The cost of moving a truck to transport goods within Argentina grew 2.7% in September. This figure is the second lowest so far in 2024 in land cargo transportation and shows a very marked downward trend since this year had started with 20.6% in January.
With the September result, the accumulated cost increase so far this year it amounts to 75.5%. In the same period of 2023 had been 113.8%.
However, the slowdown in cost increases It’s not entirely positive news. for companies in the sector.
The Argentine Federation of Freight Motor Transport Business Entities (FADEEAC), warned that behind these figures a complicated situation underlies which has to do with the sharp drop in economic activity
And on the other hand, it is also explained by a political decision of the Government that delays the update of transportation and logistics costs: “The continuous deferrals in the application of specific taxes on fuels They are a decision that once again moderated further increases in diesel, the most important input in the costs of the activity,” said the Federation.
Now everything is heading to a cumulative update from Novemberwhich can represent a negative impact on the costs of the sector.
According to decree 863/2024 that was published in the Official Gazette on September 30, “the total increase in the tax amounts referred to in the first paragraph of this article that results from the updates corresponding to the fourth calendar quarter of the year 2023 and the first calendar quarter of the year 2024 and the one that originates in the update corresponding to the second calendar quarter of the year 2024in the terms of article 7 of the Annex to Decree No. 501/18, will take effect with respect to unleaded gasoline, virgin gasoline and diesel, for taxable events that are perfected from November 1, 2024, inclusive”.
Businessmen still live with the bad memory of the cost increase figures they suffered during 2023. Last year, December recorded a variation of 28.2% in the Transportation Cost Index (ICT), which was the most high in the last 30 years. This is how the annual accumulated of 2023 reached the record of 247.6%.
This year, the monthly variations They are still very far from those percentagesbut there are factors that worry businessmen. In addition to the pending tax update that will have an impact in November, there was one item that is increasing at a significantly higher rate than the rest: the tolls.
These services regulated by the State increased 4.5% in September and They accumulate 321.5% over the course of the year. It is currently the item with the greatest increase during 2024 in the Index prepared by Fadeeac.
Business concern about these adjustments was already expressed last April, when the Government authorized a first adjustment of 200% in toll values. At that time, Roberto Guarnieri, President of Fadeeac, noted: “An increase of such magnitude based on December 2023, when the last update was made, it is doubly incomprehensible: firstly, due to the precarious situation of the routes, characterized by insufficient maintenance and as a result, an increase in accidents, and secondly taking into account the disinflation process that the current national administration intends to carry out.” , said.
The voice of the Argentine Federation of Freight Motor Transport Business Entities has broad representation in this activity: it has 43 base chambers in Argentina that They bring together 80% of motor transport SMEs of the country. It is made up of approximately 155,000 trucks with trailers, which encompass more than 10,000 companies.
Increases in transportation costs, item by item
The Transportation Cost Index (ICT) -prepared by the Argentine Federation of Freight Motor Transport Business Entities (FADEEAC) and audited by the Faculty of Economic Sciences of the University of Buenos Aires (UBA)- measures 11 items that directly impact the costs of freight transportation companies throughout the country, and are a reference to a large extent for setting or adjusting rates in the sector.
The September data was among the smallest increases of the last five months: 2.45% in May; 4.66% in June; 4.23% in July and 3.28% in August.
The items that increased the most in the month were Financial Cost (5.10%), Tolls (4.54%), taking into account the monthly increases in both the national corridors and accesses to the City of Buenos Aires, and Personnel-Driving (4.09%), with the entry into force of the first installment of the current CCT 40/89.
The rise of Fuels (2.30%), both in the retail and wholesale diesel segments, Repairs (2.87%) and Overheads (3.71%), contemplating the latter, variations in wholesale prices in services and rentals.
Then, they are located Insurance (1.55%) and Tires (0.37%), in a segment characterized by market slowdown, while Rolling stock showed a slight decrease (-0.26%).
Finally, Patentswhich is measured annually, and Lubricantsshowed no variations with respect to August.
Source: Ambito
