Scottish study of transport costs
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• Next week in Glasgow a research team led by Prof. K. J. W. Alexander, head of the Department of Economics at Strathclyde University, will meet to study how far transport costs are restricting the development of Scottish companies. The team will consist of representatives of the University, the Scottish Office and the Confederation of British Industries.
Some companies are maintaining that the cost aspect is minimal when compared with the overall production cost. Others take the view that it is much too high in relation to the selling price of goods. This latter group believes that transport costs have a retarding effect on competitive tendering. Prof. Alexander, who was a speaker at the RHA conference at Aviemore in 1969, and his team will analyse about 50 companies in both Scotland and the Midlands where transport costs do not appear to be as high in relation to the final cost of the goods carried. The report is expected to be available before the middle of 1973. Its content may have the effect of influencing Government thinking on the need to subsidize transport costs in Scotland.