Freight Transport: Freight Cost Up 10%

Salvadoran carriers estimate that between January and May 2021, the cost of freight between El Salvador and Guatemala has increased from $500 to $548, a rise that is largely explained by the increase in the price of diesel.

Wednesday, June 2, 2021

Representatives of the Asociacion Salvadorena de Transportistas Internacionales de Carga (ASTIC) state that in recent months the price of a gallon of diesel has increased by $0.63 in the central zone.

According to the transporters, because not all clients are willing to pay more for cargo transportation services, companies have been able to increase their rates, even though costs have risen.

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Raul Alfaro, president of ASTIC, believes that this situation is not sustainable. Alfaro told Laprensgrafica.com that "... carriers should not absorb the increase in diesel, as this does not benefit them in the long term."

The article states that "... according to the Asociacion de Transportistas de Carga de El Salvador (ATCASAL), fuel reflects between 40 and 50% of 'production costs'. For a trip to Guatemala, the association estimates the consumption of 100 gallons of diesel".

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