No doubt you will never have actually thought of the impact that the humble shipping container has had on world trade. But if you do take a minute to reflect upon the wonder of the metal box, you will soon realise the amazing influence that shipping containers have had all over the world.
They have revolutionised the transport trade over the years and have enabled world trade to become efficient and cost competitive. There is no longer a need for irrregular shipments to be jigsawed into place on the back of freight carriers. Transfer between the different modes of transport is also hugely simplified by the use of the humble shipping container.
An article published in the Economist recently by Daniel Bernhofen, Zouheir El-Sahil and Richard Kneller of Lund University discusses the a study into impact of shipping containers on global trade;
“The results are striking. In a set of 22 industrialised countries containerisation explains a 320% rise in bilateral trade over the first five years after adoption and 790% over 20 years. By comparison, a bilateral free-trade agreement raises trade by 45% over 20 years and GATT membership adds 285%.”
The paper titled ‘Estimating the Effects of the Container Revolution on World Trade’ can be found in full in the Economist.