Tremors in Haulage
Page 34
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DISQUIETING reports on conditions in some sections of the road haulage industry are in circulation. In the north it is said that several large haulage businesses are up for sale. It is believed that their owners bought vehicles from British Road Services on bank loans and that the banks are now pressing for repayment. In addition, competitive conditions are trying their resources. How far rate-cutting by the operators concerned, or by their competitors, is increasing their difficulties is unknown.
Reports on the stability or otherwise of rates vary widely. This issue contains a review of the situation in the Midlands and is the first of several regional surveys. It presents a wide divergence of opinion on rates, some operators complaining that they are undercut unmercifully and others declaring that there is reasonable stability.
Much depends upon the class of business in which a haulier is engaged. Some operators complain bitterly of the low rates offered by clearing houses, yet there are traders who can produce evidence of hauliers volunteering to work directly at prices even lower than those quoted by intermediaries.
Such rates can be based only on inexcusable ignorance. There is no reason why any operator should be in doubt about the items of cost which he must take into account or of the expenses which he is likely to incur in the future. This information has been available for over 40 years in " ' The Commercial Motor' Tables of Operating Costs" and in the weekly articles published by this . journal.
This week The Commercial Motor presents upto-date figures for average costs and minimum fair charges for the most popular types of goods and passenger vehicle. Any haulier who is feeling the pinch would be well advised to examine his cost figures and compare them with those published by this journal. Prompt action may avert unpleasant consequences.
Rate-cutting by B.R.S. is sometimes alleged, but on close examination it may be found that by using more suitable vehicles, they are justifiably able to charge a lower rate than their competitors. As the survey of conditions in the Midlands shows, there is a widespread demand among freeenterprise hauliers for closer contact with B.R.S. on the subject of rates.
This is believed to have high priority among possible matters for discussion between the Road Haulage Association and the State undertaking. It is to be hoped that conversations on these lines will help to create greater stability without undermining competitive independence.