The Box That Changed Britain


The Box That Changed Britain

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Transcript


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'The area forecast for the next 24 hours.

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'Viking - westerly six to gale eight backing south-westerly four or five, occasionally six later.

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'Rain or showers, good.

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'North at zero, south at zero, Forties, Cromarty Forth, Tyne, Dogger, Fisher, German Bight.

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'Westerly backing south-westerly, 5 to 7...'

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On a small stretch of shingle on Suffolk's North Sea coast,

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a handful of people have gathered.

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It's a pilgrimage of sorts.

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A line of cars,

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a scattering of cameras, binoculars and notebooks.

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These are the ship-spotters.

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Most days, it's chock-a-block with people coming down.

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Photographers take an interest, people listen to ships.

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That is a new ship. It's just a fascination of the ships, where they come from, what they carry,

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where they're going next...

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I like to come and watch the container ships because they are...

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big!

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They ARE big.

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Larger than any battleship or passenger liner,

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container ships are some of the greatest moving structures ever made by man.

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They are built to carry as many as 14,000 containers of cargo.

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Boxes that have changed our world.

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You try and guess amongst yourselves what's actually in each box.

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It could be paper, it could be ornaments, it could be food.

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The interest just goes on and on and on and on.

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These daily deliveries sustain our modern lives.

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Yet the boxes have been arriving at our shores for little more than 40 years.

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The shipping container turbo-charged world trade

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and kick-started the modern age of consumerism,

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bringing value, choice and luxury beyond our wildest dreams.

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It has changed the face of industry and altered our communities and coastlines forever.

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This is the story of how a simple metal box has transformed our lives.

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The British have always looked out to sea.

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It's at the heart of our identity and our culture.

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In the days of the Empire, it was also the provider of our prosperity.

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At the turn of the 20th Century, Britain was the maritime power in the world.

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Britain had 50% of the world tonnage

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and carried 60% of ocean-going cargo.

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-ON FILM:

-'The city of ships is the heart of our trade.

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'The dock roads and railways its arteries,

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'which circulate our vital commerce to and from every corner of Britain.

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'500 million pounds weight of tea.

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'Wool for the baby's jacket.

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'Bananas for small boys.

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'Saturday's picnic or maybe the monkeys at the zoo.'

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Before the invention of the shipping container, the millions of tonnes of cargo arriving in Britain

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were unloaded by hand.

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It could take weeks for dockers to move one ship's load of cargo.

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In Liverpool, as many as 50 would be in port at one time.

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In them days, you're talking a hundred people working on it.

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You've had six gangs of men, you've got 18 men in a gang

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and then you had the shore gang, the carpenters,

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the office staff, the plan men, checking..

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all being in involved in one ship,

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more or less floating factories coming into the port.

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The whole port area would be thousands of people.

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In the 1960s, Britain's biggest docks - Liverpool and London -

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were still major world ports.

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But their international standing was fast coming under threat.

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For while ports in America and Europe were adopting new technology,

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Britain's had seen little investment since the Second World War.

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Here, dock workers relied on rather more traditional equipment.

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Well, you've seen it, haven't you? Curvy thing with a big handle on.

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That hook was your help.

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You'd be lost without it.

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You'd be putting your fingers into a bag trying to lift it up, you know?

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Dock work was a family affair and older practises were passed down the generations, like hooks.

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This is actually me granddad's one.

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Because me dad was still working in there, I couldn't have his one.

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They always used to carry them about and get on buses and trains.

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Whereas it might be called a dangerous object now

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so they might not let you walk about with them.

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This antiquated way of working was slow, labour intensive and tough.

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Very, very hard.

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Physically very hard. I mean, I can remember the first time I got home

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and I worked on the West India Dock then,

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and I'd been working on bags of sugar,

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and I got home and me dinner was put in front of me

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and I fell asleep on the table

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and it was as simple as that.

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The worst loads?

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The bird's mess, so to speak, and it's used as a fertilizer.

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And the smell was unbelievable. So if you was on that, you didn't get a bus home or that, you walked, basically.

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You go home stinking.

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No, you've go the right word. We've got nowhere, you've got one little lavatory up there, you go in there,

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there's no soap, there's no towel, there's nothing to use at all.

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When it's pouring rain you stand there all day long

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and you work hard and what do you get for it? Nothing.

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The hard work and poor conditions took their toll.

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Dockers' life expectancy was among the shortest in the country.

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Sickness and accidents slowed work even further

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and built deep resentment between dockers and their employers.

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They were young men and they were old

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because of the effects that this had on their health.

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You know, rheumatism,

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arthritis, lung infections, asbestos

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and all this sort of thing.

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These poor conditions helped turn Britain's 130,000 dockers

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into one of the most unionized workforces in the world.

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But their jobs remained unpredictable and insecure,

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exacerbating their grievances.

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Each morning, employers waited inside the dock gates.

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They lined up for the so-called free call to select workers.

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The men paraded themselves for hire.

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It was called the cattle market.

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The young, the brawny, usually had no difficulty in getting a job.

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If there was no work, they received a fall-back wage of £9 a week,

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but few knew if they would make £9 or £20 in a week.

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Your fathers fought for work.

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Your mum didn't know whether that week she'd be borrowing money or lending it.

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By the 1960s, revolution was in the air.

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Relations between the dockers and their employers had hit rock bottom and frequent strikes and stoppages

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brought Britain's ports to a standstill.

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The cocktail of industrial deadlock and crumbling infrastructure

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was now earning Britain's once-great ports a new reputation

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for being the slowest in the modern world.

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But the stalemate was about to be broken by a box from across the sea.

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The era of modern containerization began with Malcolm McLean who was a

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trucker from North Carolina

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who'd made a fortune with McLean Trucking Company,

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a company he founded in the Depression

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and built up into one of the largest motor carriers in the country.

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In post-war America, dockers called "longshoremen" also lifted cargo piece by piece.

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Known as handball or break-bulk cargo, this slow process frustrated trucker Malcolm McLean.

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One long autumn day in 1937, he had an idea that would change the world.

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Malcolm had driven from North Carolina

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to Hoboken, New Jersey right over here.

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And he had to sit all day in his truck,

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watching, waiting for the longshoremen

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to get around to unload his cotton.

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There was maybe 40 bales...

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of cotton.

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40 bales of cotton yarn.

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And they weighed about 400 or 500 pounds a bale,

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and I rolled 'em off one by one, and they picked it up with a hook and put it on the ship.

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I said to myself, "Why don't we put that whole thing on the truck?" That was my first thought.

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I just...

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knew that if you picked it up 40 bales at once,

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it would be a lot cheaper than picking it up one at a time.

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HE CHUCKLES

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Over the next 15 years, Malcolm McLean grew his family trucking business

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into one of the biggest in the country.

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But his ambition was to work out a way of getting a whole truck's cargo onto a ship in one go.

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Malcolm knew what he wanted to do with the container.

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He didn't know how the heck to get it on the ship, how to lock it on the ship,

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how to handle it on and off the chassis.

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After a number of failed designs, the breakthrough came in 1955

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when he began to work with an engineer called Keith Tatlinger.

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Together, they drew up the blueprint for what would become the modern shipping container.

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It's simplicity is its genius.

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A corrugated steel box,

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around eight foot wide, and eight foot tall.

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Today, it comes in two main sizes - 40 foot

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and 20 foot.

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The walls are just 25mm thick,

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yet the box can carry upwards of 25,000 kilograms of cargo.

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That's the equivalent of 22 Mini Coopers.

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The container is lifted using a twist-lock system

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that allows the crane to grip and release the box securely and quickly

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from its four corners.

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It's kind of amazing to me

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to look at all these boxes here

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and these were all designed by Keith Tatlinger back in 1956

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and they had patents for all of these and he convinced Malcolm McLean to give the patents to the industry,

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so that meant everybody could come in the thing with the same twist-locks, same corner posts

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and it was an amazing system.

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By giving up his patents, McLean made it easier for rivals

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to copy his design than to develop their own ones.

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This encouraged standardization, meaning that today any container

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can be handled at any of the world's major ports without any problems of compatibility.

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In April 1956, the first of these containers was lifted onto the deck

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of a modified World War II aero tanker called the Ideal X.

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The service would quickly assume the name of McLean's original concept -

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Sea...Land.

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The Ideal X ran from Port Newark with 58 containers to Houston

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in the first trial run and that was the start of cellular container ships.

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MUSIC: "Somewhere Beyond The Sea" by Bobby Darin

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# Somewhere beyond the sea

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# Somewhere... #

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The Sea-Land service went from strength to strength.

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By the mid-1960s, Malcolm McLean's container ships had become so popular

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that many other shipping lines had begun to offer services of their own.

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Dedicated container terminals were springing up around America.

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The next step was to take on the Atlantic.

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The customers who used us in domestic

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and realised what the savings were were waiting for us to go to Europe.

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So, the first ships that we put out to Europe were over-booked the very first week.

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In 1966, Sea-Land unveiled a fleet of trans-Atlantic all-container ships.

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The first would leave New Jersey fully loaded, but in order to make a profit,

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Sea-Land would have to find customers in Europe

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willing to take a leap of faith into the containerized world.

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The first European port of call was Rotterdam.

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The ship later went to Bremen, Germany and on the way back,

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stopped in Grangemouth in Scotland to pick up, among other things, whisky.

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# Oh, whisky is the life of man

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# Whisky

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# Oh, I'll get whisky where I... #

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In the days before the shipping container, scotch importers were

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accustomed to losing up to a third of their shipments in transit.

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Carried in wooden crates, the glass bottles were easily broken,

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often on purpose by thirsty dockers.

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Don't mention whisky!

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Don't mention whisky! We loaded a lot of whisky.

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And drank a lot of whisky.

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You can imagine when they're knocking off at seven o'clock,

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everyone's got a smile on their face, yeah. Very good.

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The shipping container cut theft and breakages,

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slashing insurance premiums, sometimes by as much as 90%.

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It allowed whisky to be shipped in cheap thin cardboard boxes instead of expensive sturdy crates

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and it could be loaded in a fraction of the time.

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For the industry, it was one major step change in the whole business.

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You've one lift, your container's off and you've got 20 tons of whisky

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onto a vessel, whereas before, you'd probably have about maybe

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30 dockers involved to get that same 20 ton on.

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You've one man doing it now, so a huge cost saving.

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When the first box loads of whisky arrived in America 100% intact, the container doubters were won over.

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They can be stubborn until price comes along and then they're

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the most cooperative people in the world.

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They got a better price.

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While whisky distillers set about making their factories container-ready,

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shipping agents were employed by the American container lines to spread the word and convert the masses.

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Premises were a bit antiquated so we had to educate them

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on how to load containers.

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They had to knock walls down

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and put in loading bays to be able to load them.

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So yes, it was a very interesting time.

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The container revolution had arrived in Britain.

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It was extremely exciting because we had something new.

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It must have been like going from sail to steam.

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Ships were in port for hours instead of days.

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Big difference.

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For sailors used to long periods in port while they waited for their cargo to be loaded,

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it was a rude awakening.

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Our peaceful existence suddenly changed. It was all go.

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And whereas before it was, "Shall we have a game of golf?"

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it became, "Have we got time to go ashore for lunch?"

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They were marvellous ships to drive, they were very manoeuvrable and fast

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and I think most of us eventually grew to love them.

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They were ugly damn things.

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You cannot say a container ship is any way a pretty object.

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Ports interested in bringing these new container ships in needed two things,

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open space and open minds.

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Liverpool and London's docks offered neither.

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Crammed in the centre of busy cities and hamstrung by poor labour relations,

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they were not attractive to the new container lines.

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Instead, Malcolm McLean chose to base his British operations elsewhere -

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in a little known port called Felixstowe.

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This berth two years ago was no more than a strip of shingle.

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Now it's the port of the future.

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It uses modern machines, gives its dockers security and makes money.

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Ten years ago, their headquarters

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was this quaint little clap-board building.

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Today, the company has an impressive new office block.

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Felixstowe has become one of the most successful independent ports in the country.

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Felixstowe's rural location didn't worry Malcolm McLean.

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He knew that he could unload five ships' worth of cargo in containers

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and drive them all the way from Felixstowe to Liverpool

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in less time than the Merseyside dockers would take to unload one ship.

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Felixstowe's proximity to the main shipping lines was the important thing.

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Roads and railways would do the rest.

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The local workers, drawn mostly from surrounding farms, were glad of the work brought by the containers,

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and their employers rewarded them well for their enthusiasm.

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Here at Felixstowe, the dockers proudly tell you that they've never had a strike.

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A recent productivity deal negotiated directly with the company

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gave them a minimum weekly wage of £21 ten shillings

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but most of the 400-odd ship workers, as they prefer to be known,

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take home between £40 and £50.

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In Liverpool and London, it was a different story.

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The dockers were reluctant to accept containers.

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But as they watched their cargo begin to flow to Felixstowe, they had no choice but to concede.

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They weren't happy to handle them, but they had to handle them

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because it was their work, it was cargo,

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but you done it with a bit of a heavy heart.

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The unions turned their focus to negotiating for better pay and conditions

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in return for handling containers.

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Dockers are not Luddite-minded. We welcome machinery

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but in having machinery, we want the benefit to man of a shorter working day

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and not at the cost of a reduction in labour.

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As usual, the more profit made

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wasn't put down to the workers,

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it was put down to other people.

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As regards an easier job, all they done was extend your hours anyway.

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So it was never any better for the people working down there in the end.

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Those men who did make the transition

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found the atmosphere in the container terminals was very different

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to the one they had been used to.

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It was a lot different.

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Basically, you're on your own up a crane for X amount of time, loading, discharging, what have you.

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So, all the...

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fun, if you want to call it,

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had gone out of the job in that time.

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Industrial action continued for many years.

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Containers were routinely "blacked", meaning that they would not be moved

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by dockers in dispute with their bosses.

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When a group of men say that container is staying there, in them days, it stayed there.

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It wasn't going anywhere.

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The dockers of Hull have been blacking cargos from two of the area's

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30 container companies for the past eight days.

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It's no longer a case of wildcat strikes making news.

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If a few days go by without a stoppage of some sort, then that's an event worthy of comment.

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Desperate to reduce costs and keep their freight moving, cargo companies began to think

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"outside the box", setting up new container depots inland where non-unionised men could work.

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This provoked a furious response and the conflict came to head

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in the autumn of 1972, when dockers picketed the new depots.

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Shop Steward Vic Turner was among their leaders.

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The picket was about

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stopping the inland container ports doing our work.

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But the men working inside called on the police to intervene.

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Five weeks ago, these dockers come down here and said that this was their work.

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This firm has been open three-and-a-half years.

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Feelings here in the new look dockland or "containerland" as some people call it

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are that a new chapter in the long history of British trade unionism may soon be written here.

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As the picketing intensified, Vic Turner and four other

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shop stewards were arrested and taken to Pentonville Prison.

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Outside, an angry mob of dockers demanded their release

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and called on the support of every worker in the country.

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We are recommending that a complete withdrawal of labour

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to commence at 9 o'clock tonight

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until all proceedings are dropped

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against dock workers protecting his living.

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With support growing across the country, Britain was on the brink of shutdown.

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It was going to turn into a national strike if

0:23:550:23:57

them men hadn't been released and the government of the day took it to

0:23:570:24:02

the wire and eventually, they could see what was going to happen and the next minute, the men were released.

0:24:020:24:09

Behind the scenes, an obscure act of Parliament was invoked

0:24:110:24:16

to speed their release and the men walked free to a heroes' reception.

0:24:160:24:21

This was a rare victory won in a 30-year fight to stop men being replaced by metal boxes.

0:24:280:24:35

But it was a war they were destined to lose.

0:24:400:24:43

One by one, London's docklands were closed.

0:24:460:24:51

London, King George, Albert,

0:24:510:24:57

Victoria, East India,

0:24:570:25:00

West India,

0:25:000:25:02

Tobacco,

0:25:020:25:04

Regent's,

0:25:040:25:05

Surrey,

0:25:050:25:07

St Katharine, Millwall.

0:25:070:25:11

It's like seeing your best friend die.

0:25:160:25:19

My last day...in 1984...

0:25:220:25:29

My last day.

0:25:320:25:34

My last time on the dock.

0:25:340:25:36

I woke up the next morning and...

0:25:370:25:39

..I looked at me hook behind the door and I thought,

0:25:410:25:45

you're redundant, that hook.

0:25:450:25:47

CHANTING

0:25:510:25:54

Liverpool's docks survived.

0:25:550:25:58

But they went through a painful transition to containerization.

0:25:580:26:02

In 1995, a dispute on overtime turned into Britain's last major dock strike.

0:26:030:26:10

This time, however, the dockers were not supported by their trade union

0:26:120:26:18

and Mersey Ports simply sacked them.

0:26:180:26:21

Everyone that was locked out,

0:26:240:26:27

that was it. For two-and-a-half years on a picket line and we never went back to work down there.

0:26:270:26:32

On that spring day in 1966, when the first container ship

0:26:350:26:39

arrived at our shores, there were 129,000 dockers in Britain.

0:26:390:26:46

30 years later, on the day the Liverpool dockers gave up their fight, just 11,000 remained.

0:26:460:26:53

The dockers may have gone from the docklands but the cargo hasn't.

0:27:040:27:09

Felixstowe moved over 27 million tonnes of cargo last year,

0:27:090:27:14

about 40% of Britain's total container freight.

0:27:140:27:18

The ships docking here today are so laden with boxes that they have to

0:27:230:27:27

be guided into port by specialists who know the local waters.

0:27:270:27:31

I'm a marine pilot

0:27:340:27:35

and my job is to bring the ships

0:27:350:27:39

either from the sea into port safely

0:27:390:27:42

or take them out from the berth to the pilot station.

0:27:420:27:47

These ships are so deep that ports around the world have had

0:27:480:27:52

to dredge channels to make estuaries big enough for them to come in.

0:27:520:27:57

Basically, we navigate in a ditch.

0:27:570:28:00

It's a man-made ditch, and we drive these things through a ditch.

0:28:010:28:06

-Cheers!

-OK, Bob. Have a good one.

0:28:100:28:13

-See you.

-Cheers.

0:28:130:28:15

This ship is one of more than 4,500 vessels carrying upwards

0:28:220:28:27

of 10 million containers around the globe each year.

0:28:270:28:31

As the number of boxes has increased,

0:28:330:28:36

shipping companies like Maersk have built bigger and bigger boats.

0:28:360:28:41

Boats that, in the last decade, have more than doubled in size,

0:28:410:28:47

to the delight of ship-spotters.

0:28:470:28:50

This is the Emma Maersk.

0:28:500:28:52

This is one of the largest container ships in the world

0:28:520:28:56

and as far as I know, it still is the largest ship.

0:28:560:28:59

If you imagine a 400-metre athletics track

0:28:590:29:01

stretched out longways, it'll give you some idea of the size and scale.

0:29:010:29:07

I like how many containers they have.

0:29:070:29:11

But the ships are now so big, they are reaching technical and physical limits.

0:29:110:29:16

A 5,000 TEU ship,

0:29:160:29:17

built to carry 5,000 20ft containers, won't fit through the Panama Canal.

0:29:170:29:25

The biggest container ships are more than twice that size

0:29:270:29:31

and there are plans for a new class of vessel almost double the size again.

0:29:310:29:36

The next major constraint might be the Straits Of Malacca off Singapore.

0:29:390:29:43

It's estimated that maybe a 22,000 TEU ship would be the maximum

0:29:430:29:48

that would fit through the Straits Of Malacca.

0:29:480:29:50

I think history has taught us that it's a very dangerous game

0:29:500:29:54

to predict how big container ships might get.

0:29:540:29:57

With so many boxes on board these ships,

0:30:000:30:04

their tiny 13-strong crews can have no idea what they contain.

0:30:040:30:08

We do not know, it's too much.

0:30:100:30:12

I mean, um...

0:30:120:30:15

if you make all the papers available for us, I mean,

0:30:150:30:18

we would not have time for reading it.

0:30:180:30:21

-0-0-5.

-0-0-5.

0:30:220:30:25

Each person working in the global container supply chain

0:30:310:30:35

concentrates solely on doing their job to move the box as quickly as possible to its next destination.

0:30:350:30:42

It's so efficient that this ship may be gone by tomorrow.

0:30:420:30:47

You bring in 700, 800 containers.

0:30:510:30:54

A few hours afterwards, you leave again.

0:30:540:30:56

Felixstowe receives shipping schedules from its customers just a few hours in advance.

0:30:580:31:04

Planners then work out where to dock the ships and which order to load and unload all the boxes.

0:31:040:31:11

It's a huge, logistical jigsaw puzzle.

0:31:110:31:14

Unsurprisingly, they have computerized assistance.

0:31:140:31:18

All the work sequencing is automated now so each piece of equipment has a computer screen in its cab.

0:31:220:31:29

The computer will look forwards.

0:31:290:31:31

It will decide which is the next best job for that

0:31:310:31:34

piece of machine and allocate that machine to a particular job.

0:31:340:31:38

What that does is it makes much more efficient use of our equipment, it means that nobody's delayed unduly

0:31:380:31:45

and that we can better allocate resources to the urgent jobs.

0:31:450:31:49

In the past, this work would have needed tens of thousands of men.

0:31:490:31:54

Today, the smooth running of the whole quayside operation is overseen by just one man.

0:31:540:32:01

I think on a good day, we could be talking about 7,000 boxes in a 24-hour period.

0:32:010:32:08

About a week of 40-44,000 boxes.

0:32:080:32:11

That's a lot of boxes.

0:32:130:32:15

It doesn't always go to plan.

0:32:160:32:19

The supervisor has been called out to a problem with one of the cranes.

0:32:190:32:24

It can be a difficult place to drive around because

0:32:240:32:26

you've got traffic coming from every angle, including above your head.

0:32:260:32:30

You have to just look absolutely everywhere all the time.

0:32:300:32:34

A crane sensor has warned that one of the containers it lifted from the last ship was overweight.

0:32:340:32:41

It means the crane now has to be tested to check it's safe to continue work.

0:32:410:32:47

But that could delay unloading by up to 20 minutes.

0:32:470:32:51

It doesn't seem like a lot, 20 minutes,

0:32:510:32:54

but when you're talking about a 14,000 TEU cargo ship, running that for 20 minutes costs a lot of money.

0:32:540:33:01

You know, I think about 30,000 an hour is about an average for something like that.

0:33:010:33:07

So if you put it in monetary terms...

0:33:070:33:10

Like they say time is money and down here, time is a lot of money.

0:33:100:33:14

We're doing a crane shuffle.

0:33:220:33:24

We're taking the crane which we have a potential problem on and we're just

0:33:240:33:29

moving it off the ship and we're going to bring on another two cranes.

0:33:290:33:33

So, instead of using 12 and 13 which you can just see moving off,

0:33:330:33:37

we'll use 10 and 11 instead.

0:33:370:33:40

Modern container ports work to such tight timetables that solving problems quickly is vital.

0:33:410:33:48

Each ship, crane and lorry is crucial

0:33:480:33:50

to keeping the global conveyor belt of container cargo moving.

0:33:500:33:55

It means any small problem has the potential to turn into a big one.

0:33:570:34:02

It just starts a kind of chain of delays which at times can be impossible to get out of.

0:34:020:34:09

We don't want a ship to sail with some cargo on it that should

0:34:090:34:12

have come off at Felixstowe and actually ends up having to go back to China or wherever it came from.

0:34:120:34:18

To see why this is so important, you only need to look a bit further up the supply chain.

0:34:230:34:28

Retailers like ASDA no longer have big depositories or shop storerooms.

0:34:340:34:38

Instead, they use shipping containers as mobile warehouses.

0:34:380:34:43

We very much have a supply chain that's about flow rather than

0:34:460:34:50

keeping stock in various different places.

0:34:500:34:53

Our focus here is on how accurately can we predict

0:34:540:34:57

what sales are going to be in the next few days to make sure

0:34:570:35:01

we have only the right amount of stock at each point of the chain.

0:35:010:35:05

This distribution centre is one of 26 used by ASDA

0:35:080:35:12

to keep its stock moving as quickly as possible around Britain.

0:35:120:35:17

The maximum length of time any one item would normally be kept here is two weeks.

0:35:190:35:25

Some of these products will stay for just a few days.

0:35:250:35:29

The shipping container is absolutely fundamental to this process.

0:35:340:35:38

It gives us speed, it gives us efficiency and it gives us security.

0:35:380:35:44

So dramatic is the step change in efficiency brought by the shipping container that it has

0:36:070:36:13

unleashed powerful economic forces,

0:36:130:36:17

accelerating world trade and helping ignite a modern consumer revolution.

0:36:170:36:23

In the days before containerization,

0:36:260:36:29

a small vessel, maybe a tenth the size

0:36:290:36:32

of an average container ship today, would have 200,000 separate items.

0:36:320:36:37

Just think for a minute about the dock workers

0:36:370:36:40

loading each one of those 200,000 separate items by hand.

0:36:400:36:43

Think of the volume of trade we have today. It's not conceivable

0:36:430:36:47

that we would have trade on this scale without the container.

0:36:470:36:50

It couldn't happen.

0:36:500:36:51

In the 1960s, freight costs often accounted for 30% of the price of foreign goods.

0:36:530:37:01

The shipping container reduced those costs to less than 1%.

0:37:010:37:06

It caused a boom in global trade and a revolution on the high street.

0:37:060:37:12

I can remember when you would go into a shop in Britain and there were

0:37:140:37:18

damn few products to buy, there wasn't much on the shelves.

0:37:180:37:21

When the container came in, the British diet was famously dull -

0:37:230:37:28

you couldn't buy garlic, people didn't drink fresh fruit juice.

0:37:280:37:32

Everyday households had very few consumer goods.

0:37:320:37:35

The television was a major luxury.

0:37:350:37:37

Few people had it and it was shared, like a swimming pool would be today.

0:37:370:37:41

You would want to go round and use your friend's.

0:37:410:37:43

The container has brought products that were once the preserve of the rich within the reach of the masses.

0:37:430:37:51

We sell something like 350,000 items.

0:37:520:37:54

You can pick off the shelf, probably, a quarter of a million of them.

0:37:540:37:58

Years ago, some of those items - bringing a rug from India or a piece of furniture from Brazil -

0:37:580:38:05

would have cost an enormous sum of money

0:38:050:38:08

and taken a long time to get here. Whereas today, they can be here

0:38:080:38:12

in five or six weeks and they can be here relatively cheaply.

0:38:120:38:15

Take a walk around your local department store

0:38:190:38:21

and you can instantly see the influence of the shipping container.

0:38:210:38:26

Amazing stuff. Incredibly good value.

0:38:290:38:32

In China, there are entire towns and cities that only make socks.

0:38:320:38:36

There's Sock Town in China,

0:38:360:38:39

and they have enormous factories with 20,000 employees each,

0:38:390:38:42

and they make socks.

0:38:420:38:43

And they make them quicker, cheaper than anyone else in the world.

0:38:430:38:47

The guy we know as Buzz Lightyear,

0:38:480:38:51

but he's also Buzz L'Eclair for the French market

0:38:510:38:56

and Karatekampfer Buzz Lightyear in Germany.

0:38:560:39:01

Karateka, Faz Karate, and he's even in Greek here.

0:39:010:39:06

I'm afraid my Greek isn't up to it, but he's for the full European

0:39:060:39:10

market here and you can imagine a 40ft container

0:39:100:39:14

absolutely jam packed with collectables from Toy Story.

0:39:140:39:19

All perfect standardized commodities that can be very easily packed into a container, you can get hundreds

0:39:190:39:25

and hundreds of these TVs into one container and they'll all arrive in good condition, ready to be sold on.

0:39:250:39:31

Containerization is so efficient that it costs less to ship goods to Britain from China than it does

0:39:330:39:40

to drive them up the motorway to the nearest town or city.

0:39:400:39:43

The economics of this are really incredible because the delivery cost

0:39:450:39:50

of shipping a flat-screen TV from halfway round the world from Asia to the UK

0:39:500:39:56

is less than the delivery cost of taking it from the store to your house in the UK.

0:39:560:40:00

The more products the shipping container has delivered

0:40:050:40:08

to our shores, the less visible the process of delivery has become.

0:40:080:40:13

Because most container ports are outside our main towns and cities,

0:40:130:40:17

these huge ships slide in and out of our shores without most of us ever noticing them.

0:40:170:40:24

Even if we did, it's hard to appreciate the volume

0:40:240:40:27

and variety of goods being delivered

0:40:270:40:30

when they are concealed in anonymous steel boxes.

0:40:300:40:34

It's changed our relationship with the sea

0:40:340:40:37

because the cargo is no longer seen, we just don't see what comes and goes

0:40:370:40:43

by sea and how important sea transport is to Britain.

0:40:430:40:46

Three years ago, when the container ship Napoli was beached off

0:40:470:40:51

the coast of Devon, we got the chance to take a rare peak inside the boxes.

0:40:510:40:56

With the storms and the weather, containers were thrown

0:40:590:41:03

onto the shore, were broken up and contents were spilled.

0:41:030:41:08

People began to see that and all of these people came rushing down

0:41:080:41:12

and as there was more of it shown on television, yet more people rushed down to help themselves.

0:41:120:41:19

-REPORTER:

-All day it's been a cross between Whisky Galore

0:41:190:41:23

and the January sales.

0:41:230:41:25

Locals ignoring the listing Napoli in the bay

0:41:250:41:27

to fill up with whatever they could find.

0:41:270:41:30

Most plan to sell it on the internet,

0:41:300:41:33

from Lyme Bay straight to eBay.

0:41:330:41:36

This man found a brand-new BMW motorbike among the wreckage and he wasn't the only one.

0:41:360:41:41

It took about eight, ten of us to lift each one out and as each one

0:41:410:41:45

came out we put the front wheels on

0:41:450:41:47

and then they were taken over the cliffs and away.

0:41:470:41:49

The pictures beamed around the world sparked fierce debate

0:41:530:41:56

over the morality of the modern-day wreckers,

0:41:560:41:58

but also wonderment at the bizarre array of products contained within the boxes.

0:41:580:42:04

It really did bring home to people just what is carried

0:42:040:42:08

in these anonymous containers on these great big anonymous ships.

0:42:080:42:13

Shipping containers are sealed after packing.

0:42:160:42:20

Once en-route, the only way to find out what's inside the box is by referring to its unique code.

0:42:200:42:26

Every container in the world has one and it is used as a reference by the shipping company,

0:42:280:42:33

the sender and the customer, so that boxes don't get lost or mixed up.

0:42:330:42:38

This code can also be used to find out what's inside the box.

0:42:410:42:44

Although most of the time, it's not necessary

0:42:440:42:47

for the people moving it to know, unless the cargo is hazardous.

0:42:470:42:51

The anonymity of the shipping container is at the heart of its efficiency.

0:42:510:42:56

But it can cause problems, too, for the contents aren't always what they claim to be.

0:42:560:43:02

We believe criminals see containers as an excellent way of smuggling because of the high volumes.

0:43:070:43:12

They all look the same and it's not too difficult

0:43:120:43:15

to bring them through the port

0:43:150:43:17

without the smuggled goods being recognised.

0:43:170:43:20

The UK Border Agency has the job of policing the boxes.

0:43:200:43:25

With more than 40,000 containers travelling through a port

0:43:250:43:29

like Felixstowe at any one time, they can't check them all.

0:43:290:43:33

Unfortunately, all containers tend to look the same.

0:43:330:43:37

Apart from being a different colour, they all look the same so there's nothing you can do visually

0:43:370:43:42

from the outside of a container.

0:43:420:43:44

So we have to use our profiles, our knowledge of smuggling routes and risks and we use intelligence

0:43:440:43:50

and information that comes to us in order to select the relevant containers for scan and examination.

0:43:500:43:58

Giant X-ray machines are used to monitor suspect containers.

0:43:580:44:03

We're trying to detect Class A drugs and we're trying to detect

0:44:030:44:06

cigarettes and tobacco products

0:44:060:44:08

and, particularly, counterfeit goods coming very much

0:44:080:44:11

from the Far East and we find many counterfeit goods coming in from the Far East to this port.

0:44:110:44:16

Sometimes, the X-ray images immediately show that the box contains things it shouldn't.

0:44:180:44:24

But smugglers often try to disguise their cargo so officers

0:44:240:44:28

are trained to spot tell-tale signs and send suspicious containers to be checked the old-fashioned way.

0:44:280:44:34

You may get a few rows of legitimate goods and then it's cigarettes, counterfeit goods, drugs, whatever.

0:44:390:44:44

But also, we find goods that may be smuggled in the floor

0:44:440:44:47

or in the ceiling of the container and we find goods that are actually hidden within a product itself.

0:44:470:44:53

As an example, we had one just a couple of weeks ago

0:44:530:44:56

in Felixstowe and it was some electric fans

0:44:560:44:58

and the cigarettes were inside the fans themselves.

0:44:580:45:01

Protecting the shipping-container supply chain is vital because we are so utterly reliant on it.

0:45:070:45:13

Not only do containers deliver many of the consumer products we now take

0:45:140:45:18

for granted, they also transport the parts needed to make them.

0:45:180:45:23

In modern manufacturing, people talk about supply chain.

0:45:240:45:27

And the supply chain is a chain of containers going from one place to another.

0:45:270:45:31

Many factories are now completely dependent on the shipping container.

0:45:340:45:37

Its speed and reliability have given rise to an innovation which has transformed manufacturing -

0:45:400:45:47

just-in-time production.

0:45:470:45:49

Developed by Japanese car manufacturer Toyota,

0:45:500:45:54

this philosophy has now been widely adopted around the world.

0:45:540:45:58

Instead of stockpiling components on production lines until they were needed,

0:46:000:46:05

Toyota developed a system whereby each car part was made and supplied just in time for it to be fitted.

0:46:050:46:12

This reduced factory floor space, released capital previously

0:46:140:46:19

tied up in components and dramatically cut waste

0:46:190:46:22

on the production line.

0:46:220:46:23

The container added another powerful dimension...

0:46:230:46:27

It used to be that you had car makers with all their component manufacturers under one roof.

0:46:300:46:37

With containerization, it wasn't necessary to do that any more. They were able to break this process up.

0:46:370:46:42

Some things they make close to their factory, some far away,

0:46:420:46:45

some things they can make across the ocean and they can bring all the pieces together

0:46:450:46:50

on a fairly reliably schedule to make the finished vehicle.

0:46:500:46:53

Today, shipping containers carry many more unfinished goods than finished ones.

0:46:540:47:00

Each part of a product can be made in the cheapest or best place, then shuttled across the sea

0:47:020:47:08

to the next factory and the next one until complete.

0:47:080:47:12

Complex electronic goods are often made in a production line spanning five or more different countries.

0:47:120:47:19

Even seemingly simple products have gone global.

0:47:190:47:24

# Barbie, you're beautiful... #

0:47:240:47:27

Barbie used to be made in one place.

0:47:270:47:29

But with the container, Barbie was broken down into components -

0:47:290:47:33

you had pigments, you had plastics,

0:47:330:47:36

you had hair,

0:47:360:47:38

you had clothing.

0:47:380:47:40

All of these things could be made in different countries,

0:47:400:47:43

wherever they could be made most cheaply,

0:47:430:47:45

and then all shipped to one location for final manufacturing.

0:47:450:47:48

This ended up being China. So even Barbie has her own supply chain.

0:47:480:47:53

The container has played its part in a 50-year overhaul of global industry.

0:47:550:48:00

A revolution that has seen many of the world's factories

0:48:010:48:06

moving en masse from Europe and America to Asia.

0:48:060:48:09

When the first container ship arrived in 1960s Britain,

0:48:090:48:14

almost half of the country's workforce was employed in manufacturing.

0:48:140:48:17

Today, it's less than 15%.

0:48:170:48:21

Manufacturing workers have been pretty serious losers.

0:48:220:48:25

Nobody thought of this when the container came, but the people who worked

0:48:250:48:29

in all of those factories, they're sort of the secret losers,

0:48:290:48:33

they simply had to go away and find a new world.

0:48:330:48:35

In the years since the arrival of the container,

0:48:370:48:40

Britain's industrial heartlands have changed beyond recognition.

0:48:400:48:44

It's difficult to believe today but 50 years ago,

0:48:490:48:52

Manchester was the world leader in the manufacture of raincoats.

0:48:520:48:56

The cotton would have been woven in Lancashire,

0:48:560:49:00

brought to Manchester, rubberized,

0:49:000:49:03

made up into coats, and they would have been exported

0:49:030:49:08

all over the world as the very best cotton you could buy.

0:49:080:49:12

-REPORTER:

-Although machines are used to produce the vast amounts of cloth needed each year,

0:49:150:49:21

what eventually appears depends very largely on the skill of those people who can sew

0:49:210:49:25

one piece of cloth to another to produce anything from a ball gown to a balaclava.

0:49:250:49:30

Raincoat factories employed more than 70,000 people in the North West of England.

0:49:320:49:38

Textiles was the industry in this area and all the people

0:49:400:49:43

who were rich and famous were all raincoat manufacturers.

0:49:430:49:48

And at the time, there were hundreds of them.

0:49:480:49:50

The step-change in costs brought by the shipping container made it possible for factories in

0:49:520:49:57

the Far East to manufacture goods for markets in the developed world for the first time.

0:49:570:50:02

Their cheaper labour costs gave them an immediate advantage over their British competitors.

0:50:040:50:12

In the early years of containerization,

0:50:120:50:14

governments protected British industry by levying

0:50:140:50:17

heavy duties on foreign imports, but when Margaret Thatcher came to power, she pursued a new policy.

0:50:170:50:24

When she came in, she took import duty off so that imports could come in without any duty on,

0:50:260:50:31

encouraged imports and put the VAT up which squeezed the retailers to wanting to look further afield.

0:50:310:50:38

Britain's textile houses had once been powerful economic players.

0:50:400:50:44

But now the market was flooded with cheap foreign imports, retailers held the trump cards.

0:50:440:50:50

They could afford to cut prices AND take a higher profit margin at the same time.

0:50:500:50:56

When I started, the retailers were working on doubling up,

0:50:580:51:02

so if I sold something at £9, it would be £19.99.

0:51:020:51:04

Now something at £9 from China might be £130.

0:51:040:51:08

They've just taken the view of buying ever cheaper and selling ever dearer.

0:51:080:51:12

Manchester's coat-makers simply couldn't compete in the new containerized world.

0:51:140:51:20

Some relocated to Asia, taking their skills and machines with them.

0:51:200:51:26

Others simply went out of business.

0:51:260:51:28

We've probably got just less than 70 people now

0:51:300:51:33

and I think we're the very last in the area doing what we do.

0:51:330:51:36

And I think we've survived on a little bit of determination and a little bit of luck over the years.

0:51:360:51:42

To keep going has been very difficult.

0:51:420:51:45

Many British car, motorbike and electrical manufacturers have suffered similar fates.

0:51:470:51:52

With fewer goods going out than ever before, the shipping container has contributed to Britain's biggest

0:51:520:51:59

industrial trade deficit since records began.

0:51:590:52:02

The UK now has an import-led economy.

0:52:040:52:07

Virtually all of the containers that we're discharging

0:52:070:52:10

that come into the country are coming in laden with goods.

0:52:100:52:13

Of those going out, something like a half are going out empty.

0:52:130:52:17

Our biggest single export through here is fresh air.

0:52:170:52:20

Through four decades of containerization, Britain changed

0:52:240:52:28

from a nation of manufacturers to a nation of office workers.

0:52:280:52:33

Today, our modern service economy is headquartered on the site of London's once famous docks.

0:52:330:52:40

This redevelopment swept away years of decay and helped London become

0:52:410:52:47

one of the world's financial centres, creating tens of thousands of new well-paid jobs.

0:52:470:52:52

If you know where to look, you can even find a few of the old dockers among the bankers.

0:52:570:53:02

But they're a dying breed.

0:53:040:53:05

As progress moved on, the only thing that changed was the cost of the land

0:53:080:53:14

so in other words, my children can't afford to buy it.

0:53:140:53:19

So when they got married, they had to move out.

0:53:190:53:22

A lot of the people that I grew up with have

0:53:220:53:27

either died or moved on, their families have certainly moved on.

0:53:270:53:31

Liverpool has clung onto its port, but it too has been changed by the container.

0:53:380:53:44

Well, you can see the port is still busy,

0:53:460:53:48

the port is still doing a lot of business, but it's containers now.

0:53:480:53:54

Before, there was loads of character, loads of people and you just don't

0:53:540:53:59

see them any more, it's like a ghost road compared to how it was.

0:53:590:54:05

The changes have left visible scars on Liverpool's Dock Road.

0:54:060:54:12

Over here is the Sandon Lion,

0:54:120:54:15

and at this time of the day, it would be heaving.

0:54:150:54:20

It used to do really good business.

0:54:200:54:22

Well, I hope you don't fancy a cup of tea.

0:54:250:54:28

I think this cafe's closed as well.

0:54:280:54:31

Few here celebrate the invention of the shipping container.

0:54:380:54:43

I know you can't stop progress, but it depends on your perception of progress.

0:54:450:54:51

From a capitalist's point of view, containerization,

0:54:510:54:55

because he can make more money, is progress.

0:54:550:54:59

But to the working class where you lose your job,

0:54:590:55:02

your livelihood and not much prospects of anything else,

0:55:020:55:06

it isn't progress, is it?

0:55:060:55:08

You've taken a backward step.

0:55:080:55:10

But not all on the Mersey believe that the metal boxes have wrecked the area.

0:55:140:55:19

When you were in the port of Liverpool in the '80s, you couldn't

0:55:190:55:23

see the future as being as bright as what it was in the 1960s.

0:55:230:55:27

But in time, those areas that were previously handling general cargo

0:55:270:55:32

that at one point became redundant

0:55:320:55:34

because the cargo had moved into containers and moved to the South

0:55:340:55:38

have actually now turned into other berths handling other cargos.

0:55:380:55:42

They've given the port of Liverpool an even brighter future.

0:55:420:55:45

I've got to admit, it's got to be a good invention.

0:55:480:55:51

It's done away with a lot of work but they're carrying more cargo,

0:55:510:55:55

aren't they? Than what when they had the general cargo.

0:55:550:55:58

After years of decline, Liverpool's port is growing again.

0:56:010:56:06

Its owners are investing in a new container terminal that they hope

0:56:060:56:10

will help win back business from the world's biggest shipping lines.

0:56:100:56:14

We have the permission to do it, the business case is now being drawn up for it and I would hope that

0:56:150:56:20

within the next three or four years, we'll see the terminal in operation so that we can see ships

0:56:200:56:25

coming in from China and the Far East now coming back in to their traditional port, Liverpool.

0:56:250:56:31

The Port of Felixstowe is investing too so it can handle more of the world's biggest ships.

0:56:330:56:39

Both in Felixstowe and in the UK as a whole, we only have a limited

0:56:410:56:44

number of berths that can accommodate these bigger ships.

0:56:440:56:48

As more and more of these ships come on stream, we're going to need bigger facilities to ensure the UK

0:56:480:56:53

retains its status as a main line call for the big intercontinental container ships.

0:56:530:56:59

Last year, the global recession caused the first fall

0:56:590:57:03

in world trade since the invention of the shipping container.

0:57:030:57:08

But the box is weathering the storm.

0:57:080:57:12

Once again, trade routes are beginning to thrive

0:57:120:57:15

and the containers are moving, supplying the lifeblood of a modern economy.

0:57:150:57:20

There are millions of containers out there travelling around the world.

0:57:220:57:25

Nobody even knows the exact number, there are so many of them.

0:57:250:57:30

I don't think we could do without the container for more than about a day.

0:57:300:57:34

It's progress, you can't stop progress.

0:57:340:57:38

That's it.

0:57:380:57:40

Day and night,

0:57:400:57:43

week after week, the lorries load, the cranes heave

0:57:430:57:47

and the ships come and go.

0:57:470:57:50

The metal box is always on the move.

0:57:500:57:53

And we move with it.

0:57:530:57:55

The container has delivered Britain into the modern consumer society.

0:57:570:58:01

Because of it, our world seems smaller and our aspirations are ever greater.

0:58:030:58:09

The box has changed our lives for ever.

0:58:100:58:16

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