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According to the report of the Dutch industry organization, Transport en Logistiek Nederland, transport prices have risen in the first quarter, but profits stayed at the same level. The association explains the reasons.

Based on surveys conducted among transport and logistics representatives, the Transport en Logistiek Nederland (TLN) association determined that prices for services in the sector increased in the first quarter of 2018. However, profits did not rise as expected.

The increase in prices for transport services was confirmed by almost 70 percent of respondents, while only 30 percent stated that rates remained unchanged. One percent of the respondents observed a drop in prices.

Despite the increases, the profits of enterprises in the industry did not increase to the expected extent. Only 40 percent of the surveyed reported in the first quarter of this year a profit higher than the one from the last three months of 2017. In turn, as much as 40 percent admitted that the profits were at the same level as in the previous quarter.

What’s the cause? Rising costs

As TLN notes, 69 percent of respondents confirmed the increase in costs compared to the end of last year. Average wage costs increased by 5.7 percent. In addition, the price of diesel at the beginning of this year was 2.5 percent higher compared to last year.

It will be even more expensive

Last week, MEPs voted over the revision of the Posting of Workers Directive. Changes can have serious consequences for European transport companies.

The survey, which was carried out on behalf of Trans. INFO among 1.7 thousand entrepreneurs from over a dozen EU countries before the adoption of amendments to the directive, shows that after changes in the regulations on posting, shippers from the West expect above all an increase in the prices of transport services.

According to the report, 58 percent of carriers, shippers, and forwarders from Eastern Europe expect the prices to rise. Among the same group of entrepreneurs from the West, this number is one percent bigger.

How will the directive affect the prices of transport services?


For details read the full report:


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