To increase the export competitiveness of South Korea, the Ministry of Oceans and Fisheries will install Internet of Things (IoT) technology on containers.
Today, the roll-out announcement was made following a successful two-year pilot program that included the distribution of 4,160 modified shipping containers to regional firms.
IoT technology monitors the location, condition and, in case of reefers containers, the temperature of the containers. Subsidies of approximately $121, or 30 percent of the cost, were provided for each installation. The MoF says that digitalization of containers will allow shipping companies to track the location and condition of cargo, thus adding value to customers.
IoT can provide shipping companies with regular updates about the status and location of their goods, as well as services for temperature control. Due to the difficulty of detecting containers in foreign ports and because conventional accounting standards do not recognize containers as assets, this is also a problem. Shipping businesses can use these assets to boost their balance sheets by using location tracking.
Hong Geunhyung is the director of smart logistics and shipping at the Ministry of Transportation. He claimed that containers played a major role in both import and export cargo transportation in South Korea. He went on to say that the government is investing in new technology for the logistics industry in order simplify container transport.
The project is part of a $6.6 million government plan to develop smart containers that include sensors to detect damaged boxes or doors that are not closed properly. The trial project will also examine functions that automatically adjust the temperature of reefers. This technology could keep refrigerated cargo in good condition and prevent theft.
