High fuel prices at the pump are a pain for truck drivers as diesel fuel is at a national average of $5.43 per gallon as of July 22,2022. In July of 2021, diesel fuel averaged $3.29 a gallon, still up $2.08 as of a year ago according to the EIA.
The president and CEO of the Florida Trucking Association, Alix Miller, spoke on rising fuel prices. Miller said, “It’s important for everyone to understand how vital trucking is to your daily life. An increase of diesel prices by almost $1, more than $1 per gallon directly impacts how much a product costs once it shows up at the store.”
Miller added, “It’s bad for business and consumers. Families may not pay the diesel cost upfront but will see the impact at the grocery store and other retail stores.”
To cover the higher cost, trucking companies must increase their rates to haul goods or freight. Corporations and businesses then pass those costs on to the consumer, meaning higher prices on everyday items.
“Everything we eat, touch, wear and drive is brought to you by a truck, and when prices increase by $2 a gallon, it makes it incredibly difficult to continue to do business and deliver freight,” Miller said.
Jeremiah Hanna, Transportation Manager for Greene Transport Company, says he hears the growing concerns from his drivers. “There are a lot of concerns within the transportation industry, higher fuel prices, labor shortages, capacity shortages and other expenses, we have seen it dip into truck drivers profit margins across the board. With significant changes like this, you can expect the growing pains that are going to come along with it.”
So how are we handling the higher-than-normal fuel prices at Greene Transport Company?
“We continue to ensure our drivers equipment is in proper, working order.” Jeremiah says, “Slowing your average speed down, by 5mph can help fuel consumption. Tire condition and tire pressure will affect the efficiency of the ride. I encourage my drivers to stay positive, we are going to have to ride this wave, but we will do it together”.
Abe Klassen and his wife Lena Klassen are a truck driving team for Greene Transport Company described the diesel fuel cost in one word, “HORRIBLE! I am grateful that I work at Greene, I know they do all they can for their drivers. They were there for us through the pandemic and now with the high fuel costs, they are always thinking ahead and making sure we have all the support we need. They include 100% fuel surcharge and that really helps us drivers.” Abe said.
Jeremiah sends out daily emails on the locations that have lower fuel prices and accept the fuel discounts that Greene Transport Company offers to their drivers along their routes. “The drivers fuel discount program that we have at Greene Transport Company gives our truck drivers a certain price off their fuel per gallon, as well as other discounts on tires or food at select locations. “Making sure my drivers know where these locations are along their route, is one way I can help ease any extra stress on them.” Jeremiah says.
Abe explains, the emails that Jeremiah sends out takes some pressure off his plate. “It may seem small, but not having to spend extra time looking for the right locations to fuel up along my route is a big help. I appreciate all the big and small things they can do for myself and the other drivers.”
Scott Geiser, a Senior Logistics Manager at JGLC, has seen fuel prices skyrocket and rates drop. “The supply chain and transportation industries are volatile currently. It is important, more than ever, that industry professionals understand the importance of our nations truck drivers.” Scott has been working in the Transportation and Logistics industry for over 17 years and understands the value in having excellent communication with his drivers and customers. “The driver shortage, along with rising fuel prices effects the supply chain and doesn’t help attract new truck drivers to the industry.” Scott believes that continuing to have a solid relationship with customers and drivers makes it easier to discuss rates and fuel cost to help combat the volatility.”
JGLC has remained family owned and operated for 60 years and our sister company, Greene Transport Company has been in business for 20 years. With that much experience, it is apparent that JGLC and Greene Transport Company have had decades of great success and have the experience to adapt to major shifts that happen within the transportation and logistics industry.