Shipping costs to rise

Recycling processors and end users can expect to pay more for moving materials to market.

Logistics experts are now predicting that the cost of shipping by truck will rise more than 5 percent this year. Several key reasons are cited. With the economy slowly picking up its pace, demand for trucking will go up. Some shippers are already reporting that the availability of drivers and rigs is getting tight. At the same time, political unrest in the Middle East has pushed diesel prices higher. Also, the cost of new vehicles has risen by nearly one-quarter in the last half-decade.

Meanwhile, the ocean freight business continues to change. For instance, AP Moller-Maersk, one of the largest container shipping lines, has ordered ten new ships, each capable of moving more than 200,000 tons in one booking. These will be the largest ships ever built.

In other news, shipping lines are pushing container fees higher due to volatile fuel costs. Shipping rates will rise by $200 to $400 per container, beginning in April.

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