Canadian ground transportation rates dip slightly in October

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TORONTO, Ont. — After several months of steady increases, the cost of ground transportation for Canadian shippers dropped slightly in October, according to results published this week by the Canadian General Freight Index (CGFI).

The CGFI Total Freight Cost Index decreased by .8% in October compared to September, while the Base Rate Index, which excludes the impact of fuel surcharges assessed by carriers, decreased .92%.

The CGFI is still 7.5% above the April low point and 5.3% above last year’s result for the same period. Notably, average fuel surcharges increased by 6% to 13.77% of base rates when compared to September results. Fuel surcharges increased for the first time in five months, and are beginning to reflect the higher cost of diesel fuel for trucking companies, said CGFI officials in a release.

“We are just starting to see the impact that higher fuel prices will have on shippers and trucking companies, and we expect to monitor this trend through the winter months,” said Doug Payne, president and chief operating officer of Nulogx. “As for the slight decline in base rates, this is not unexpected given the consecutive monthly increases we have seen since last April.”

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