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Reefer Rates

Discussion in 'Refrigerated Trucking Forum' started by swayze, Apr 28, 2015.

  1. Apr 28, 2015 #1
    swayze

    swayze Bobtail Member

    8
    0
    Feb 17, 2015
    0
    Hey Guys,

    Quick question on reefer rates. How do rates change based on actual refrigeration required by the shipper:

    Clearly you need a lot more fuel to keep things at -20 for ice cream vs 55 for tomatoes. And the goods might need continuous instead of cycle-sentry refrigeration?

    I'm new to the forum and trying to learn more!
     
    swayze, Apr 28, 2015
    swayze, Apr 28, 2015
    #1
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  3. Apr 28, 2015 #2
    gokiddogo

    gokiddogo Road Train Member

    8,781
    14,753
    Mar 5, 2012
    Ontario Canada
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    I don't even mention the reefer fuel when negotiating a rate. It has more to do with where the load is coming from and where it is going to, AND the time of year it is going there. Let's say for example there is a load of ice cream needing to go from NJ to Cali for example. In summer time there's typically a lot of high paying produce loads leaving Cali. This is going to drive the rate down for loads going into CA, even though yes, your reefer is going to burn more fuel. There are also many fewer loads leaving NJ. In reality the amount of fuel the reefer uses is peanuts, kind of like trying to charge significantly more if a load weighs 45,000 vs 5,000 pounds. The rates are more driven by time of year and number of loads to number of available trucks.
     
    gokiddogo, Apr 28, 2015
    gokiddogo, Apr 28, 2015
    #2
    jbatmick and RedForeman Thank this.
  4. Apr 28, 2015 #3
    swayze

    swayze Bobtail Member

    8
    0
    Feb 17, 2015
    0
    Thanks gokiddogo! Super helpful. Seems like the seasonality between pickup and delivery really outweighs any of the little adjustments that might come from weight, reefer temp, etc. Would be interesting to see if there is anything online I could read about to better understand the seasonality (when are melons leaving milwaukee, when are the high produce paying loads leaving Cali (you mentioned summer), when are the oranges leaving florida, etc.)
     
    swayze, Apr 28, 2015
    swayze, Apr 28, 2015
    #3
  5. Apr 28, 2015 #4
    jbatmick

    jbatmick Road Train Member

    2,184
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    Dec 1, 2009
    hastings, Fl
    0
    jbatmick, Apr 28, 2015
    jbatmick, Apr 28, 2015
    #4
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