eNewsletter

Fleet Owner

Effective security measures are becoming more important than ever as a consequence of Food Safety Modernization Act requirements. Experts note that cargo thieves often break seals to take a look at loads before deciding whether to commit theft.

With the Federal Reserve expected to raise interest rates, continuing its pattern of small, gradual increases, potential effects on freight markets and carriers could include greater difficulty for smaller carriers in securing bank loans and increases in the cost of equipment. The effects of interest rate increases can take months to manifest, however.

A new bill introduced in the U.S. House of Representatives called the Developing Responsible Individuals for a Vibrant Economy Act, or the DRIVE-Safe Act, would allow CDL holders younger than 21 to drive across state lines as part of an apprenticeship program. The program would consist of  two probationary periods in which an experienced driver would have to be present in the cab.

The rising cost of transportation could soon lead to prices increases on consumer goods as suppliers seek to maintain their profit margins. U.S. food companies are among those likely to be most affected if truck rates continue to increase as expected over the next year.

According to a new report from the American Trucking Association, between the third and fourth quarters of 2017, the driver turnover rate dropped from 95 percent to 88 percent. Experts attribute the decrease to an increase in pay for drivers and strong freight rates. However, the turnover rate remains higher than it was a year ago.

The shortage of truck drivers remains one of the biggest issues in freight transportation, and the possibility exists that the shortage could worsen if the economy continues to improve and volume increases.