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The Confederation of Truckers Association of the Philippines Inc. warned of a potentially over 30% increase in their current service rates as fuel prices continue to rise
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CTAP president Maria Zapata said a fuel price hike also means a spike in other operating costs such as vehicle maintenance supplies.
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CTAP, an umbrella organization of truckers groups nationwide, was set to have an emergency meeting on March 18 to discuss possible collective actions and solutions
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The current Gulf crisis also means import delays, which may displace trucking workers
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The group assured that is it working to ensure continued flow of goods, especially food and pharmaceuticals
The Confederation of Truckers Association of the Philippines Inc. (CTAP) warned of a potentially over 30% increase in their current service rates as fuel prices continue to rise, which also triggers a spike in other operating costs such as vehicle maintenance supplies.
“We will be requesting a 30% increase on the current rate,” CTAP president Maria Zapata said in an interview over news network GMA, noting that this percentage hike still does not take into consideration this week’s fuel price hikes.
In an earlier interview over the 105.9 True FM youtube channel, Zapata also said that while their clients generally understand and agree to the higher rates arising from the impact of the Gulf crisis, they need to meet again as a group to discuss steps moving forward.
CTAP, an umbrella organization of truckers groups nationwide and is considered the biggest group representing the sector, was scheduled to have an “urgent emergency” meeting on March 18, according to its official Facebook page.
“The meeting will address possible collective actions and industry responses to mitigate the effects of rising fuel price,” states the notice.
Zapata said in her media interviews that the fuel crisis also means higher prices for their other operational requirements such as truck spare parts and lubricants.
She also warned that delays in the arrival of imported shipments could mean a temporary job displacement for some workers as there would be less cargo to transport.
“We want to find the best approach,” she said, although emphasizing that they see no immediate alternative solution given that about 50% of trucker’s expenses relate to fuel.
She also noted that unlike the public utility vehicle sector, truckers as private service providers are not, and have never been, included in government fuel subsidy programs.
READ: PUV fares rise by up to 19% with fuel price increases
Nonetheless, Zapata assured that they are working to ensure the continued flow of goods across the country, especially for basic goods such as food and critical products like pharmaceuticals, including maintenance medicines.
She said it is crucial for the government and the private sector to coordinate and work together as the current situation could have a very wide and complicated ripple effect on everyone.
The aviation and maritime sectors of the supply chain industry, both global and local, are also increasing rates for cargo.
Another group, the Alliance of Concerned Truck Owners and Organizations, earlier released a statement saying trucking firms are raising their rates or looking at stopping operations if the government does not address the spiraling price of diesel.
READ: Cargo trucks to raise rates or halt operations as diesel price spirals