http://www2.startribune.com/stOnLine/cgi-bin/article?thisStory=81319653

Published Wednesday, January 26, 2000

Diesel increases fuel trucker worries

An 11-cent jump in the average price of diesel fuel during the past week has left truckers paying $1.418 a gallon, up 47 percent from the 96.7 cents a gallon they were paying a year ago.

"These sudden and dramatic fuel increases could put some of our members out of business," said John Hausladen, president of the Minnesota Truckers Association. "Behind driver wages, fuel represents a trucker's second-highest cost."

Minnesota truckers making deliveries in the snowbound Northeast are reporting prices as high as $2.17, Hausladen said.

Trucks get about six miles per gallon of fuel, gobbling up an average of 417 gallons per week. At that rate, gasoline costs about $188 more per week per truck. To help offset that, many trucking firms are implementing fuel surcharges.

Compounding the problem is a shortage of drivers, which is forcing trucking companies to pay higher wages. And the strong economy only increases the need for more freight capacity.

Said Hausladen, "The bottom line of this situation is that it is going to cost more to ship goods."

-- Homer Beanfang (Bats@inbellfry.com), January 26, 2000

Answers

Ouch! $2.17/gallon is higher than on Molokai!

-- Mad Monk (madmonk@hawaiian.net), January 26, 2000.

Expect to see the prices passed on to you in a grocer near you. Thank goodness we have preps to ease the family budgets.

-- Hokie (Hokie_@hotmail.com), January 26, 2000.