Once a container, always a container?

“We are reinventing the container and what goes on around it,” says Naïk Londono, co-founder of Aeler Technologies. Not so much of a startup these days, Aeler had more than 100 of its innovative containers moving around the global supply chain at the start of this year – and its goal is to have a few thousand in circulation by the end of 2023.

In summary, Aeler has designed a smart container, made with composite materials and with embedded Internet of Things (IoT) capabilities which can supply real time information to a central hub, from location and temperature to a door being opened (or forced).

“Eighty per cent of cargo is transported in containers; there are more than 50m teu in use worldwide, and about 4m teu are produced every year,” says Londono. “And yet containers have hardly changed for 60 years. They are still essentially a steel box. That is one of the first discrepancies we saw in the market.

”He and co-founder David Baur set up Aeler in mid-2018. They worked with scientists and laboratories at EPFL, Lausanne’s technical university, on composite solutions and the company is still based at EPFL’s innovation park. The new containers are manufactured in eastern Europe.

The global supply chain has its ‘challenges’ to say the least – and, in particular, the past three years of pandemic, congestion, delays and containers being in the wrong place have added up to unprecedented disruption. “No one I know who works in logistics doesn’t have some worst story about their day-to-day work – I know that makes it exciting, but …” says Londono.

“Although a lot of the problems can be tied to something that happens in or around the container, the industry doesn’t attribute the problems to the container because it has no value – ‘it is just a box’. Instead, people try to solve the problems separately – in the port, in the warehouse, in the way information is exchanged. All of these seem to the industry to be different problems, but in our view, they have a common link – containers.”

Aeler was set up on the basis that if containers were different and played a different role, they might help to solve a lot of the problems in the supply chain.

“The container is the link between the cargo and the stakeholders along the chain. We believe that tackling visibility could make a big difference. So, the crux of our value proposition was to transform the container in several ways.”

AELER was set up on the basis that if containers were different and played a different role, they might help to solve a lot of the problems in the supply chain.

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First, structurally – Aeler moved from steel to composite materials. The UNIT ONE is stronger and more aerodynamic, enabling a higher payload per container, reducing road fuel consumption by 4% and reducing CO2 emissions by 20%, says Londono. The composite construction does away with the rust and degradation of corrugated steel walls, means it will last longer in a sanitised condition, and provides passive insulation “to deliver a unit that can play a role in the protection of cargo”.

“At present you have a cold chain using reefer containers or nothing – but a lot of things need to happen in between,” he says. “For example, you still don’t want something to heat up to 70 degrees. The passive insulation makes it ideal for transporting a wide range of sensitive goods.”

The digital element is not just ‘adding a tracker’, he says. “We have electronics embedded in the structure itself, to provide real-time monitoring – position, temperature, humidity, security, and so on. The present system means you might not know something has happened to your container or cargo until months later, leading to big issues for claims and liability.”

Aeler is targeting three specific sectors – flexitank transport, where it says the UNIT ONE offers a 17% higher payload compared to conventional containers, high-value goods and sensitive goods where conditions matter.

The containers are not for sale – the model is based on Containers as a Service (CAAS), linked to Aeler’s Control Tower Hub. “It is like leasing but also includes insurance and visibility. We provide access to a digital version of each container online, so customers can track what’s happening real-time.”

Meanwhile, ContainerAI seeks to reduce empty container moves, which are costing the industry billions of dollars.

“We make our containers available for our customers’ needs and they can return the containers to destination depots without having to worry about return journeys. We don’t return empties – we return containers with another customer. What’s important for us is that we maximise the usage of our containers around the world.”

Meanwhile, ContainerAI seeks to reduce empty container moves, which are costing the industry billions of dollars.

“We make our containers available for our customers’ needs and they can return the containers to destination depots without having to worry about return journeys. We don’t return empties – we return containers with another customer. What’s important for us is that we maximise the usage of our containers around the world.”

Aeler has created a network of 50 depots for servicing, with a presence in most regions. The inbuilt IoT system is serviced and/or updated as part of the regular container maintenance.

Among early customers is Procter and Gamble, which has been able to increase cargo loads from 22 to 26 tonnes by using the UNIT ONE, says Londono. P&G specifies which container is wanted, and where, and has full visibility of its cargo as it moves.

The UNIT ONE follows the same ISO norms for handling and stacking, with no changes needed in terms of equipment or port facilities. “In fact, our container is stronger than others, so stacking can be maximised,” says Londono. The shipping industry is, of course, notorious for its conservative approach and often resistant to change, so what has been the response from the market? “Most companies want to innovate, although some are more reluctant – change  makes some people nervous. However, we find our customers are looking for change. We are in discussion with a few companies that want to associate their brand with innovation. And this is not just a container – it is a statement.”

The UNIT ONE is stronger and lighter, enabling a higher payload per container, reducing road fuel consumption by 4% and reducing CO2 emissions by 20%.

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Aeler remains focused on innovation, he says. Version 2.5 of the UNIT ONE is in circulation and the team is now working on version 3. The company has been working with a Port Community System (PCS) on the exchange of information. Even smarter solutions are being explored.

Along the way, Londono says he and Baur have become quite fond of containers. “There is something beautiful about global logistics that goes unnoticed!”