Shipping Is Big Industry Worldwide
Shipping is one of the biggest industries worldwide, enabling the movement of goods from one part of the world to another. The shipping industry is a critical element of the global economy, and it offers a significant contribution to the world's GDP. Maritime shipping is responsible for transporting up to 90% of the world's goods, including raw materials, finished products, and other essential commodities.
The continued growth in globalization has led to an increase in the demand for shipping services, as global trade continues to expand with each passing year. Shipping has opened up new markets, created jobs, and ultimately improved the livelihoods of millions of people worldwide. The industry has played a significant role in promoting international trade, industrialization, and economic growth. The shipping industry is massive, and it is an essential component of the world economy, with an estimated worth of over US $400 billion per annum.
Shipping enables businesses and consumers to access goods and products from a broader range of sources, regardless of distance and production costs. It has made it possible for companies to source raw materials and finished products globally to leverage comparative advantages and reduce overall costs. The shipping industry is made up of a vast array of vessels, including cargo ships, tankers, container ships, bulk carriers, and many others.
Container ships are the most commonly used ships in the industry, responsible for transporting about 60% of the world's goods in terms of volume. They are used for transportation of everything from consumer goods to food products, chemicals, electronics, and machinery. These ships have standardized container sizes, which allow them to be efficiently loaded and unloaded at ports worldwide, with containers being easily moved from ship to shore.
Tankers are specialized vessels designed for the transportation of liquid cargo, including crude oil, refined petroleum products, and liquefied natural gas (LNG). They are among the largest vessels in the shipping industry, typically measuring up to 400m long.Their size allows them to transport huge amounts of liquid cargo, requiring specialized loading and unloading facilities.
Bulk carriers are designed for the transportation of dry bulk cargo such as coal, iron ore, and grains. These ships are primarily used to transport large quantities of heavy and oversized commodities. They are typically very large, ranging from 200 to 300 meters, and require specialized handling equipment to load and unload their cargo.
Shipping has also enabled the growth of specialized industries, such as shipbuilding, seafaring, and shipping logistics. The industry has helped to create jobs both within its operations and across associated industries. Shipping is a very labor-intensive industry, and it provides jobs to millions of people worldwide, from shipyard workers to port terminal operators and seafarers.
Moreover, as the industry has grown, there has been an increase in shipping logistics to manage the movement of goods, from the manufacturer’s warehouse to the final destination. These logistic services created a support industry, providing services such as warehousing, customs clearance, and transportation. Consequently, shipping became a complete package, and it is now possible to track every movement of the cargo through the supply chain.
Despite COVID-19 negatively impacting the global economy, the shipping industry experienced a significant surge due to the pandemic. The inability of individuals to travel in person for trade deals has given rise to e-commerce, leading to a rise in international parcel delivery. The pandemic has also increased demand for PPE, medical supplies, and equipment, all of which are dependent on shipping logistics.
In conclusion, the shipping industry is a massive and essential part of the world economy, playing a vital role in international trade, industrialization, and economic growth. It provides jobs to millions of people worldwide, transporting goods from the manufacturer to the final destination. Shipping is an industry that benefits everyone, from manufacturers and traders to consumers and communities. The industry's continued growth and development are critical to the world economy, and as such, it deserves the utmost support and recognition.