Inland Container Depot (ICD) | Function of ICD

 In the modern age of international trade the key factor is moving goods from exporter to importer efficiently, but this may be a challenge for those whose manufacturing unites or warehouses are located at remote place and far away from the sea ports. Here comes the need of Inland container depot, commonly known as ICD.

ICDs are also known as dry ports.

What is an Inland container depot (ICD)?

Inland container depot is a custom bounded area where activities such as container storage and handling, stuffing, destuffing, packing, labelling, goods storage, custom clearance etc. carried out. ICDs are always located at landlocked area and away from the seaports.

What purpose Inland container depots solve?

Let's take an example: A manufacturing unit and it's warehouse are located in a place which is 1500 kilometres away from a sea port, where they are manufacture and store their products which are ready to export. Now the problem exporter will face is to transport the goods to an CFS which is 1500 kilometres away from the warehouse, which is costly as well as risky.
Now, if the exporter gets an alternative way to do the custom clearance and hand over the goods to the shipping line near to their warehouse, that will be most convenient way for them.
The Inland container depots are designed to solve this problem. These ICDs are located in landlocked areas so that the exportable goods of that reason can be consolidated and transported to the seaports in more effective manner.
Now, let us come back to our example. The exporter will send the goods to the nearest ICD where goods will be cleared by custom and handed over to shopping line; the shipping line will arrange to transport the goods to the seaport.

How an Inland container depot works?

Export process:
Exporter load the goods on the trucks and send to the ICD, meanwhile they inform the CHA and provide them the container booking details. Once the trucks arrives at ICD, CHA takes necessary permissions from custom officers available in the ICD and take the trucks inside ICD.
If required, as per exporter's instructions, packing and labelling done. Simultaneously the CHA reach out the empty container yard and pick up the containers for stuffing. Stuffing of the goods into containers done and CHA requests custom officer to inspect the cargo. Custom officer inspect the cargo and issues Let export order if everything found satisfactory.
After receiving the let export order, the containers are moved to the loading area. From there containers loaded into the train and moved to the port of loading. All ICD are connected to seaports by railway, sometimes trailers are also used for container movement if ICD is not so far from the port.

Import process:
Once the vessel arrives at the port, the containers are unloaded from the vessel. After unloading of containers, based on the nomination at the time of IGM filing, containers are loaded on the train and sent to the ICD. Importer sends original shipping documents to CHA before arrival of containers at ICD. After arrival of containers at ICD, CHA starts the process of custom clearance, and approaches shipping line for delivery order with origin BL, custom officer available in ICD examines the goods and clear the goods by providing 'Out of charge'. Once out of charge order received from customs and delivery order received from shipping line, goods can be de-stuffed from containers and importer can place vehicles and take the goods out of ICD.


Advantage of Inland container depot:
1. Hassle free process for exporters: For exporters or importers in landlocked regions, it's very troublesome to get the cargo cleared at CFS near to port and transport the goods to their factory or warehouse which is thousands kilometres away as they are not completely aware of the place and people. ICD help them a lot as it offers the services near to their factory or warehouse.

2. Cost effective: Transportation of goods from the port area or CFS to the exporters or importers factory or warehouse (or vice versa) is much costlier because of long routs. ICD reduces that cost by reducing the distance from exporter's or importer's place to the place of custom clearance.

3. Accessible to landlocked regions: Because of ICDs cargo clearance and handling is possible in the places where sea or river ports are not available.

4. Port congestion reduced: ICDs handle a significant portion of the cargo operations which helps to reduce the congestion at seaports.