Logistics costs rose up to 6.8% in February and accumulate a rise of 46% in the last 12 months

• CEDOL With Transportation Costs: 6.78%
• CEDOL Without Transportation Costs: 2.67%
• Urban Distribution With Companion: 4.02%
• Unaccompanied Urban Distribution: 4.53%

The indicator corresponding to 100% cargo transportation (Fadeac) rose by 7.16% in February, especially due to the influence of the 9.76% average increase in fuel for the country, the Compensatory Bonus of the Truckers and Related Union, and the value of the tires in another 6.06% additional to the practically 100% of the last 12 months, so did the rolling stock and the indicators of repairs and general expenses.

The same components hit Cedol’s indicators, especially that of Cedol with transportation costs, where fuel and labor have a great influence, but the values ​​of deposit rentals and stretch film have also moved up, although more slightly. affect both indicators

If we look at the accumulated year, the first two months and also the last 12 months, we see how operating costs are being affected.

Accumulated year 2022 Accumulated 12 months

Cedol with transportation 9.26% 46.20%

Cedol without transportation 3.67% 38.54%

Distribution with accomp. 6.17% 43.50%

Distribution without accompaniment 4.53% 45.33%

It is already in force as of March 1, 2022 and outside the aforementioned polynomials, a strong increase in the price of Labor corresponding to the balance of the parity of 40-89 year 2021 that will bring an increase in the most important indicators and assuming no other cost moves in the following order:

Cedol with transportation costs: 3.51%

Cedol without transportation costs: 6.09%

As we see again when observing the increases in the first two months of 2022 and the incidence that is already in advance for the month of March, we can observe that measured against the previous year, the increases are not decreasing but have been growing even more than in 2021.

Again as in previous months, when observing these annual indicators plus the comments mentioned about the increases already in force in February 2022 and that are not yet in the polynomial, we observe that in the last year they are not decreasing but on the contrary they have been growing even more. than in 2021 where there were absolute records of cost increases.

Other costs not contemplated

As every month we remember that the increases in the cost polynomials are due to measurable and transparent costs known throughout the logistics operations market. There are a series of hidden costs that are difficult to measure in order to integrate a polynomial but that also affect the costs of doing logistics, for example, remember that logistics companies have worked with idle capacity below the usual operating margins in the sector ( warehouses, equipment, vehicles, automation, square meters,) a situation that has partially reversed in the last six months.

In addition, the evolution of the cost polynomials is regularly reported once the month is closed, so that the application of the new rates that arise from the Index is carried out at the end of the month, (a clear example of the aforementioned cost of fuel and labor). work) which originates an economic and financial cost that is not reflected in the indicators.

In this case, we are anticipating the minimums that the March 2022 polynomials will give only due to the effect of the increase in the workforce of the 40-89 agreement corresponding to 2021.

On the other hand, it is also necessary to mention the costs arising from this resurgence of infections of the Covid-19 and Omicron variant that caused significant absences and their replacement by alternative personnel, especially during January and the first days of February 2022.

The objective of these indicators is to reflect monthly the variations of all logistics costs, with the exception -precisely- of the non-productivities that are usually generated by causes external to the logistics operators. Its publication, with the complete components, can be consulted on the chamber’s website: www.cedol.org.ar.