“Short Shipped”, also referred to as "shut out," is a term used in freight forwarding to describe a situation where containers or cargo, despite being part of a larger shipment, fail to get loaded onto the scheduled vessel. This can happen for a variety of reasons and often poses significant challenges to businesses that depend on timely deliveries. Whether due to lack of space on the vessel, port congestion, overweight containers, or unforeseen scheduling issues, short shipping can disrupt the entire freight forwarding process.
Causes of Short Shipped Cargo
There are multiple reasons why cargo can be short shipped, each leading to a different set of challenges for freight forwarders and their clients. Some of the most common causes include:
- Vessel Overbooking Similar to how airlines overbook flights, shipping lines may overbook vessels. The rationale is that there is always a chance that some containers will not arrive on time at the port, so they allocate extra space to maximize capacity. However, when all containers arrive as scheduled, it results in more cargo than the vessel can accommodate, leaving some containers stranded at the terminal.
- Port Congestion When ports experience congestion, vessels are often pressed for time to maintain their schedules. As a result, they may depart earlier than anticipated, leaving certain containers behind. This is particularly common in high-traffic ports where space and time are at a premium, making it difficult for all shipments to be loaded onto their scheduled vessels.
- Overweight Containers If a container exceeds the weight limits set by the vessel or port authorities, it may be short shipped to prevent potential safety hazards. Shipping lines are bound by strict weight regulations, and overloading a vessel can lead to significant legal and operational risks. In such cases, the overweight container will be delayed and require rebooking on a different vessel after its weight issue has been resolved.
- Documentation Errors Accurate documentation is essential in freight forwarding. If there are discrepancies in the shipping documents, such as missing or incorrect information, the container may be short shipped until the paperwork is corrected. Without the proper documentation, customs clearance and other necessary approvals may not be granted, delaying the container’s journey.
- Schedule Pressure Vessels often operate under tight schedules, and any delay in the loading process can result in time pressure to depart on time. If a vessel is running behind schedule, the shipping line might prioritize departing on time over completing the loading process. This can lead to some containers being left behind to meet the vessel’s next scheduled stop.
How Freight Forwarders Can Mitigate the Risk of Short Shipping
Although short shipping cannot always be completely avoided, there are several steps that freight forwarders can take to minimize the risk and mitigate its consequences.
- Proactive Communication with Carriers Freight forwarders should maintain open and proactive communication with carriers to ensure that they are informed of any potential issues with space, schedules, or other factors that could result in short shipping. By staying informed, freight forwarders can plan accordingly and adjust their strategies to avoid disruptions.
- Advanced Booking and Container Allocation By booking space on vessels well in advance and confirming container allocations with the carrier, freight forwarders can help ensure that their cargo is prioritized for loading. In some cases, securing premium space may also be an option, ensuring that critical shipments are not left behind due to capacity issues.
- Accurate Documentation and Weight Management Ensuring that all paperwork is complete, accurate, and submitted in a timely manner can prevent unnecessary delays due to documentation errors. Additionally, verifying that containers comply with weight regulations before they reach the port can help avoid short shipping caused by overweight containers.
- Flexible Planning and Contingency Strategies Building flexibility into the freight forwarding process is crucial. Freight forwarders should develop contingency plans in case cargo is short shipped, such as arranging alternative vessels, using different routes, or setting up temporary storage solutions to avoid further delays.
- Collaboration with Port Authorities Freight forwarders who maintain strong relationships with port authorities may be able to secure priority status for their containers in congested ports. Working closely with terminal operators can also help ensure that containers are moved efficiently through the port, reducing the risk of being short shipped.
Conclusion
Short shipping is an unfortunate reality in freight forwarding that can cause delays, additional costs, and operational inefficiencies. While it cannot always be avoided, understanding its causes and implementing proactive strategies can help freight forwarders reduce the risk and impact of short shipping. Through proper communication, planning, and contingency measures, freight forwarders can ensure that their cargo reaches its destination on time and with minimal disruption.
At Shipthis, we provide comprehensive solutions to streamline your freight forwarding operations and minimize the risks of short shipping. Get in touch with us today to explore how we can assist you in optimizing your shipping processes!