CTA boss says trucking growth to remain solid

OTTAWA — Despite some economic wildcards, the trucking industry will continue to grow at a steady pace in the coming years, Canadian Trucking Alliance chief David Bradley told a North American freight group.

At the first-ever meeting of the National Motor Freight Traffic Association to be held in Canada, Bradley told the audience that as fuel, driver and equipment costs continue to increase — and therefore drive up the cost of transportation — it is to be expected that shippers will feel pressured to test the market and shop for lower freight rates.

However, he added “there is no fundamental reason for rates to be discounted or for the softness in rates experienced in some markets over the last year to be permanent.

“There are some wild cards in the economic outlook, notably oil prices and the value of the Canadian dollar, but the Canadian economy has been showing a high degree of resiliency and while growth may be more modest in some regions and sector, things are for the most part steady,” he said in B.C., which hosted the Washington, D.C.-based group.

Bradley said truckers must recoup key carrier operating costs which will only continue to escalate. “(Also), the driver shortage is only going to worsen and will absorb any excess capacity that might occur.”

While no transport mode can provide the level of service trucks can, Bradley said the challenge for carriers is to maintain “price discipline.”

NMFTA publishes the National Motor Freight Classification directory and sets forth rules pertaining to procedures for filing claims, packaging provisions, handling and service requirements, standard formats of bills of lading, and the application of commodity descriptions.

The NMFTA’s National Classification Committee, comprising 100 elected members from across North America is responsible for determining the context, provisions and classes of the freight classification.