International Shipping Containers v/s Domestic Containers
International shipping containers can be considered as an extension of a ship which is expected to sail on international waters again within a specified time (Usually 6 months).
If containers are intended for use within the country, they must be domesticated by paying import duty. Generally, such containers are used in domestic transportation, for warehousing, as temporary shelter or site offices.
After production, some manufacturers store products in containers instead of warehouses, and subsequently move them to the final destination based on supply orders. So using containers directly for storage will release the expensive land occupied by warehouses. By using domestic containers, multiple handling of commodities is also eliminated.
Terminal operators lease containers to allow importers to store their goods in them. The importers unload the consignment from the containers owned by the shipping lines and stuff them into the leased containers. This saves the consignees from paying detention charges to the shipping lines if the clearance or the delivery of the cargo is delayed, while the containers owned by the shipping lines are freed for use in the export cycle.
Some consignees who import high tech equipment use domestic containers to maintain secrecy. Yet another area where the domestic containers are extensively used is in coastal shipping where the cost-benefit is substantial.
VS&B has a fleet of Cargo Worthy domesticated containers across India that can be used for coastal shipping, rail, conversion and for site storage purposes.