Positive Expectations for Reefer Shipping

reefer shipping

As projected at the beginning of 2016, this year is proving to be one of the worst for global container shipping, with one exception – reefer shipping.

In written clarifications by The Journal of Commerce, Container News, World Cargo News and Cleanleap, studies show cold chain has proved to be growing strong with frozen food shipments up 4% and chilled products up by 7%. The expectation being that the global refrigerated ocean transportation market will grow steadily from 2016 through 20201.

According to the latest edition of the Reefer Shipping Market Review and Forecast 2016/17, by 2020 seaborne reefer cargo will reach a staggering 120 million tonnes – increasing by an average of 2.5% per annum2. Such increases will have a direct effect on both container lines with reefer capacity and specialized reefer operators.

So where are these predictions coming from? One strong theme in reefer shipping performance is being attributed to the growing demand for food throughout Asia and rapid growth in meat imports into China3. China’s cold chain is now reported to be growing at 25% per year and projected to be worth $75 billion by 20174. In addition to the Asian market, Indian cold chain is also forecast to grow at 25% per year to 2017. This prediction is being accredited to popular fast food supply exports to India tripling over the last six years. Evidence shows the reefer shipping sector is also betting on growth in new and emerging economies, including Cuba. Trade organizations and industry groups have already conducted trade missions to Cuba in anticipation of the lifting of the U.S. trade embargo5.

…having reliable equipment when and where it’s needed is mandatory.

Emerging economies are not the only impact being taken into account, new business segments such as floriculture and pharmaceuticals are anticipated to continue to contribute greatly to the reefer shipping sector. Floriculture, or flower farming, is a $32 billion industry. It ranks as the third-largest U.S. crop, and growers in California make up 75% of the market. Pharmaceutical shippers are also looking more closely at ocean freight for their temperature-controlled shipments. The seasonal nature of floricultural and agricultural products combined with their short shelf lives mean having reliable equipment when and where it’s needed is mandatory. Despite the many current difficulties for the maritime sector, the predicted growth of reefer shipping has an encouraging outlook.

1http://www.joc.com/international-logistics/cool-cargoes/reefer-market-poised-growth-faces-supply-chain-challenges_20160709.html

2http://container-news.com/perishable-reefer-trade-growth-remain-strong-drewry/

3””Reefer Cargo is Hot” World Cargo News Magazine, September 2016, pp. 17

4http://cleanleap.com/brace-yourself-cold-chain-coming/cold-chains-developing-world-catch-and-leapfrog

5http://www.joc.com/port-news/international-ports/cubas-mariel-port-has-ambitious-plan-become-giant-feeder-hub_20160704.html

Do You have an Effective Emergency Backup System?

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September is National Preparedness Month.  Is your business ready in the event of an emergency? We can mitigate risk, both to our lives and our property, by being proactive and planning ahead for a disaster.

As a business owner, being prepared means having an effective emergency backup system.  An important step in implementing this system is selecting a manual transfer switch that can quickly and safely be connected to a generator should utility power be out for a prolonged period of time. In ESL’s blog, 6-Ways to Select a Manual Transfer Switch we cover the factors that should be considered when determining which type of transfer switch is most suitable for your business.

Ensure your business will be the one to have the lights on in the aftermath of an emergency…

In addition to a reliable back up system, your company should have a plan. Determine how you’ll get your business back up and running. Make a Check list! Assign responsibilities and determine if additional training is necessary to perform the tasks assigned. Include a backup person responsible for a task if your primary is off site.

Plan regularly scheduled maintenance. Keep your equipment up to standards and ready at a moment’s notice. NEC regional standards provide guidelines for regularly testing electrical equipment. ESL’s TripleSwitch —  a 3-way manual transfer switch —  simplifies load bank testing procedures and also provides a safe way to connect a backup generator in the event a permanent generator malfunctions. Read more about this process in our recent blog on how to Streamline Load Bank Testing.

Ensure your business will be the one to have the lights on in the aftermath of an emergency, ready to serve your customers at a time when demand is high!

Remember, it’s never too late to make sure that you’re prepared for an emergency or loss of power!

Streamline Load Bank Testing

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Load bank testing is necessary for facilities such as water wastewater plants, data centers, high rise buildings, and nursing care centers.

According to NEC Article 708 and NFPA 110, automatic transfer switches are required to be regularly tested. These regulations are in place to ensure that when utility power goes down, the backup equipment will effectively support the facility’s electrical requirements.

The time and cost associated with load bank testing procedures, which have to be repeated at regular intervals, can be arduous.

ESL’s TripleSwitch, a safety-interlocked 3-way manual transfer switch, is UL 1008 Listed up to 3000A and significantly reduces the time needed to make required connections and disconnections when load bank testing. The TripleSwitch was specifically designed for two purposes:

  1. To streamline load bank testing procedures.
  2. To provide a redundant and safe way to connect a backup generator in the event the permanent generator malfunctions, requires routine maintenance, or if utility power fails during load bank testing.

ESL’s TripleSwitch provides 4 primary benefits for facilities that have an automatic transfer switch and permanent generator:

  1. Reduces time required for making the necessary connections for load bank testing
    Load bank testing can be challenging and time consuming. With multiple connects and disconnects of electrical connectors between the permanent generator and ATS this process can tie up manpower. From start to finish, it can take 2 people up to 10 hours to complete a full load bank test. With ESL’s TripleSwitch system, the resources required to load bank test are minimized netting a considerable time savings.  With cam-style connectors, load bank connections can be made in minutes.
  1. Provides portable generator connection for redundant backup
    Since the permanent generator is disconnected from the system during load bank testing or for repairs, the facility’s power systems are now susceptible to power loss in this time. ESL’s solution minimizes this risk.  Since the TripleSwitch has dual functionality, a portable back-up generator can quickly be connected to ESL’s 3-way manual transfer switch in the event utility power fails or the permanent generator has performance issues.
  1. Mitigates risk of making faulty or incorrect connections when reconnecting the permanent generator and/or ATS after load bank testing is complete
    The permanent generator and ATS are directly wired to the TripleSwitch, allowing connections to be made to the load bank or emergency back-up generator via color-coded cam-style connectors instead of the traditional hardwiring method.
  1. Reduces wear and tear of ancillary equipment
    It is not uncommon to damage wire conductors when making frequent connects and disconnects of the cables. With ESL’s TripleSwitch, connections to the load bank are made with cam-style connectors, preventing unavoidable wear and tear of cables and termination lug threads.

ESL’s unique UL 1008 Listed TripleSwitch system simplifies the traditional connection/disconnection process required for load bank testing of permanent standby generators for facility power systems. It also combines generator quick connects for redundant backup portable power at a much lower cost, smaller footprint, and can virtually eliminate wiring mistakes.

Additional TripleSwitch resources, such as specifications, spec sheets, and case studies, can also be found here.

Be Proactive: Help Prevent Container Drive-offs

PORT SAFETY
Many key factors play a role in getting cargo in & out of ports and on the road to their final destination. In the process of getting reefer containers from one destination to the next, it is important that precautionary measures are taken to mitigate the occurrence and impact of accidents and safety hazards.

WHAT IS A DRIVE-OFF?
Drive-offs in a port terminal happen when an operator moves refrigerated cargo containers while they are still connected to an electrical source such as a rack mount reefer outlet assembly (Fig. 1 & 2). When a drive-off occurs, the plug or receptacle are in danger of breaking away. This breakaway can result in damage to equipment and infrastructure. In addition, and more importantly, it could also create hazardous conditions.

MONETARY LOSS
Aside from being dangerous, damage to refrigerated cargo containers can also be costly. In addition to repair or replacement cost, disruption to operations due to the unavailability of the reefer container slot corresponding to the damaged reefer outlet should be considered. Drive-offs are especially disruptive in automated container terminals. For safety reasons the automated operation must be stopped in the all or part of the stacking row while repairs are performed. Units must be repaired quickly in order to allow operation to continue and reduce financial loss.

Port Drive-off

SOLUTIONS
In order to minimize drive-offs, ESL recommends plug sensing devices which can be added to Reefer Outlet assemblies. This solution contains a dry contact micro switch powered by a secondary source which can be used to help trigger a warning system (visual or integrated to TOS). This proactive option helps limit damage caused by human error which in turn, reduces operational costs and the need for replacement receptacles.

When it comes to breakaways, ESL offers receptacles made from polyamide, a non-metallic material designed to break easier under stress, preventing further damage to other components of the Reefer Outlet Assembly. This allows for easy replacement of broken receptacles and less operational time lost.

With increased education about the dangers of port drive-offs, and implementing precautions such as Safety-interlocked cord connected devices, injury and cost can be minimized. Learn more about ESL and how we can help keep your port safe by visiting our Intermodal page or contact us!

ESL’s Watertight Plug Install Video

ESL’s complete line of refrigerated container plugs and connectors are designed to withstand wet marine environments and ensure a watertight seal. Watch our recent video to learn how to correctly install ESL’s watertight plugs and connectors.  Visit ESL’s Reefer Plugs, Connectors & Accessories page for further information on our product.

Want to see more videos like this? Watch ESL’s Magic Watertight Plug Video and see ESL’s playful take on a water ingress test.