Limonette Truckers Insurance

11/15/2022

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10/05/2022

US truck shippers rethinking spot strategy. See the below report.

US shippers who fled the truckload spot market late last year when one-time transactional rates were at an all-time high are returning now that spot rates are lower. But those shippers are taking a more strategic approach to how they balance their spot and contract freight to optimize transportation spending.

They’re using spot markets less haphazardly, focusing on lanes where they can achieve significant savings, adding third-party freight brokers, and moving brokers higher up in their routing guides, often sending freight to a broker rather than a secondary carrier when a primary carrier rejects a load.

“We’re seeing a stabilization in the market, and we’re seeing a lot more spot loads,” Dean Croke, principal analyst for DAT Freight & Analytics, one of the largest US truckload spot market load board operators, said at the JOC Inland Distribution Conference in Chicago last week.

Shipper-paid spot prices continue to fall, dropping $0.07 per mile on average from August to $2.65 per mile in September, according to the latest JOC.com analysis of data provided by DAT, Loadsmart, Cargo Chief, and surveys of third-party logistics providers (3PLs) and shippers. In January, the average rate was $3.38 per mile.

But there are differences in how shippers are using the spot market today and how they used it last year. “In 2021, shippers were anxious to grab any capacity they could to get those loads moving,” Croke said. “We had a lot more partial loads moving, which created the impression capacity was tight.”

As the price of diesel fuel skyrocketed this spring, shippers began combining more loads, which created capacity. Shippers also created more capacity when they shifted a large amount of freight away from the spot market to contract carriers. Now they’re adding spot pricing to their contracts.

“We’re seeing a lot more loads go direct from the shipper to a [third-party freight] broker on the contract side of the market,” Croke said during a panel discussion on the outlook for North American freight in 2023. That’s a relatively new trend emerging from the pandemic, he noted.

“Normally you had a very clear delineation between loads that go to brokers and loads that go to carriers in the contract space,” Croke said. “In this cycle, it appears that a lot of [contract] shippers are dealing directly with brokers because of some of the technology” that is coming to the market.

That technology ranges from digital brokerage platforms to specific software developed to better connect shippers and brokers and in some cases shippers and carriers directly. The past two years of widespread supply chain disruption accelerated the development of such technology.

10/03/2022

How are you handling the Commercial Truck Driving Trends

In the last few years, there was a surge in the reliance on the supply chain and specifically the commercial truck driving industry. And, that reliance has continued to remain strong in the subsequent years thereafter. However, coinciding with the reliance of the commercial truck driving industry, came the work force shortage in this sector.

This trend continues to be a driving factor, and experts anticipate that by 2028 there will be over 150,000 drivers in demand — furthering the shortage.

It is recommended that companies Should Invest in Commercial Truck Driving Roles. Training and education for truck drivers is needed more than ever as an alternative to retain Workers.
What Transportation Strategy will you use for the next 5+ 10 years.

09/29/2022

Shippers that can’t find enough available warehousing space for a shoebox, let alone a container of freight, are working to squeeze more space out of facilities they already own or lease. Comments from retail and manufacturing executives during recent quarterly earnings calls stress how better warehouse utilization, technology, and strategic changes can create new capacity without new buildings.

Better sortation systems, the addition of robots, and integrated warehouse management systems across distribution networks are all ways retailers and manufacturers are dealing with warehouse bottlenecks caused by extremely low vacancy rates, delivery delays, and rising costs for space and services. Larger retailers are reducing overstocked inventories, but for many businesses stockpiles are still rising.

And as they rise, warehousing and inventory costs threaten to offset savings shippers may gain from lower transportation rates. Industrial rents rose 21 percent year over year in the second quarter, to more than $8 per square foot, industrial developer JLL said in its August industrial outlook. Inflation plays a role in rising inventory costs, but so do higher interest rates and less available space.

Some widespread solutions include greater use of stores to actually store and distribute goods, more direct shipping that skips intermediate warehousing and storage, and better use of internal space in existing warehouses and distribution facilities. That includes better stacking of goods for storage, better visibility, and better picking of goods to speed turns, a range of shipping executives said.

09/28/2022

The ports of Tampa Bay and Jacksonville were closed to vessel and intermodal traffic Wednesday as Hurricane Ian approached the southwest coast of Florida, with the Category 4 storm expected to bring “catastrophic storm surge, winds, and flooding,” according to official forecasts.

As of Wednesday afternoon, the US National Hurricane Center (NHC) said Ian was packing winds of 155 miles-per-hour as it churned about 60 miles off the coast of Naples, Florida. A hurricane warning was in effect for a 230-mile stretch of the state’s southwest coast that encompassed Port Tampa Bay. As of Tuesday, Tampa and 18 other ports along the southwest coast were completely closed to ship movements by the US Coast Guard (USCG).

Tampa said in an online update that all vessels over 500 gross tons had departed the port ahead of the storm. In a statement to reporter, Tampa said the port was almost completely closed by Tuesday, with the last departures by fuel trucks that serve the state’s gasoline shippers.

On the Atlantic Coast, the USCG also closed the ports of Jacksonville and Fernadina to all vessel traffic by midday Wednesday, telling vessel operators “there are no ‘safe havens’ identified for a vessel to safely survive.” In a statement to the Reporter, the Jacksonville Port Authority said there were no ships lingering near the port or vessels sitting at anchorage, nor did any vessels need to be diverted from the port.

09/27/2022

Breakbulk and its glamorous subset, project cargo, remain a dynamic shipping segment, and the multipurpose and heavylift (MPV/HL) carriers that serve it are just beginning to recover from chronic overcapacity and a decade of doldrums.

Breakbulk cargo has been defined as ‘whatever is left over’ after the bulk and container ships are full. While the shift of commodities such as cotton and coffee from breakbulk into containers has largely run its course, other breakbulk and project cargos continue to move on MPV/HL vessels. Not every shipment of breakbulk cargo involves a complex mega-project or thousands of freight tons that require full charters and heavy-lift capacity. Many of these movements are very complex, and require additional planning, expertise and equipment. Project cargo shippers often work closely with carriers’ engineering teams to create transport plans.Simple breakbulk cargoes can often shift shipping modes fairly seamlessly. Steel, for example, flows from breakbulk to bulk carriers to, for some forms of steel, roll-on/roll-off (ro-ro) and container transport. The preferred mode will depend on volumes, prices, schedules and demand. Container and ro-ro services offers shippers fixed schedules, predictable routes and prices, and more commoditized handling, simplifying the equation – but only when it makes sense for the cargo.

01/05/2021

Happy New Year Family, Friends!

I would like to thank God for your survival during the 2020 Covid pandemic. Knowing the struggles due to Covid-19, consider yourself a winner from the 2020 darkness. For those who have lost their lives not excluding our loved ones, I ask God to bless their souls as they are warriors and a sacrifice for your right to survive this race. Let us all celebrate and acknowledge their doings in life.

COVID-19 has altered every aspect of our practice of life. Let the 2021 year be your acceptance to having happiness and power to being an extraordinary accomplishment to humanity. Love those who are around you, love those 6 feet from you, love those on the other side of the computer screen, love those who are across town.

Together we are strong even 6 feet apart.

Remember to wear your mask at all times, wash your hands as often as possible for 20 seconds. Get tested to protect yourself and those around you. Together we can do it

Happy new year!!!

Regards

11/26/2020

Happy Thanksgiving everyone 😀 Stay Covid Safe, Wear your mask while enjoying your Family.