What Is Drayage And Why Is It Important?

In logistics business Drayage is a daily used term

By definition, drayage is the transport of freight from an ocean port to a destination. It’s also often described as the process of transporting goods over short distances, aka “The first mile.” Now, you may be thinking, what’s the big deal? Surely the first mile can’t be that complicated.

Important characteristics include:

    It can normally be finished in one shift, just a part of a longer length haul during shipping.

    In addition to the process of short transport of goods, “drayage” also has some other meanings in the industry. Sometimes, it can also refer to a pickup by vehicle to or from an inland/boarder point, an intermodal terminal, or a seaport.

    It is also at times used as the name of the fee on an invoice for such services, often used in the container shipping industry for international commerce.

    There are situations it is often utilized for. For example, during a routine freight move, in which numerous transportation methods are used for shipment (such as truck and rail), drayage occurs when the freight is transferred from the truck and placed on the train. At this point, shipping documents are updated, and possibly, the freight may be rearranged (split up or pallatized) for the next leg of its journey.