RATE THE HEADACHE FOR "IPPER HAULIER
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CUTS IN central and local Government spending are playing havoc with the tippet business — and operators art finding it increasingly difficull to get rate rises.
These were the two big headaches for the tipper men which emerged at the eleventh annual Road Haulage Association Tipping Convention at Harrogate last week.
Fleets are being reduced drastically in a bid to match capacity with existing anc forecast demand.
The material extraction industry is particularly harc hit, since it depends on public spending for about 70 per cen1 of its revenue.
One operator told CM thai his large organisation had losi nore than 40 per cent of its iusiness in the past year.
It is now budgeting for this o increase to more than 50 per ent in the next 12-month eriod.
With so much extra capacty, rates have been affected. ohn Kirby, managing director If Federated Road Transport Market Harborough, told the Convention that operators were having difficulty getting rate increases in the wake of the Budget.
Tony Griffiths, of T. Griffiths and Sons, Barking, reported that the last letter he had opened before leaving for the Convention had contained a rejection of a rate increase to cover the new fuel tax and road fund licence rises.
Jack Male, the RHA's national chairman, said that in the West Midlands he knew of a case where a customer was playing off one against the other.
Four hauliers had each been told by the same company that they would not get a rate increase until the other hauliers applied for one. All of them had done so and it was not until they got together that the company admitted it was working a "con trick" and paid up.
Kerry Spencer, the RHA's Tipping Group Co-ordination Officer claimed that producers had been raising their prices and saying that part of the justification for the increae was the additional cost of haulage.
But when the haulier asked for the proportion of the increase attributed to haulage to be passed on to him his request was sometimes refused.
"I am becoming increasingly suspicious that the haulage industry is being blamed for increases which in fact it is not receiving.
"We are, however, currently compiling information on this matter," he went on, and he was sure that both the customers and the Prices Commission would be interested in the findings.
John Silbermann, a national vice-chairman of the Association, raised another problem which particularly hurt the larger operations.
Some hauliers are big enough to come under the strict disciplines and controls imposed by the price regulations.
"It is an injustice for such firms to be denied the right to build into their prices the accumulation of sufficient capital derived from current trading, to enable them to buy new vehicles as replacement falls due." CM IS PROUD to associate itself with the Queen's Silver Jubilee celebrations. Next week is our special issue celebrating the event.
Vehicle manufacturers and operators in the Commonwealth and former Commonwealth countries have assisted us to produce features, some literally from 'the far flung outposts'. They have restored flagging spirits here — you can read them next week.
There are reports from South Africa, Malaysia, Hong Kong, Zambia, Nigeria, Ghana, Kenya and others.
We will also be producing the eagerly awaited and comprehensive guide to what British vehicles are available throughout the world. This is an annual guide, updated each May and which regular readers use as a valuable reference.
It is also the occasion of a 'first' this week and next. Yesterday and today 100 vehicle recovery operators are meeting at Wembley to discuss, amongst other things, forming their own association. We will be carrying a full report on the two-day proceedings next Friday.
And there's more. Yet another CM free supplement appears with next week's issue dealing with the Marathon.
This is a special souvenir edition which readers will want to keep. If you share a copy and want one for yourself you must order it today or call at the sales counter, Cornwall Press, Paris Gardens, London SE1 9LU next Friday.