A complete guide to container tracking

Container tracking has evolved from simply monitoring a container's location to predicting arrival times and potential costs when delays occur. For businesses involved in shipping, schedule reliability is crucial as chokepoints can close quickly and congestion at one terminal can impact entire trade lanes. This guide covers several key aspects of container tracking.

Container tracking involves monitoring a container's status and location throughout its journey, from being booked at origin to being unloaded at the destination. There are three distinct types of tracking: vessel tracking focuses on the ship's position, speed, course and port calls; container tracking follows a specific unit through milestones recorded against it; and shipment tracking provides a broader view of an order or consignment which may involve multiple containers, modes, and legs.

Effective container visibility relies on linking vessel tracking, container tracking, and shipment tracking together. Each step of the container's journey is recorded with common events such as Gate In, Loaded on Vessel, Vessel Departure, Transshipment, Discharged, and Gate Out. Key identifiers include the container number (ISO 6346), bill of lading number, booking number, vessel name and voyage number.

Challenges arise when dealing with multiple shipments and carriers, as each major shipping line operates its own portal with different data formats, event naming conventions, and update schedules. With five carriers, a team effectively manages five separate tracking workflows that don't communicate with one another. Limited visibility during ocean transit occurs because carrier updates are largely event-driven, resulting in few updates between departure and arrival.

Reliability of ETAs is another issue; what is published at booking time is an assumption rather than a forecast. Schedule changes, port congestion, and weather can all affect an ETA. Delays in carrier updates can lead to a container sitting at anchor outside a congested port for 36 hours before the tracking system reflects any change, potentially causing warehouse scheduling issues, customs pre-clearance delays, inland haulage problems, and missed transshipment connections.

The cost of demurrage, detention, missed connections, inventory shortages, and wider supply chain disruption can add up to billions of dollars each year. For example, a 2021 study found US$321 million in additional interest expenses due to cargo sitting idle. With over 90% of global trade moving by sea, these inefficiencies significantly impact overall trade performance.