Ocean container tracking is hugely important to modern shipping. Why? Because shipping by sea is responsible for transporting over 90% of the world's goods, according to The Organisation for Economic Co-operation and Development (OECD). Maritime cargo visibility is crucial for monitoring container movements, anticipating delays, and keeping supply chains moving.

Without ocean freight tracking, supply chains are at risk of coming to a standstill, causing mass disruption to global commerce and stunting economic growth. Therefore, ocean container tracking is the must-have solution for every shipper.

However, despite the opportunities that ocean freight tracking brings, there are challenges. Compliance with international regulations and maintaining cargo visibility and transparency remain problematic because the maritime industry is notoriously slow to embrace technology.

The Evolution of Ocean Freight Tracking and Compliance

However, the tide is turning. Technological advancements are now instrumental in transforming ocean freight tracking and compliance. The days of relying solely on paper-based processes are fading fast. Now, sophisticated software solutions are revolutionizing tracking capabilities, offering real-time insights into shipment status and location.

Technological Advancements in Tracking

Modern ocean container tracking software uses GPS, RFID, and the Internet of Things (IoT) to provide granular visibility into container movements. These software solutions integrate seamlessly with existing systems, enabling stakeholders to monitor shipments across every level of the supply chain.

Thanks to technological advancements in ocean freight tracking technology, the smart shipping container tracking market is expected to grow by multi-millions by 2030. North America, in particular, is one of the key drivers of ocean container tracking growth.

Challenges in Ocean Shipment Visibility and Customs Compliance

Despite technological progress, some challenges still plague container shipping compliance and visibility. Issues like missing paperwork, incomplete documentation, the illegal transportation of goods, and inaccurate reporting pose significant risks to achieving supply chain resilience. For example, incomplete or erroneous paperwork can leave cargo stuck at ports, resulting in otherwise avoidable per diem and demurrage charges.

Navigating International Trade Regulations

Compliance with international trade regulations is crucial for ocean freight operations and maintaining overall supply chain efficiency. Noncompliance with regulations can result in delays, fines, or even cargo seizure.  Understanding international and country-specific trade regulations is essential to navigating global trade complexities:

• Customs procedures and tariffs: Any imports or exports are subject to customs declarations, duties, and tariffs, which are tied to the valuation of goods.
• Trade agreements: Countries that are trade partners often agree to bilateral and multilateral trade agreements that establish rules for things like special taxes on goods, where products come from, and how disputes are solved.
• Sanitary measures: Ensuring the food, agricultural goods, and live animals crossing the border are top quality and safe is a top priority.  Sanitary and phytosanitary regulations are standards that help prevent the spread of diseases and ensure the products are safe to consume.  
• Security and safety measures: Keeping supply chains safe involves ensuring containers remain locked throughout the journey and that shippers aren’t using them to transport illegal goods. These steps include screening cargo before it’s loaded into the container, checking the container to ensure it is secure once it’s loaded, and constant monitoring that detects light excursions that might indicate a possible theft attempt.

Ensuring Compliance

Logistics companies are on the front lines of ensuring compliance with international trade regulations. Using robust processes and diligent oversight helps them mitigate risks and protect the integrity of the supply chain.

Tech-driven solutions: Advanced technology systems make compliance-related processes more accurate and efficient than ever, from automated document creation to data exchange with customs authorities.

In-house trade compliance teams: Many logistics operations now have teams of trade compliance specialists with expert knowledge of international trade regulations. Shippers can rely on this team’s up-to-the-minute information on customs requirements, tariff classifications, and documentation procedures.

Network and partnerships: Third-party logistics providers also have access to a network of established partners, including customs agents, brokers, and local authorities worldwide. These connections ensure a steady flow of information, enhanced compliance, and dedicated relationships with regulatory bodies.

Risk assessment and management: Reputable service providers use robust technology to identify and navigate potential compliance risks. For example, they can use current and historical data to assess risk on specific shipments or trade routes, making informed decisions to proactively mitigate or avoid issues altogether. This approach helps minimize delays and disruption while ensuring complete compliance with international regulations.

Monitoring and training: In anticipation of changes to trade regulations, many logistics providers have continuous monitoring and training systems to ensure ongoing compliance.

Logistics partners are increasingly prioritizing compliance to better navigate international trade regulations, especially when shipping ocean containers. Technology, in particular, is helping to increase the flow of information between shipping companies, port authorities, and government agencies, reducing the risk of compliance issues with every shipment.

Enhancing Supply Chain Visibility and Security

There's so much riding on supply chain visibility solutions and security. Recent events in the Red Sea and other ongoing geopolitical events have increased the push toward better supply chain visibility and security.

Modern technologies offer unlimited opportunities to further enhance supply chain visibility and fortify security measures.

The Role of Modern Technology

Specifically, APIs, digital standards, and blockchain technology have helped to revolutionize supply chain management and security. With granular accuracy, stakeholders can now track ocean containers and freight based on real-time insights into shipment status and potential delays and disruptions.

APIs (Application Programming Interfaces): An API is a digital bridge connecting different software systems to communicate seamlessly. By integrating APIs into supply chain management platforms, stakeholders can access up-to-date information about inventory levels, shipment statuses, and delivery timelines. This real-time data enables swift decision-making and proactive problem-solving, minimizing the risk of disruptions and delays.

Digital standards: By standardizing data formats and communication protocols across the supply chain and adhering to these standards, stakeholders ensure interoperability between different systems to enhance the efficiency of data exchange. Information flows seamlessly between various parties involved in the supply chain, facilitating better coordination and collaboration.

Blockchain technology: Offering unparalleled transparency and security by creating a fixed ledger of transactions, each transaction recorded on the blockchain is encrypted and linked to previous transactions, forming a chain of blocks that cannot be altered or tampered with. This decentralized and tamper-proof nature of blockchain ensures the integrity of supply chain data, mitigating the risk of fraud and unauthorized manipulation.

Overcoming Interoperability Challenges

Interoperability between IT solutions remains a significant challenge in implementing supply chain visibility solutions. However, supply chain stakeholders are increasing collaboration to develop and adopt common standards for data exchange.

Equally, better governance structures and agreements that define roles are increasingly being implemented to address organizational and cultural barriers to interoperability. On the technology front, great strides have been made by manufacturers, suppliers, and logistics providers to integrate software systems for better communication and data exchange.

By establishing common standards and protocols, fostering collaboration among supply chain partners, and prioritizing flexibility and scalability, organizations are unlocking the full potential of supply chain visibility solutions, enabling real-time insights, improved decision-making, and enhanced operational efficiency.

Best Practices and Strategies for Efficient Ocean Freight Operations

Optimizing ocean freight operations requires a comprehensive approach that covers containerization, customs clearance, port operations, and cargo tracking. Adopting best practices and strategies ensures streamlined processes and optimized performance.

Importance of containerization and packaging for cargo security: Proper containerization and packaging are essential for safeguarding cargo against damage and theft during transit.

Role of customs clearance and trade compliance: Adhering to customs procedures and trade regulations is critical for expediting the clearance process and avoiding costly delays.

Understanding port operations and terminal handling: Familiarity with port operations and terminal handling procedures enables efficient cargo handling and seamless transitions between transportation modes.

Utilizing cargo tracking and visibility tools: Using advanced tracking and visibility tools empowers stakeholders to monitor shipments in real time, proactively address issues, and optimize logistics processes.

Factors influencing freight rates and pricing strategies: Various factors, such as fuel costs, market demand, and geopolitical events, influence freight rates. Developing robust pricing strategies ensures competitiveness and profitability in the ocean freight market.

Ship with Certainty Using Vizion API

VIZION API is helping shippers worldwide to ship with complete visibility and transparency with ocean freight tracking. Shippers can:

• Monitor shipments by container number, master bill of lading, or auto carrier identification.
• Track 98% of global shipments.
• See over 7,000 unique events translated into 60 standardized milestones and ETAs.
• Access instant-on data with documentation.
• See regularly refreshed data feeds.
• Leverage ready-to-use enriched data to make data-informed decisions.
• Improve operational efficiency.
  

Book a demo with VIZION API today to learn more about how we can help you optimize ocean container tracking.

‍