Intermodal freight transport – why is it worth it?
Innovative logistics processes are the basis of today’s economy. Intermodal freight transport is growing in popularity every year. Intermodal transport is being used more and more even despite the Covid-19 pandemic. According to experts, it is expected to reach a global value of $36 billion in 2026.
What is intermodal freight transport?
Intermodal freight transport is defined by two key conditions – the change of means of transport in a given supply chain and the retention of only one load unit. A single contractor with whom a single agreement is signed is responsible for the entire service.
In intermodal freight transport, goods are loaded into a container, special containers, semi-trailers or swap bodies (BDF) and are not transhipped along the entire route to their destination. The container itself may be transported by water, land or air – using at least two different modes of transport. The entire transport may be domestic, international or even intercontinental.
The simplest and most frequently used modal transport model is a combination of car and rail transport. In this case, the cargo is moved in its entirety from the semi-trailer of the truck to the cargo wagons and vice versa. Other types of intermodal include:
- road-sea transport,
- road-air transport,
- rail-road-air transport,
- rail-road-sea/river transport.
What are the advantages of intermodal freight transport?
The very idea of combining different modes of transport to bring goods to their destination is nothing new. However, intermodal freight transport is distinguished by the absence of transshipments along the route and the establishment of a single contractor responsible for the process. These factors translate into very tangible logistical benefits.
The main advantage of intermodal freight transport is the optimisation of the delivery process. Goods can be transported over enormous distances across national borders and the risk of damage or theft during transhipment is significantly reduced. The container is closed at the supplier’s and only opened at the recipient’s.
For entrepreneurs, this form of transport also means a significant reduction in costs. Analysts suggest up to 50% savings on long distances. At the same time, prices are stable and do not fluctuate seasonally, which makes business planning easier.
Intermodal freight transport makes it possible to carry very large loads – up to 26 tonnes in a single container. In addition, entrepreneurs benefit from the complementary nature of the service – all negotiations and document exchange take place with just one contractor. The very method of loading and unloading of goods can be adapted to individual needs.
Ecological aspect of modal transport
Another very important advantage of modal transport is the limitation of environmental damage. If a container is transported by train or ferry for a significant part of the route, there is a clear reduction in CO2 emissions into the atmosphere compared to road transport alone. The eco-friendliness of transport solutions is now an important criterion in business decisions and part of the wider social responsibility of companies.
What is more, it is possible to use intermodal freight transport for so-called reverse logistics, i.e. ecological returns. The same container delivered to the recipient can be used to transport back unwanted or advertised goods, as well as hazardous waste, the disposal of which is the responsibility of the manufacturer.
Does intermodal have any drawbacks?
Intermodal freight transport also has its weaknesses and is not the best choice in every situation. It is not easy to organise – the handling of heavy containers requires the use of specialist equipment such as cranes and gantry cranes. These may be needed at the supplier, the recipient and also, for example, at smaller rail terminals.
Another disadvantage is the reduced flexibility of the service. Intermodal freight transport companies usually use fixed connections with selected carriers, which makes it difficult for them to react to accidents or changes in schedules. The transit of containers across borders is generally not fast, and can be hampered by downtime at port or rail terminals. For urgent shipments, it is worth considering other transport options.
Combining different modes of transport on the same route also limits the ability to track a shipment in real-time. The supplier usually only has access to information about the arrival of the container at one of the transshipment hubs, not its precise location. Some delivery management options may therefore be limited in this case.
Other potential disadvantages of intermodal freight transport include the limited ability to carry specific loads (e.g. live animals), the inconvenience of combining packages into a single consignment, and the inability to stagger them for different suppliers.
Intermodal freight transport in Poland
The national infrastructure provides a good basis for the development of intermodal freight transport. According to the Central Statistical Office, in 2020, cargo transport in Poland amounted to, respectively:
- 3 billion tonnes in car transport,
- 3 million tonnes in rail transport,
- 1 million tonnes by sea,
- 9 million tonnes in inland waterway transport,
- 63,000 tonnes in air transport.
The infrastructure of rail routes, expressways, as well as land and sea terminals, combined with the convenient location in the heart of Europe and access to the sea and transit rivers, opens up extensive prospects for intermodal carriers. Analysts predict continuous and stable growth in this market sphere until at least 2030.
New companies specialising in transport combining various means of transport are being established on the domestic market. Services of the PKP Cargo Group, which realised 43% of all intermodal transports in 2020, are also a significant competition for them. Modern delivery options such as ‘door to door’ or ‘just in time’ are becoming a competitive advantage today.
Transport of the future
The role of intermodal freight transport will certainly grow in the coming decades. Increased competition in the market will further improve service quality and reduce costs, while innovative technological solutions will facilitate supply chain planning. It is not insignificant that the ever-growing e-commerce market will take on a greener, more responsible nature, while social responsibility will prompt even more representatives of various industries to pay attention to intermodal transport and its sustainable methods of handling cargo in international traffic.
