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Harbour truckers working farms quit over dockside, regulatory hassles
EXPECT vociferous complaints from agricultural exporters at the Agriculture Transportation Coalition conference in San Francisco over the loss of harbour truckers who won't take it anymore, warns one angry trucker.
Ken Kellaway, president of RoadOne Intermodal Logistics, who employs 1,000 drivers at ports and rail ramps around the US, says truckers troubles are too much to bear.
"The result is that drivers and drayage companies are being more selective about who their customers are and this is resulting in a decreasing number of drivers available to carry agricultural exports," he said.
Mr Kellaway says drivers for agricultural exporters are leaving the business due for several reasons, reports the American Journal of Transportation.
Increased federal regulation is forcing harbour truckers to strictly adhere to overweight truckload requirements or face fines and insurance hikes. Agricultural exports often contain high density and heavy truckloads.
"Typically, the profit margin for the driver is five per cent. Any added costs, detention charges, safety citations and delay can be devastating," he said.
Growing congestion at ports is making pick-ups and deliveries slower and more costly for drivers at ports around the country resulting in a rise from an average of one hour for a container pick-up or delivery to three to six hours in 2015.
Drivers are demanding better pay and should be compensated for added costs.
The arrival of mega ships and the dispersal of container loads from one carrier to an alliance of carriers creates "peaks and valleys" of container flows and dispersals of exports and imports to multiple locations that slow down pick-ups and deliveries.
Restrictions on free time and consequent imposition of late fees or demurrage charges by US terminal operators add to driver costs.
"The free time that was once allowed at terminals is now being reduced to make more money. The result is that when you do not pick up your cargo on time, you are penalised by demurrage charges," Mr Kellaway said.
Truckers often do not get relief from these charges even if they cannot pick up loads due to congestion.
The availability of chassis (since ocean carriers no longer provide them) continues to be a problem for drivers, he said.
Maintenance costs are rising and off-site pools add to delays. However, the pooling programmes for chassis at the ports of Norfolk, Los Angeles and Long Beach have been an improvement.
The move by shippers to shift cargoes from the west coast ports to east coast ports after the recent west coast labour slow down has resulted in new congestion and delays at a number of east coast ports because of a shortage of drivers. The shortage is less of a problem at south eastern ports such as Charleston, Savannah and Jacksonville.
Ken Kellaway, president of RoadOne Intermodal Logistics, who employs 1,000 drivers at ports and rail ramps around the US, says truckers troubles are too much to bear.
"The result is that drivers and drayage companies are being more selective about who their customers are and this is resulting in a decreasing number of drivers available to carry agricultural exports," he said.
Mr Kellaway says drivers for agricultural exporters are leaving the business due for several reasons, reports the American Journal of Transportation.
Increased federal regulation is forcing harbour truckers to strictly adhere to overweight truckload requirements or face fines and insurance hikes. Agricultural exports often contain high density and heavy truckloads.
"Typically, the profit margin for the driver is five per cent. Any added costs, detention charges, safety citations and delay can be devastating," he said.
Growing congestion at ports is making pick-ups and deliveries slower and more costly for drivers at ports around the country resulting in a rise from an average of one hour for a container pick-up or delivery to three to six hours in 2015.
Drivers are demanding better pay and should be compensated for added costs.
The arrival of mega ships and the dispersal of container loads from one carrier to an alliance of carriers creates "peaks and valleys" of container flows and dispersals of exports and imports to multiple locations that slow down pick-ups and deliveries.
Restrictions on free time and consequent imposition of late fees or demurrage charges by US terminal operators add to driver costs.
"The free time that was once allowed at terminals is now being reduced to make more money. The result is that when you do not pick up your cargo on time, you are penalised by demurrage charges," Mr Kellaway said.
Truckers often do not get relief from these charges even if they cannot pick up loads due to congestion.
The availability of chassis (since ocean carriers no longer provide them) continues to be a problem for drivers, he said.
Maintenance costs are rising and off-site pools add to delays. However, the pooling programmes for chassis at the ports of Norfolk, Los Angeles and Long Beach have been an improvement.
The move by shippers to shift cargoes from the west coast ports to east coast ports after the recent west coast labour slow down has resulted in new congestion and delays at a number of east coast ports because of a shortage of drivers. The shortage is less of a problem at south eastern ports such as Charleston, Savannah and Jacksonville.
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