse near the port. Transloading unloads freight from one mode of transportation and reloads it to another.

Intermodal drivers can pick up extra loads as long as they have remaining Hours of Service time. Picking up extra loads results in more load pay and a significantly higher paycheck. So, divers who plan ahead by considering traffic, rail yard congestion and customer requirements can earn well-above-average market wages.