Freight News, Logistics, Road

Road costs soar in December

[ January 23, 2023   //   ]

Transport Exchange Group says its TEG Road Transport Price Index showed that courier prices in December eached the highest level recorded in the past four years. At the time of year when demand for rapid delivery is at its peak, the price-per-mile of courier vehicles rose by 9.3% since December2021 and by 23.7% since December 2020.

Haulage prices also saw a significant increase, rising 4.4% in the past month after a steady fall over the previous two months. The price-per-mile of haulage vehicles reached the highest level of the year in December.

Despite this recent increase, haulage prices have, in fact, dropped by 9.8% in the past year. A 13.1% drop in the haulage price-per–mile coming into January 2022 means prices are still lower than this time last year.

Transport Exchange Group chief executive, Lyall Cresswell, commented:“Approaching the end of the year, it is not uncommon for haulage and courier prices to increase. This is a trend we can expect in this busy period as demand for freight and delivery services increases. However, it is interesting to see that this trend seems to be more pronounced this year, with prices rising more drastically in December 2022 than last year.

“In 2023, the industry will continue to face similar challenges, spearheaded by inflation. Without a concerted effort to address the driver shortage and replace the ageing workforce, we risk an overburdened industry and could face continued increases in haulage and courier prices, which could have far-reaching consequences for businesses and consumers alike.”