What do a wheelbarrow, a box of special tools, three window frames and a pallet of shampoo bottles have in common? In logistics, they all fall into the category of “breakbulk cargo”, and it is entirely possible that they have shared space in a lorry at some point. But what exactly is groupage freight? How does general cargo transport work? And does one freight forwarder take care of my shipping order, or are there different logistics service providers involved? Questions upon questions – this article provides a few answers!
In logistics, the basic rule is that almost anything can be transported. Of course, there are major differences between the types of transport and goods. Some goods, for example, cannot be packaged but must be transported as bulk goods in a large container or mould, such as sand or grain. Liquids must also be pumped directly into a suitable transport vehicle and are therefore classified as liquid or suction goods.
Other types of goods include grab goods (goods that are loaded using large grabbing tools) or bulk goods, i.e. solid goods that are transported in bulk. This includes steel, for example. Anything that can be transported individually, on the other hand, is classified as breakbulk cargo – which we will now turn to.
Anything that can be transported in one piece counts as groupage freight in logistics. There are a few criteria: for example, the shape of the goods must not change during transport. This distinguishes groupage freight from bulk or liquid goods, for example. In addition, it must be a separate unit that can be handled as a crate, pallet, package, barrel or roll.
There is no hard limit on how large or heavy these individual units may be, what dimensions they must have, or when the transition from parcel service to freight forwarding takes place. Parcel service providers usually accept packages with a maximum weight of 50 kilograms, but goods above girth can also be shipped as general cargo. The only condition is that they must be clearly distinguishable and can be transported separately. The upper limit is approximately six pallets. Internationally, general cargo is referred to as “collo”, reminiscent of the French word for parcel, “colis”. The term “packed goods” refers to the contents or the goods themselves; together with the packaging, they then become breakbulk cargo.
Of course, these individual shipments cannot be transported to their destination in one go – that would fall within the scope of express couriers, or simply partial and full load transport, who, for example, deliver important shipments from Munich to Hamburg in emergencies.
Normally, the journey of a piece of general cargo is divided into three parts:
As already mentioned, a general cargo shipment is not transported from A to B in a lorry. In such cases, we refer to full loads, where a single means of transport – usually a lorry – is reserved exclusively for a single delivery, from the dispatcher to the recipient. Instead, general cargo transport is divided into pre-leg, main leg and final leg, so that the shipment is reloaded several times in between, i.e. transhipped. The various steps of transport are usually handled by several logistics service providers.
Forwarding agents therefore often join together in so-called groupage networks in order to cover as large and dense a network as possible. Otherwise, a single freight forwarder would hardly be able to offer comprehensive deliveries, as it would have to have operations at all important interfaces throughout the country (or even internationally).
In order for many different companies to work together efficiently in a network, it is crucial that relevant data is exchanged – whether it be transporting orders, delivery notes or delay information. Simply sending an email is not enough. The challenge is to create an IT solution that enables information to be made compatible between different partner companies and their respective transport management systems (TMS). This is exactly where specialized IT service providers come in, focusing on logistics and the complex requirements of coordinating numerous companies.
Of course, competition boosts business. At the same time, we are stronger as a team than alone. This raises two questions. Especially in times of competition and price pressure: why does it make sense for freight forwarders to be part of a groupage network?
And what is important when managing such a network in order to bring together the multitude of companies and partners? Stephan Opel, managing director of the Germany-wide groupage cooperation NG.Network, answers: “The future of logistics is anti-fragile, digital and sustainable.
This includes comprehensive stability and high quality – two points that are easier to implement in a strong network than for an individual company. In order to make the best possible use of the available capacities of regional partners, we work with a network of regional partners. This includes comprehensive stability and high quality – two points that are easier to implement in a strong network than for an individual company. In order to make the best possible use of the available capacities of our regional partners, we rely on a strong central office that manages the entire network. We collate and analyze all data and, thanks to modern reporting tools, can produce transparent evaluations and derive targeted measures for quality assurance.”
General cargo networks therefore optimise overall capacity utilisation, avoid empty runs and enable reliable transit times. If one company is overloaded, another can step in – ultimately increasing the reliability and quality of all processes within the network. This also benefits the customer.
Of course, it is not possible to decide every day which routes would be most cost-effective for transporting goods from one place to another as quickly and economically as possible. That is why there are so-called regular services, as we know them from passenger transport. In logistics, the term “regular service” describes predefined transport routes – comparable to regular buses, but for general cargo. This is the only way to achieve standard transit times – the estimated time it takes for a shipment to be picked up and delivered – of 24 to 48 hours.
Some shipments are extremely urgent, while others can be planned well in advance and may take more than a day. This list will help you decide whether your goods are suitable for breakbulk shipping.
General cargo sounds simple at first: individual shipments have to be transported from one place to another. However, behind this lies a highly complex and widely networked system of logistical processes. The right combination of pre-leg, main leg and final leg, interrupted by several transshipment processes, ensures that all loads are transported from their point of origin to their destination in the most efficient and cost-effective way.
To make this work and ensure comprehensive transport coverage, individual freight forwarders often join forces to form strong groupage networks. They all benefit from the mutual exchange of experience and trusting cooperation, whereby one company can step in when another is too busy. In this way, all goods are reliably transported piece by piece throughout the country.
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