Gap between costs and haulage rates widens, says FTA

Commercial Motor
July 21, 2011

Haulage rates are failing to keep up with the rising costs of running a transport business, according to an Freight Transport Association report.

In its 2011 Manager's Guide to Distribution Costs, the organisation calculates that the total rise in vehicle operating costs for hauliers in the 12 months to 1 April was 6.8%.

It also says the cost of diesel for fleets rose 15.6% in the year.

However, domestic haulage rates increased by an average of just 3.4% while international rates increased, on average, 5.4%

FTA research analyst Bruce Goodhart says: "The high and rising cost of fuel continues to put companies under considerable financial pressure. With haulage rates failing to keep up with increasing vehicle operating costs, profit margins are being squeezed and jobs put at risk, hampering economic recovery", Goodhart says.

The guide is produced annually, based on data supplied by FTA member companies.

Included in this year's document are updated bulk diesel prices and operating cost forecasts, as well as haulage rate trends.

There is also information on wage trends for drivers, and the latest vehicle operating cost tables.

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