What is Bulk Cargo?

Bulk cargo refers to loose, unpackaged goods that are moved in large quantities. Bulk cargo is usually divided into dry bulk cargo (like grains, coal, and iron ore) and liquid bulk cargo (like vegetable oil or gasoline). 

Bulk cargo is usually stored in large holds or tanks and requires specialized equipment for loading and unloading. A bulk cargo vessel, also known as a bulk carrier, is built specifically for this task. 

Break bulk cargo is typically defined as cargo that must be lifted, not poured, and usually requires more manual handling. Breakbulk shipping involves items like machinery, steel, or lumber that are too large or irregular to containerize, with each piece loaded individually onto the vessel.

You should consider using bulk cargo when:

• Shipping large volumes of unpackaged goods, like grains, coal, ores, or chemicals.

• Goods are homogeneous, meaning they don’t need to be separated or individually handled.

• You have access to bulk handling infrastructure, such as silos, conveyors, or bulk terminals.

• Speed of loading/unloading matters, as bulk cargo is often faster to process than containerized goods.

The IMSBC Code (International Maritime Solid Bulk Cargoes Code) is the global standard for classifying dry bulk or solid bulk cargo. It classifies cargoes into Group A (may liquefy), B (chemical hazards), and C (generally safe). 

For liquid cargo, standards include the IBC Code and MARPOL. These regulations ensure safe, consistent bulk cargo handling and help protect workers, equipment, and the environment. 

Bulk cargo shipping companies may use measurements like actual and dimensional weight to assess costs. However, larger loads may demand specialized vessels and terminals, which can contribute to overall costs. 

Each of the bulk cargo types (dry or liquid) has its own risk factors and handling standards.

Logistics operators must typically plan loading and unloading protocols, prepare documentation, and choose the right cargo ship. 

Communication between shippers, ports, and handlers is essential. The use of the appropriate container systems, silos, pumps, and conveyor belts help ensure safe and efficient bulk cargo handling.

A bulk cargo vessel transports unpackaged goods like grains or coal directly in its holds, while a container cargo ship carries goods sealed in standardized containers for easier handling and transfer. These ships are essential to global trade – the biggest cargo ship in the world can carry more than 24,000 containers.

Bulk shipping supports high-volume movement without packaging. That enables efficient transfer of materials like grains, fuel, and minerals. 

Benefits of bulk cargo shipping include: 

• Cost-Effective – Lower shipping costs per unit due to large volume.

• Efficient Handling – Faster loading and unloading using specialized equipment.

• Flexible Quantities – Can ship large or irregular quantities without packaging. 

• Reduced Packaging Costs – No need for individual containers or pallets.

Shipping costs generally depend on three main factors:

• Shipment weight and size: Physical weight and volume affect loading space and transit cost.

• Freight class: Based on density, value, and ease of handling.

• Distance: Longer hauls increase fuel, port, and handling charges. 

The information provided in this document does not, and is not intended to, constitute legal and/or business advice; instead, the information contained herein is for general informational purposes only. Readers of this document should contact their own advisor to obtain advice with respect to any particular matter or topic addressed herein. The content in this document is provided on an “as is” basis; FedEx makes no warranties or representations in relation to the currency, accuracy and/or sufficiency of the information set out herein and shall not be liable for any reliance placed on the same.  For the avoidance of doubt, any and all liability with respect to actions taken or not taken based on the contents of this document are hereby expressly disclaimed.