Loads are broken down into smaller units for storage until the next step in the fulfillment process. Deconsolidation – This is the opposite scenario.Reconsolidation – Warehouse staff combine many smaller units or pallets of goods into larger cargo units to fill trucks headed for the same region or destination.Two key terms to understand in transloading are reconsolidation and deconsolidation: Pallets are broken down, and contents are sorted and then re-palletized for over the road (OTR) shipping via truckload or domestic container.įrom there, goods can be taken to a warehouse for long-term storage or immediately unloaded and dispersed to fulfillment centers to be inbounded and prepared for sale. For instance, containers are transloaded at a facility near a terminal like the Port of Los Angeles, the busiest port in the Western Hemisphere. Merchants who have relied on the same supply chain routes season after season are rethinking their fulfillment strategies.īelow we examine transloading services as one strategy online sellers can implement to mitigate against port congestion, limited capacity on ocean inbound vessels into the U.S., and other supply chain risks.Ĭommon in long-haul containerized transportation, transloading is the process of transferring a shipment from one mode of transportation, such as an airplane or ship, to another, like truck or rail, to reach its end destination.Īccordingly, transloading services are usually performed when freight is exported from the U.S.
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To offset the negative impact, 31% have raised prices for their end consumers, 18% have re-routed freight or re-negotiated with carriers, and 12% have absorbed the extra cost.Īdditionally, 9% stopped offering free shipping to recover costs, while 7% held off on ordering peak inventory to see if prices would level off.įallout from COVID-19 is the chief culprit behind delivery delays, rising freight bills, and sinking profitability however, weaknesses in the U.S.’s supply chain exposed by the pandemic cannot be ignored. In fact, in our recent survey, 87% of merchants shared that they have been affected by increased freight costs this year. SOURCE Mid Canada Transload Services Ltd.The image of dozens of cargo ships recently stuck off the California coast illustrates the delivery disruptions eCommerce merchants are navigating ahead of the holiday shopping season. "Our intention is to provide efficient, prompt and individual service to help Manitoba and Western Canada businesses identify new markets or to warehouse incoming or outgoing products at a reasonable cost" said Tetrault.įor further information: Real Tetrault, The rail target markets for Mid Canada Transload Services are primarily US and Mexico but the location also serves to ship US or Canadian products anywhere in Canada with the CN. "As a private transload facility, our facility provides customers the benefit of loading rail or consolidating truck shipments without the high infrastructure costs". "Our location provides a unique advantage for a trucking company to consolidate shipments to and from the United States as well as direct rail loading and unloading on two Class 1 railways" said Real Tetrault, President and CEO. MCTS is also willing to build for prospective customers on this site. Additionally, the site already has a 10,000 square foot heavy truck maintenance workshop with an indoor truck wash. The transload site has also built a 10,000 square foot warehouse and office space that has welcomed local business "Runnin' Red", a Canada/US courier service company. MCTS offers custom warehouse storage with cross dock or rail to dock capability. This track can also serve as a warehouse base for manufactured goods that may require a larger storage area. At present, track 3 is being built to accommodate shipments of one to five cars and other shipments that require unique loading such as liquid pumps or large handling equipment. The facility was built to support "Identity Preserved" grain movement as well as larger volumes. There are currently 2 miles of track and grain storage capacity for 4,500 tons of grain. In the fall of 2020, Mid Canada Transload Services launched its operations at their new grain facility.
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