By Arjay L. Balinbin, Senior Reporter
THE Confederation of Truckers Association of the Philippines (CTAP) said on Wednesday that some of its members’ clients have agreed to up to 30% increases in freight rates following the rise in fuel prices.
CTAP President Maria B. Zapata said individual members communicated a request for higher rates to their clients on March 7.
“There are reports from some of our members that some of their requests have been granted,” she told BusinessWorld by phone.
“For the record, the diesel price in January 2021 was P31 (more or less) compared with the current P70 (more or less) as of March 8, 2022 with P39,” according to a notice issued by Ms. Zapata earlier announcing the request for higher rates made to trucking clients.
“In line with this, CTAP member operators will negotiate and make the necessary and corresponding 30% adjustment or increase in their respective truck rates to enable them to continuously provide exceptional and quality service to their respective clients,” it added.
Ms. Zapata said by phone that the outcome of the negotiations will very depending on each trucker’s history and bargaining power with the client, typically an importer or exporter.
“With the economic situation, we can’t be insistent on the 30%, so others accept less than 30%. It’s a matter of consideration.”
She said the negotiations are purely business-to-business, with no government agencies involved.
Pump prices rose for an 11th straight week on Tuesday. Fuel retailers raised gasoline and diesel prices by P7.10 and P13.15 per liter, respectively.
Ms. Zapata said CTAP will be standing by to determine whether its members will need to seek additional charges for the fuel cost.
“Ngayon, meron na namang increase dito na P13 per liter of diesel (There has been a further P13 increase per liter of diesel), so we will be observing within two weeks to see if there will be a rollback or if it will increase further,” she said.