Members of the Alliance of Concerned Truck Owners and Organization (ACTOO), a group representing the logistics and hauling industry in the Philippines, are implementing rate increases of up to 40 percent following the sharp rise in fuel prices.
“By our computation there’s a no less than 40 percent increase in our operational cost. But we leave it to our members to impose their respect rate increase in respect to individual business context, dynamics and decisions,” said Rina Papa, representing ACTOO.
Papa noted that fuel accounts for 30 percent of their total costs.
Aside from fuel prices, she said there have been no significant changes in the trucking business. There have been no order cancellations and no renegotiation of contracts. The volume of work has remained steady.
“Renegotiations, work orders non yet but if shipping will also be delayed because of the crisis then we can expect a reduction here as well”
Earlier, the Confederation of Truckers Association of the Philippines (CTAP) said it was seeking to implement a 30 percent increase in trucking rates in response to surging fuel costs, particularly diesel.
