Ground transportation costs rise for ninth consecutive month: CGFI
January 27, 2012
TORONTO, Ont. -- The cost of ground transportation for Canadian shippers increased 1.6% in November when compared with October results, according to the latest figures from the Canadian General Freight Index (CGFI). The results represent the...
TORONTO, Ont. — The cost of ground transportation for Canadian shippers increased 1.6% in November when compared with October results, according to the latest figures from the Canadian General Freight Index (CGFI). The results represent the ninth consecutive monthly increase since March. During this time, the CGFI has risen 7.1% in aggregate.
The Base Rate Index, which excludes the impact of accessorial charges assessed by carriers increased by a modest 0.4% in November versus October. Since March, base rates have risen 4.3% in aggregate.
Officials say an increase in fuel surcharges assessed by carriers is the primary reason why total costs are increasing at a faster rate than base rates. In November, fuel surcharges assessed by carriers equated to 20.86% of base rates, up from 18.79% in March.
“We are starting to see increases in some sectors that have been hit the hardest during the economic downturn” said Doug Payne, president and COO of Nulogx. “This may be a sign that we are seeing both an increase in demand as well as continued operational and pricing discipline from carriers.”
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