A Practical Framework for Evaluating Hauling Costs

Abstract

This study demonstrates the use of an Excel program "Routechaser" to assess the effects of tract location, vehicle operating parameters, operating costs and other physical and economic inputs on the costs of transporting wood products from roadside to mill. The application chosen, a comparison of the effects of trucking costs from four tracts in Oktibbeha County, Mississippi, to eight markets, demonstrates that for forestry, as for any other real estate, value is a function of location. This is especially true if forest management is directed toward lower valued commodity products. Trucking costs were most restrictive on pulpwood, essentially eliminating many markets for several of the tracts. Trucking costs eliminated one market for all quadrants, another market for three, and three markets for one quadrant each.

Costs and Challenges of Log Truck Transportation in Georgia, USA

“…They also found that operating used log trucks reduced hauling costs by approximately 25%. Compared to the analysis by Grebner et al [9], this analysis assumed a longer financing period and lower interest rates. In addition, the cost of fuel, driver wages, insurance, and most other cost components were higher in 2017 than during the study by Grebner et al [9].…”

“…Grebner et al [9] found the estimated cost of delivering timber with new tractor-trailers exceeded the rates paid. They also found that operating used log trucks reduced hauling costs by approximately 25%.…”

“…State, county, and federal weight policies have a major impact on transportation costs. In a case study in Mississippi, reducing weight limits by 6.3 t increased hauling costs by USD $2.38-7.68 t −1 depending on truck age and haul distance [9].…”

Policy Recommendation from Stakeholders to Improve Forest Products Transportation: A Qualitative Study

“…Concerns regarding higher costs associated with forest products transportation have led to several studies in forest operations including analysis of wood products hauling costs [8][9][10][11]; increasing efficiency in transportation [12][13][14][15]; and survey analysis of logging and transportation sectors [16][17][18][19][20]. Similarly, there are research studies utilizing qualitative methods, such as semi-structured interviews, to comprehend views and opinions of experts [21,22].…”

Evaluating Profitability of Individual Timber Deliveries in the US South

“…Conrad [11] found that timber transportation was often unprofitable over the course of a year. Grebner et al [28] evaluated individual haul routes from one county in Mississippi to eight markets. Their study found that the cost of delivering timber using new trucks exceeded market haul rates.…”