Fuel came down, Carriers' rates going up

ShawnR

ShawnR

Site Supporter
Nov 1, 2011
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Looking for some insight on this issue.

Clients are yelling that fuel has came down since it went real high a couple months ago.

On contract rates we have with a few clients our fuel had been around 30-31% but now I see it at 23-24%.

Can someone please give me some insight as to why carriers' rates are still on the rise?

not meant to insult or complain, just looking for some insight.
 
Shawn,

It's supply and demand. While over the longer term there is a relationship between fuel and freight rates, in micro in the short term it's not always the case.

Especially after we lose more and more manufacturing here, in order for cross-border trucking in specific to be viable, we have to expect rising costs on inbound freight. Though I see that the further we've gone into July, the closer rates have dropped back to pre-May levels for the most part.

On outbound, on some lanes we may still see falling rates, on others not simply because the rates are so low that there is no more play and there is always a risk factor built in related to deadhead miles.

A large percentage of our rates to customers are contracted too, so I know what you're saying. These are not the good old days.
 
Mr. G Roch .. "Carriers rates are still on the rise" ??

I think this was a dream you had ... carriers raised their rates twice and now some of that bountiful rate increase will come your way.

Reality is ... rates have not increased, most freight is cheap, other costs have increased to the trucking company, fuel is not the only factor used in calculating rates.

Nice thought ... thanks for the smile.
 
Cher: we've had the same freight for years, with steady rates, steady carriers doing them. Now these carriers have raised their rates without notice and have no answers when we ask them why.

I'm not complaining, we will all adjust.

Just wondering if anyone knows of something I don't.
 
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Yes people are going to Boston for 8-900 according to you so in order to keep the doors open they have to charge more for inbound.

Rates are ALL market based I just called a load I did a month ago and the rate was 600 cheaper then what she OFFERED to pay me a month ago. When I asked her why she said that was a produce rate. I said it was dry freight you offered your rate. Her answer was produce (melons)
 
Rob said:
Yes people are going to Boston for 8-900 according to you so in order to keep the doors open they have to charge more for inbound.
Click to expand...

there is a reason why I don't reply much to your posts, you don't read or help out in most situations, you just like to poke people.

I never said I pay that shit kind of rate for Toronto to Boston, I get shitty offers. I know what I need to pay for this lane, inbound & outbound.

now please stay away and refrain from replying to my posts or threads, you have yet to offer any value to most of what I've discussed.

p.s. you admitted to me you back stabbed us on our loads!

NOW BACK ON TOPIC

other than fuel, demand & supply, what may I know is affecting rates going up lately?
 
G Roch said:
there is a reason why I don't reply much to your posts, you don't read or help out in most situations, you just like to poke people.

I never said I pay that shit kind of rate for Toronto to Boston, I get shitty offers. I know what I need to pay for this lane, inbound & outbound.

now please stay away and refrain from replying to my posts or threads, you have yet to offer any value to most of what I've discussed.

p.s. you admitted to me you back stabbed us on our loads!

NOW BACK ON TOPIC

other than fuel, demand & supply, what may I know is affecting rates going up lately?
Click to expand...

I didn't back stab you I called the US Broker that you were double broking from and got it direct from him and He din't relize you where a CO BROKER
 
Keep it clean guys

C'mon guys he's just asking a question, enlighten him, or don't but no need to attack him. Prices go up and down for all kinds of reasons, if you want him to go to his customers and explain to them why prices have to go up so he can pay you more, help him! Isn't that what we're all here for, to make the industry a better place and share our knowledge to help others out in the industry?
 
Guys Please,

Stop going of topic and attack everybodys business...

Nowadays, everybody wants to pay less for more. Believe me I know what I am talking about, has that transport is not our primary business of operation, and we transport is a private carrier. People are always going to offer you less money than the actual price just for the heck of saving a couple of bucks. All you have to say if that is just a plain stupid price is no. And if you like the price you are offered you say yes. I have seen some people just put there pants down just to have the work.

Stay true to your price, and say no to the unreasonable, tell them when that happens, they might call you back with a proper offer.

Cheers
 
Pablo said:
C'mon guys he's just asking a question, enlighten him, or don't but no need to attack him. Prices go up and down for all kinds of reasons, if you want him to go to his customers and explain to them why prices have to go up so he can pay you more, help him! Isn't that what we're all here for, to make the industry a better place and share our knowledge to help others out in the industry?
Click to expand...

yes EXACTLY, thanks Pablo!

if a mod can just remove the whole off topic stuff I'd appreciate it.
 
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