It’s no freighter - but it has quantities of cotton, dry inside, with it (10)

I believe the answer is:
battleship
'it's no freighter but it' is the definition.
I can't judge whether this definition defines the answer.
'quantities of cotton dry inside with it' is the wordplay.
'quantities of cotton' becomes 'battle' (I am not sure about this - if you are sure you should believe this answer much more).
'dry' becomes 'ash' (I've seen this in another clue).
'inside' means to look at the middle letters.
'with it' becomes 'hip' (both can mean cool or fashionable).
The centre of 'ash' is 's'.
'battle'+'s'+'hip'='BATTLESHIP'
'has' acts as a link.
Can you help me to learn more?
(Other definitions for battleship that I've seen before include "Eisenstein film about 1905 revolt" , "Large navy vessel" , "naval craft" , "Large naval vessel" , "fighting vessel" .)
