CHANGING COSTS AND CHARACTERISTICS FOR EXEMPT MOTOR CARRIERS

Performance of the North Dakota grain trucking industry has been mixed during the past decade. Grain shipments by truck have declined in absolute and relative terms. Much of the decline can be attributed to the introduction of multiplecar rail rates and the ensuing changes in the grain elevator industry. The grain trucking firms which have survived the industry decline have improved operationally and lowered costs. From an operations perspective, evidence suggests that grain trucking firms have improved the utilization of their equipment. Increases in the percentage of loaded miles (i.e., revenue generating miles) and the average payload are both indicators of a healthy trucking industry. Using an economic engineering costing model, the typical firm's average total operating costs are estimated to be 0.8990 dollars per mile. Expressed in 1986 dollars, this represents a 27.3 percent drop in total operating costs between 1979 and 1986.

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Filing Info

  • Accession Number: 00490025
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Dec 31 1989 12:00AM