Lorry freight rates go up in Tamil Nadu from March 4

2021-03-05 17:35:31 Logistics News (Roadways & Railways)

The Price of Essential commodities is all set to witness a spike in Tamil Nadu as the State Lorry Owners Federation have hiked freight rates by 30 per cent from March fourth. The decision followed spiraling rise in diesel prices in the last two months.

The Lorry Owners Federation’s General Body which met in the state capital Chennai on March Third resolved to hike the rates with immediate effect. The new freight rates have come into vogue from March fourth.

The news rates are as follows. The per ton transportation costs have been increased by Rs 150 for distances below 100 kilometers and Rs 250 for distances above 100 kilometers.

A spokesman of the federation said the business is in a bad shape for the past few months due to spiraling price of diesel. Freight rates were revised about fifteen years ago but was reduced in 2017 when GST came into force in the country

To ferry goods from Chennai to Madurai the freight charge becomes Rs 1550 per ton from earlier Rs 1,300 per ton

To ferry goods from Chennai to Madurai, a distance of 500 Kilometers, the freight charged was Rs 1,300 per ton. It will now be increased to Rs 1,550 per ton.” The federation has over 300 members, representing associations of all light commercial vehicles, mini trucks, water tanker lorries, sand lorries, and the ones used to transport vegetables.

Truckers rued that the Centre had not made any efforts to control fuel prices

Truckers rued that the Centre had not made any efforts to control fuel prices, and they were forced to transfer the financial burden on people. The truckers demand that fuel prices should be brought under the purview of Goods and Services Tax to prevent oil marketing companies to hike prices at will and central and state governments vying with each other to levy tax on fuel.

The Transport Ministry’s move to permit extra loading by 25 per cent was initially hailed as it would substantially reduce the logistics cost, had also hurt the industry. The decision to increase carrying capacity without making structural changes in the vehicles body has damaged vehicles. The tyres often got burst while the maintenance cost went up by 25 per cent.

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