We have been hearing for quite a few months now that Truckload, and LTL rates for that matter have been on the rise. This fact is not a surprise to any logistics manager utilizing these services, however there is a real need to alert corporate management to this fact as this is something every company must budget for.
According to Mark Montague, Senior Industry Pricing Analysts for DAT Solutions, a company that operates a network of load boards and Rate Review rate-analysis tools provides a variety of facts to support this well known fact.
- National average van rates in January averaged $2.26 per mile. These rates were up 15 cents per mile from December, 2017 and 59 cents from January, 2017.
- The average rates for refrigerated loads in January were $2.66 per mile, 18 cents higher than December, 2017 and 71 cents per mile higher than January, 2017.
- While February is usually a slow month for truckload freight, rates remained high in February a true sign that these rates higher rates are not a fluke.
- The retail environment usually sees a spike in April and May so this fact is sure to keep rates stable for the foreseeable future.
So while budgeting for these increased rates is critical, making sure a company has a complete pool of qualified carriers under contract for the long term is critical to staying within budget and provides the ability for a company to maintain its customer’s delivery expectations.
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