EXTREME Transportation Market

EXTREME Transportation Market

We are almost one month into the official start date of the mandatory E-log implementation and we are seeing a major impact on the market. There are multiple negative factors at play as is always the case this time of year: Holidays, weather/road conditions, and shortage of drivers are always at play during the winter, but the variable that has caused sky rocketing freight rates is undoubtedly the start of the E-log. We have seen rates quoted as much as double the rate that we paid last summer. Some companies are absolutely having to pay those extreme rates due to the lack of options. We, for the most part, have avoided paying the highest end rates, but that has come at the cost of timely deliveries. Trucks are needing more money per mile to compensate for the miles they are losing due to strict hours of service laws being enforced by the E-logs. We ask that all of our customers be patient and understand that this is not a typical year in transportation. Every region in the country is feeling these effects and we are fighting to get as many trucks as possible to haul potatoes and onions. Typically, by the end of January we start to see some relief in available trucks in the north west, but it is yet to be seen where the market will land when it all settles in. Please get orders in early and allow for more time for deliveries.