Trinity Logistics is proud to announce its earned spot on Transport Topics’ 2022 Top Freight Brokerage Firms List for a 20^th consecutive year. Trinity earned spot 22 on this list of 100 top freight brokerages. Companies are ranked based on gross revenue, so it means a lot to Team Trinity to see such a high ranking, showcasing the impact we’ve been able to make on the lives of customers and carriers within supply chains. 

“This ranking continues to show Trinity’s strength and determination on serving our shipper and carrier customers with our customized logistics solutions,” says Sarah Ruffcorn, President of Trinity Logistics. “Team Trinity works hard to continue to grow and strengthen our shipper and carrier relationships, to simplify logistics, and ultimately, to provide an excellent Trinity experience. Earning this recognition continues to show we are rising to the ongoing supply chain challenges, and are serving our customers well. Thank you, Transport Topics, for the recognition. We’re honored to have made it another year on the list – #22!”  

It’s easy to see why Trinity continues to earn recognition such as this based on the feedback we hear from our relationships.

“As a carrier, it’s always a pleasure working with Trinity Logistics. The loads are as described, the broker that I work with is responsive, and payment for our services is on time. Thanks, guys!” – H.F. Williams Transport, LLC

“Working with Trinity has been very great so far. We have been working on moving some oversize loads and the patience and professionalism along with providing all information and answering millions of my emails is just amazing. No doubt in my mind that we will continue working together in the future as well.” – Sekula LLC

Trinity’s parent company, Burris Logistics, has ranked number 15 on Transport Topics’ Top 100 Logistics Companies List and number 5 on their Top Refrigerated Warehousing List. 

To see the complete list, visit Transport Topics.  

About Trinity Logistics

Trinity Logistics is a Burris Logistics Company, offering People-Centric Freight Solutions®. Our mission is to deliver creative logistics solutions through a mix of human ingenuity and innovative technology, enriching the lives of those we serve.   

For the past 40 years, we’ve been arranging freight for businesses of all sizes in truckload, less-than-truckload (LTL), warehousing, intermodal, drayage, expedited, international, and technology solutions.  

We are currently recognized in the Top 20 freight brokerages on Transport Topics’ Top 100 Freight Brokerage List, an Inbound Logistics top 100 3PL, and a Certified Great Place to Work ®.  

It’s produce season. That time of the year when produce shipments are at their peak and so are produce shipment rejections. According to DAT, up to 12 percent of shipments are rejected or delayed. Produce shipments are most often rejected because of the complexities of fresh food logistics. Because of their perishability, they are more likely to experience damage in transit due to improper handling, temperature variances, or delays. 

A produce shipment rejection can cause lost time, added fuel and shipping costs, wasted product, and sometimes even a strained relationship with your customer. In addition, these rejections can cause a domino effect of added issues, costs, paperwork, and make everyone’s day longer than it needs to be. Yet, with attention to detail, planning, and effective communication, you can prevent produce shipment rejections and manage your costs. Here’s some advice on preventing shipment refusal during produce season.

REASONS TO REJECT PRODUCE

With fresh produce being on average, 90 percent water, it’s a volatile product to ship. It can develop issues at any stage, during growth, harvest, storage, packing, or shipping. This makes the logistics of shipping produce that much more complicated. As a result, there can be many more reasons for produce shipment rejections to happen. So, what are some reasons for a produce shipment rejection?

Paperwork Errors/Wrong Product

The Bill of Lading (BOL) must match the shipment delivered. When the receiver checks the BOL to verify the purchase order (PO) number, skid, case count, and weight of the freight delivered, and it doesn’t line up, then the shipment may be rejected. This could happen for several reasons. For example, the product could be what they asked for but the wrong amount, or the product could be completely different. However, any discrepancy between what they ordered and what arrived will mean a rejected shipment.

*Important to note: A produce shipment should not be rejected if there is less than 50 percent of the product short or damaged.*

Pallet Configuration

Some customers require that the product arrives according to their specific guidelines for packaging. If their requested guidelines are not followed, or anything shifted, fell, or ripped while in transit, then they may refuse the shipment.

Improper Temperature Range

Maintaining integrity and freshness is serious when it comes to a perishable product like produce. If your produce shipment falls out of its needed temperature range, even by one degree, the receiver may reject your shipment. Unlike other types of freight, the chance for spoilage with produce is too high, so a receiver won’t often take on the liability with any temperature variances.

Delivered Late

Often, retail and grocery distributing centers operate on tight schedules, so a delay could impact their other appointments. Unfortunately, this means they rarely make exceptions when it comes to late shipments and your produce will be rejected.

Equipment Issues

The trailer could have been unable to keep the temperature in the range needed for your produce shipment or perhaps the trailer was not washed thoroughly before loading. Maybe the carrier showed up with a van and you needed a refrigerated trailer. There are several issues in which the trailer your shipment is delivered in can have the receiver refusing your product.

Reasonable Time to Reject

One important thing to know about produce shipment rejections is that there is a reasonable time for the receiver to reject the shipment. When shipping by truck, the receiver must not exceed eight hours to inspect and reject. When shipping by rail, the receiver must not exceed 24 hours to inspect and reject.

AS A SHIPPER, WHAT TO DO WHEN PRODUCE IS REFUSED

Many issues associated with rejected produce shipments can often be resolved quickly with extra communication and planning.

You’ll first need to figure out why the receiver rejected your produce shipment, so start with asking your receiver that. Ask for pictures showing any damage and a copy of the BOL. Next, ask for the report by the USDA inspector or another qualified individual, as it’s required for the receiver to have the shipment inspected, note any issues, and detail what the cause of damage was. Additionally, ask your carrier for a reefer unit download or a temperature recorder download so you can see if there were any temperature fluctuations during transit.

If you’re considering filing a cargo claim, you must know that cargo claims for produce will only be paid for proven physical damage.

Now, if a produce shipment is rejected and not unloaded, there are a couple of options for you to try to recoup the loss. You can reroute the shipment to a different facility that will accept it, donate the shipment, or have the carrier dispose of it. Regardless of which option you choose, you are responsible for handling where the shipment will go next.

What are any secondary markets the produce can go to if messed up? What’s the disposition? You’ll be the best resource for the area’s market. Be familiar with your shipping lanes and the secondary markets within your location to best salvage the produce if refused.

Secondary Facility

As long as your produce is still safe for consumption and solely rejected for the way it looks, you might be able to sell the shipment to a secondary facility. For example, a sauce maker or a french fry company might be willing to buy a shipment of tomatoes or potatoes that are still edible but visually unappealing.

Donation

It can be possible to reuse a rejected produce shipment through local donation, though there are still high standards for products if donated. Any food and beverage products donated must be safe enough to consume. Donations can be optimal as your produce can still be used, and you can receive tax credits for your donation.

Disposal

If your produce shipment is rejected due to a temperature violation or clear spoilage during transit, disposal may be your solution. When your produce is determined to be unsalvageable, it may be best to dispose of it. Although the other two options are better for the environment and your bottom line, it’s sometimes a necessary evil to dispose of the product. While recycling and reusing are ideal, they may not be workable due to compliance and safety standards. One of the benefits of disposal is that scheduling disposals are often quicker than scheduling to another facility.

Maintaining a Good Customer Relationship

Shipment rejections can stress even the best relationships. It’s best to keep in mind that you are in it for the long haul and produce shipment rejections that can happen even to the best of shippers due to its complexity.

It’s best to acknowledge the rejection, replace the product as soon as possible, and find the source of the issue to help reduce the chance of another produce rejection happening anytime soon. Take ownership of the problem and control of your shipment so you can manage your money from the salvage. Taking control over the disposition will help you maximize your return, reduce claimed damages, and reduce your risk of customer relationship loss.

While these are all great solutions for handling produce shipment rejections, it’s ideal to prevent them in the first place. For companies looking to focus on their bottom line, it’s important to know all necessary prevention measures for produce shipment rejections and plan for when they do happen.

PRODUCE SHIPMENT REJECTION PREVENTION

Paperwork and Communication

The first step to preventing produce shipment rejections is to have your paperwork and communication in order. Your agreement must be clear on the condition of the produce your buyer will receive. Being able to present your buyer with evidence that your produce is safe and of the quality you stated it’s in before transit will prevent most cases of rejection.

Communication with your buyer and your logistics team on how your produce is being handled before loading, during loading, and during transit must be done effectively and properly. This is especially crucial because of the Food Safety Modernization Act (FSMA). Be sure to provide photos, diagrams, or any other examples of proper pallet configuration to your warehouse and trucking partners. This kind of communication will help them pack and load your freight correctly from the start.

Carrier Selection

Produce shipments, especially during produce season, often pay a lot. This means you’ll have a lot of carriers bidding to haul for you. Therefore, quality carrier selection and additional insurance requirements, like reefer breakdown, are crucial aspects to prevent rejected produce shipments.

Make sure you confirm with your motor carrier that they are both authorized and experienced to haul your produce.

Additionally, make sure they understand all your shipments requirements, including FSMA. For example, do they need washout receipts? Do they have a good quality truck, updated trailer, or a quality reefer? Do they have or need temperature-monitoring devices or other technology to ensure the temperature is controlled and the cold chain uninterrupted? Can they pull a reefer download if required?

By finding a quality carrier and building a strong relationship with them, you’ll gain a dependable carrier to use regularly. This can help you reduce any transportation-related issues that could later result in a shipment rejection.

Loading

Don’t Overstack

When it comes to produce season, the number one cause of claims that we see comes from over-stacking your boxes or bins of produce when loading them onto the trailer. An example of this would be triple or quadruple stacking your boxes when they need to be double-stacked. While this depends on each shipping location, not all may be aware that each box has a maximum capacity it can withstand and not damage your produce. You need to know the weight-bearing amount of your boxes so you can place no more than that. When you over-stack, it’s will increase the risk of your produce getting squished and damaged. Certain produce can be very fragile, like berries, tomatoes, asparagus, or bananas. They tend to bruise easily, so single-stacking boxes are even more ideal for them.

No Hot Loads

Industry experts say that as much as 32 percent of all cargo is loaded at the wrong temperature.

This is often due to poor loading practices, like loading from a hot field. When it comes to produce, loading from a hot field is a HUGE NO. This causes the driver to start traveling with your produce at the wrong temperature, which puts compliance and financial pressure on carriers, as the load is at a high risk of spoiling. Your produce should be safely brought down to its required transit temperature before loading to prevent any spoilage.

Have the Proper Equipment

While this may seem silly, it still needs to be said: If a motor carrier shows up with a dry van and your produce requires a refrigerated trailer, DO NOT LOAD. While losing some time or causing a bit of a delay is not ideal, it’s better to have the proper trailer needed to keep your risk of shipment rejection from spoilage or damage low. Additionally, make sure your carrier’s refrigerated temperature monitoring system has the proper temperature, date, and time set. If there is a rejection due to temperature variance and the date and time are wrong, you’ll take the blame due to current regulations.

When it comes to your motor carrier and loading, it’s also ideal to allow them to inspect and pulp your product before loading. They have the right to do so, and the opportunity can give your carrier the confidence to haul your product safely. It also helps build a strong and loyal relationship, while helping you gain more insight that your product is okay before it’s in transit.

Keep Clean of Debris

Another way to help prevent produce rejections is to have a shipping platform that can be cleaned without leaving any splinters or debris in vehicles. Food-grade plastic pallets are ideal for solving many hygiene issues while helping reduce product damage during transport. Unlike wooden pallets, they don’t splinter or leave behind debris, and their nonabsorbent surface can be easily cleaned and dried.

Transit and Delivery

As mentioned during loading, make sure you have a way to track temperatures throughout the shipment and be able to receive notifications in real time. By getting early warning signs of issues, temperature variations can be quickly detected and dealt with right away instead of learning about them later at delivery.

Additionally, make sure you have a qualified inspector on-site at delivery. This will help should the receiver decide to reject your produce shipment to determine if your product is salvageable for you to recoup costs.

Before transit, it’s best that you set up the potential for rework facilities to accept your produce should the receiver refuse it. Talk to nearby receiving facilities to establish accounts, processes, and pricing ahead of time. This way, if there has been some visual damage or slight shifting, it can quickly reroute to the other location and be reworked, being proactive rather than reactive. This is especially important when it comes to produce since time is of the essence.

HAVING HELP

Produce shipment rejections can be complex and confusing at times. This is where working with a third-party logistics company (3PL), like Trinity, can come in handy. We have Teams to help you with the prevention of rejections as well as when one does happen.

Carrier Compliance

Our Carrier Compliance Team is here to vet our carrier network and make sure they have what you need to get your shipment delivered safely. Not only do we have a rigorous vetting process, but depending on your shipment requirements, we’ll make checks for extra insurance needs like reefer breakdown and make sure they are FSMA compliant. 

Claims

No matter how prepared one can be, unexpected things can still happen. Shipments may get refused and so that’s why we have a Claims Team here ready to assist you. It can be a real lifesaver to have a Team of certified professionals to help take the stress out of the claims process. Should it be needed, our Claims Team will help you start the process, be there to track progress, and assist until a resolution is met between all involved parties.

DON’T GO THROUGH PRODUCE SEASON ALONE

With proper prevention, compliance, and planning, produce shipment rejections can become less of a thorn in your side during produce season. Even still, they can and will happen at times. Make sure you’re ready and have the support you need by working with an experienced provider such as Trinity.

You’ll have the advantage of working with and trusting our risk departments, who work hard to help mitigate any risk to your shipments. In addition, you can trust that each of our carrier relationships is properly vetted for things like reefer breakdown coverage. Should you need it, you’ll have a whole Claims Team ready to help you sort through any unexpected shipment issues.

Gain the support you need to navigate the complexity of produce season with less stress.

Trinity Logistics is proud to recognize Hayley Dobson as one of the Women in Trucking Association’s (WIT) “Top Women to Watch in Transportation.” Dobson holds the title of Group Vice President at Trinity and has been with the company for 18 years. 

Each year, WIT’s editorial staff for Redefining the Road magazine recognizes these individuals for their career accomplishments over the past 12 to 18 months, and their efforts to promote gender diversity. 

“Despite the many challenges the last few years have brought, Hayley has responded with ingenuity, courage, and determination,” said Trinity’s President, Sarah Ruffcorn. “We are thrilled Hayley has been included in WIT’s 2022 Top Women to Watch.”  

Throughout her years at Trinity, Dobson has risen through the ranks, beginning as a dispatcher, and now serving as the Group Vice President, overseeing all of Trinity’s Regional Service Centers. Her strategic thinking and continuous review of processes have helped to ensure Trinity provides the best service to carriers, shippers, and Team Members.  

Additionally, Dobson uses her own experience and skillset to ensure other women have access to both leadership training and leadership opportunities within the company and industry. Trinity Logistics is proud to have Dobson as an integral part of its Team and Executive Leadership. 

About the Trinity Logistics  
  
Trinity Logistics is a Burris Logistics Company, offering People-Centric Freight Solutions®. Our mission is to deliver creative logistics solutions through a mix of human ingenuity and innovative technology, enriching the lives of those we serve.   

For the past 40 years, we’ve been arranging freight for businesses of all sizes in truckload, less-than-truckload (LTL), warehousing, intermodal, drayage, expedited, international, and technology solutions.  

We are currently recognized in the Top 20 freight brokerages on Transport Topics’ Top 100 Freight Brokerage List, an Inbound Logistics top 100 3PL, and a Certified Great Place to Work ®.  

The chemical industry serves as support for many other industries, like agriculture, automotive, construction, and pharmaceuticals. According to an American Chemistry Council report, 96 percent of all manufactured goods trace back to chemical manufacturers. Chemical manufacturers often process raw materials into refined products used in other industries or within the chemical industry. However, raw materials costs have been rising recently, along with additional operating costs in the chemical industry.  

As chemical manufacturers face increased expenses, many find it more challenging to remain profitable. How can chemical manufacturers better manage their operating costs? In this blog, we’ll take a walk through what chemical manufacturers are currently facing and how they can better manage their operating expenses.  

Rising Raw Material Costs 

Raw materials costs have been rising in recent years. Part of the cause for increased prices is because they’ve gotten scarcer as the demand has risen for them. For example, raw agricultural materials have increased 117 percent since 2000, rubber has seen an increase of 359 percent, and steel is up 167 percent.  

Crude oil, which many chemical companies use for energy and other materials, is up 250 percent since 2000. Crude oil prices are the most important ones to watch because it affects so many different markets. For example, many basic ingredients originate in the oil and gas fields and then travel through a global supply chain to make materials like plastics, packaging, fertilizers, lubricants, paints, and much more. Additionally, higher energy costs mean higher operating costs for the chemical industry.  

Logistics Operating Costs in the Chemical Industry 

The strength of long, global supply chains continue to be tested. From the start of the Covid-19 pandemic to battling intense weather and labor shortages, prices for logistics operating costs in the chemical industry have skyrocketed. Chemical supply chains have had their weaknesses exposed, from their dependence upon the volatile oil and gas sector to their global shipping networks. It’s caused additional cost as many of the materials needed to operate are out of stock due to shipping congestion and backlogs. According to a survey done by the National Association of Chemical Distributors, 85 percent of chemical industry distributors reported at least one imported item out of stock. 

How to Better Manage Operating Costs in the Chemical Industry 

Interestingly enough, skyrocketing logistics costs are beginning to outweigh other operating expenses for chemical manufacturers. Finding better management and control in your logistics may be the thing to keep your chemical company cost competitive. As a result, a growing trend among chemical manufacturers is turning to outside help for their logistics. Many chemical companies find that using a third-party logistics company (3PL) makes a lot of sense. It helps them free up resources to focus on other aspects of their business. Here are some ways working with a 3PL can help you manage your operating costs.  

Find the Right Carrier – In Less Time 

We all know the stress and workload of finding a carrier to move your freight, especially for chemical manufacturers who need carriers that know how to handle their products safely. Capacity can be limited when looking for a hazmat certified, or tanker endorsed carrier for a decent shipping rate. Outsourcing your transportation is one solution to that problem.  

3PLs will take over the responsibilities of finding and vetting qualified carriers. A 3PL should make sure carriers have the proper credentials, insurance, and experience for your freight. Take control of your time and let someone else take on the workload so you can gain time for the rest of your business.  

Create Efficiency With A 3PL’s Technology 

Working with a 3PL also offers you access to their technology services, like shipment tracking, automated workflows, and detailed reporting. By replacing your manual processes with logistics technology, you’ll find more visibility into your supply chain. And that visibility can help you find efficiencies to help you manage your operating costs. While the technology itself can be an extra cost alone, most 3PLs offer you technology applications along with freight arrangements. Additionally, you’ll have experts you can rely on to help you navigate those applications.  

Transportation Management Systems 

All chemical companies are focusing on streamlining their operations, whether they choose to outsource their logistics or not. Many companies are turning to transportation management systems (TMS) to optimize their transportation networks. 

A TMS can help your business gain visibility into your supply chain, create new efficiencies, and automate your manual workload, so you can better manage operating costs.  

When using a 3PL, you often have options to choose how you want to integrate your TMS. Trinity Logistics offers you customer integration and a specialist to work with you every step of the way. No matter what option you choose, you gain the visibility and automation you’re looking.  

Control Your Logistics Costs 

In business and life, there are certain aspects that you can manage and control. As a chemical manufacturer, you must manage those costs that you can control and plan for those variances in costs for those you cannot. Logistics is one operating cost you can manage when you choose to partner with a 3PL.  

And you don’t have to look too far to find one. Trinity Logistics is well-versed in the chemical industry and understands your complicated market. Our Team of experts is here to help you find the quality carrier you need while offering technology to help you create efficiencies. We can help you gain control over your logistics costs, so you can make room for those other unknowns.  

If you’re ready to get a handle on your operating costs in the chemical industry, let’s get connected.  

Author: Christine Morris

There’s been a lot thrown at supply chains lately. The up and down Covid-19 surges, material shortages, increased consumer demand, and more. And we can’t forget to mention other factors like the new covid variants, port congestion, and dock delays.  

Many of you might be wondering what Trinity is doing to stay agile during these supply chain bottlenecks. Let’s first quickly dive into what the supply chain is currently facing, and then we’ll go into how Trinity keeps moving forward.  

Current Supply Chain Bottlenecks 

Labor Shortages 

I’m sure you’ve heard and seen all the effects of the labor shortages today. Whether the companies are big or small, or in fast-food or logistics, every single industry is facing this issue. 

Over the past 22 months, businesses have been hit hard with workers’ pandemic-related absences. According to an analysis from the Integrated Benefits Institute, these absences have cost employers more than $78.4 billion. That’s nearly $1 billion every week. 

Along with this, the new omicron variant is leading to more staff shortages as people take sick leave and suppliers navigate new restrictions. This includes factoring in China’s zero-COVID strategy, which is likely to continue to disrupt both production and transportation of goods, possibly for the entire year.  

However, backorders in many sectors have been filled, but consumer demand may well be cooling now that furloughs have ended, and interest rates are beginning to rise. So, some companies might end up with an oversupply of goods after everything is said and done.  

While some people thought that these issues would stay in 2021, the start of 2022 is showing no signs of slowing down these disruptions.  

The beginning of this year has been filled with high levels of return volume from the holiday season, along with the suspension of air on-call pickups for packages. All these issues are mixed effects from weather, omicron, labor shortages, and more.  

Struggling to Keep Shelves Full 

A direct effect of the worldwide labor shortages is businesses struggling to keep shelves stocked. While Covid-19  rampages across the country, it’s not just healthcare and hospitality businesses feeling the effects. Grocery stores are getting gut-punched by the virus as well. 

Product shortages have been widespread throughout these 22 months of the pandemic. These shortages have varied in many different products, from toilet paper and hand sanitizer to different types of meat to even bread and soda. As a result, empty shelves have returned at supermarkets as grocery employees call out sick and truckloads of food arrive late.  

While all companies feel the effects of empty shelves, shipping companies, like FedEx are especially struggling with on-time delivery of packages and products due to the massive truck driver shortage nationwide. Unfortunately, the only solution currently for these issues is time.  

Ongoing efforts are continually in use to increase the recruitment and retention of truck drivers to combat these supply chain issues and stop bottlenecks from occurring.  

Struggling Imports 

Port congestion and backup is another huge issue facing the logistics industry and the entire world right now. Ports worldwide are seeing high wait times and a lower percentage of on-time delivery. In addition, many containers and ships are forced to dock and wait until they can be unloaded due to labor shortages.  

Although many different countries are facing this congestion and delay, no other is struggling more than China. Covid-19 flare-ups in China are straining supply chains as authorities tighten movement restrictions in various cities to stamp out the virus. 

Ningbo, a port city of around 8 million, is dealing with a partial lockdown. Its Beilun district has been especially hard hit, and that’s spelled major problems for the shipping industry. According to The Loadstar, “Many truckers live in Beilun, and there are complicated Covid-19 control policies there, so it’s extremely difficult to bring containers in or out.”  

With the Chinese New Year approaching, some cargo has been rerouted to the Port of Shanghai, which is already congested, The Loadstar reported. In addition, many smaller shipping services providers have already suspended operations this year ahead of the holiday, which starts on February 1^st.  

No Signs of Slowing Consumer Demand 

As of right now, however, demand is stronger than ever and shows no indications of an immediate post-holiday crash. As a result, changes on the demand front are likely to be slow and steady, leading to gradual market shifts over the next several months.  

Combined data from the OTVI and the OTRI indicates that accepted volumes were up three percent year-over-year in early December. Additionally, tender rejections are currently down about 25 percent year-over-year. Rejection rates are at their lowest levels since July 2020.  

Decreasing tender rejections indicates that freight is being moved at contract rates, which is a hopeful sign for shippers. Still, with a rejection rate of over 19 percent, strong demand and constrained capacity continue to stress the market.  

Unfortunately for shippers, spot and contract rates have continued to climb as demand surges, shortages drag on, and peak retail season continues. In early December, dry van spot rates rose to $3 per mile for the first time ever. Likewise, dry van contract rates reached an all-time high – $2.96 per mile – simultaneously, according to Arrive’s December market update. 

Shippers that can create more flexibility in their transportation strategies will fare best as conditions gradually improve in the upcoming year. Moving away from annual RFP’s in favor of shorter contracts, one-way shippers can take full advantage of any upcoming rate drops. While these shippers are also exposing themselves to slightly more risk in the event of unexpected rate hikes, taking a chance might pay off in 2022. 

How Trinity is Here to Help 

Keep You Updated 

At Trinity, we make sure we keep you up to date on all the industry’s information and news. We provide: 

• our monthly freight market updates 
• weekly news updates 
• monthly customer newsletters with industry-specific updates,  
• communications from your representative.  

Giving You The Trinity Experience 

Along with giving up-to-date news and information regarding every industry, we are also here to provide you with exceptional service and communication, especially when facing these bottlenecks. 

Hear from some of our Team Member Experts on how Trinity is staying agile during these times: 

• “Labor Shortage at the shipper or receiver due to COVID outbreak and/or protocols – day of pickup or delivery. Not a whole lot we can ‘solve’ but providing everyone involved with a friendly, calm, timely, communication goes a long way. We often talk about drivers but one area of our industry that seems to get less press are those shippers/receiver teams. The good ones are gold baby!” – Benjamin Bowne, Sales Executive 

• “I would echo Mr. Bowne’s assessment. Handling the conversations with carriers, customers, and warehouse alike with care and empathy goes a long way. Everyone has been impacted over the last year by the pandemic, it’s the experience that our overall Team provides throughout the transaction that has proven invaluable. This is echoed in the feedback we have received from all the parties throughout the pandemic. We care about what we do.” – Chad Eckland, Director of Sales 

• “We are being more agile by focusing on internal as well as external adjustments. A large percentage of our staff are working remote to avoid being short manpower due to illness. Those that are in person are participating in higher safety standards within each location. We are asking customers what are their Covid standards, when applicable, and how they are adjusting so we can conform to their needs. We are checking on trends for spiking locations across the U.S. to see how it will affect imports/exports and its affects of capacity in that area. This is a little harder to do but definitely on the radar. If a shipper/receiver is affected, then we prompt carriers to know what expected delays may occur while costing that into what we are offering carrier.” – Tony Austin, Director of Sales 

• “In addition to all the good points already mentioned, I would add that even though I always try to consider any and all viable solutions for my customers, I do a little extra now, because of the circumstances, to help educate customers on conditions, market changes, expectations, and challenges. In addition, I emphasize that I do look under EVERY rock to help them get their freight moved by leveraging all of the modes and resources we have available, as well as be thorough in understanding the factors to be considered in moving their freight (flexibility in dates, rates, modes?). I feel like we have more detailed and personalized conversations, and I provide an added level of insight to show customers that I am truly being a partner to help them through this difficult time.” – Kimberly Meadows, Sales Executive 

We Are Experts 

While this may be our first pandemic, after 40 years of being in this industry, it certainly isn’t our first season of supply chain disruption, high freight volumes and rates, or tight capacity.  

We are well versed and experienced in many different situations, and we know when and how to pivot quickly and keep business moving forward. We follow through on our efforts. When issues arise, we work until they are resolved and keep open communication every step of the way.  

We Help You Plan 

You can always use your Trinity relationship to discuss current and upcoming projects. This helps us give you things to look out for to keep your transportation aspect of business more stable and reliable.  

Having a solid relationship with an expert like Trinity will prove to be your largest asset no matter what supply chain bottlenecks you may face.

If your ready to get support in your logistics with Trinity Logistics, no matter what issue the supply chain has, lets get connected.

By: Christine Morris 

Trinity Logistics is proud to announce their 2021 Distinguished Providers of the Year. Trinity began their Distinguished Providers of the Year Award Program in 2020. The program was created to give Trinity Team Members a chance to recognize top providers within all the company’s transportation modes.

Distinguished Providers are selected carriers within the Trinity network that continue to support their customers and provide exceptional service, despite the continued challenges faced in supply chains set forth by the pandemic. Those awarded are well known amongst the company as providers that are highly valued partners for Trinity Logistics. 

Trinity Logistics thanks these carriers for their continued commitment and service, as they have become an integral part of the day-to-day operations.

2021 Distinguished Providers of the Year

“We are honored to recognize these Service Providers which were selected among Trinity’s deep book of relationship partners demonstrating consistent value to our Shipper Customers throughout 2021,” says Bradley Palmer, Director of Carrier Development and Pricing at Trinity. “Building upon years of experience with these partners, they each distinguished themselves among their peers when reviewing feedback from our Operations teams across the country. And with pride, Trinity Logistics presents its “Trinity Titan” award to three small fleets our Leadership was compelled to honor their dedication and grit hand in hand with our partnership.” 

In addition to the top providers recognized by mode, there is also the “Trinity Titan Award”. This specific award recognizes very small fleets within Trinity’s network who regularly dedicate their capacity and demonstrate uncommon value, or “grit” as we like to call it, throughout the year. This award is determined by a person of exceptional importance and reputation that stands out for greatness of achievement that reflects Trinity’s values. 

2021 Trinity Titan Winners

“I can’t believe we have closed another year and what a year it was,” says Hayley Dobson, Group Vice President at Trinity. “It will certainly be one not soon forgotten. We couldn’t have gotten through it with such success without the help of all our carrier partners. They are truly the lynchpin of the supply chain.   We had several amazing carriers to review and struggled to make final selections, but I believe the ones that rose to the top were a shining example of what a true partnership means. We are so thankful for the dedication and excellent service they provide day in and day out. 

Each of the winners will be presented with a crystal award to commemorate their success and achievement with Trinity Logistics. 

“Trinity’s Authorized Agents are grateful for the support and service of these Distinguished Providers,” says Greg Massey, VP of Agent Development. “Trinity’s Agent Team had the opportunity to work with several of these amazing providers and we are honored to have been given the opportunity to help nominate and select this year’s winners. Thank you for your commitment to Trinity and the exceptional service you provide us every day.” 

Trinity appreciates our contracted carriers with several other unique benefits and awards. Carriers within Trinity’s network can make use of a 1.5 percent QuickPay rate through TriumphPay, access to over 1,000 loads daily, and technology options that help make your job easier. To find out more about our great customer service and benefits to carriers, visit https://trinitylogistics.com.

About the Trinity Logistics

Trinity Logistics is a Burris Logistics Company, offering people-centric freight solutionsâ. Our mission is to deliver creative logistics solutions through a dynamic mix of human ingenuity and innovative technology, enriching the lives of those we serve. 

For more than 40 years, we’ve been arranging freight for businesses of all sizes in truckload, less-than-truckload (LTL), warehousing, intermodal, drayage, expedited, international, and transportation management solutions.

Trinity is currently recognized in the Top 20 freight brokerages on Transport Topics’ Top 100 Freight Brokerage List, in the Top 100 3PLs list by Inbound Logistics, and is named a Top Company for Women to Work for in Transportation by Women in Trucking.

Russ Felker, former Chief Technology Officer (CTO) of GlobalTranz, now joins Trinity Logistics as their CTO. 

For the past 30 years, Russ has been leading technology changes, not only as a CTO, but also as a founder and technology advisor, creating technology solutions for business problems. He’s worked with companies both small and large, international and national. No matter the industry, he’s always had a passion for using technology to improve customer experience and help companies allow their people to focus less on clicks and more on service. 

Russ says that Trinity’s core focus on company culture and people is one of his primary reasons for joining the company. He’s thrilled to begin working with Trinity to bring technology solutions that will create more ways for people to connect, build relationships, and improve efficiencies.

He finds his recent work at GlobalTranz and several other transportation companies has only heightened his interest in the industry and business.

“I’ve learned that in transportation, disruption and change is all around us,” says Russ. “I want to work with Trinity to put us right in the middle of it all. While that might sound scary to some, I want people to talk and know about Trinity as the company that brought positive, creative disruption to the industry. I know with this great opportunity, and the amazing people at Trinity, that we can do just that, together.” 

“We are excited to have Russ’s creative and intuitive talent join our executive team and lead our technology into the future,” says Trinity’s President, Sarah Ruffcorn. “He has a passion for creating excellent experiences for shippers and carriers that will help us take the Trinity experience to the next level.”

We are looking forward to the insight and experience Russ will bring to the business in its dedication to best-in-class experiences and technology initiatives over the next several years. 

To learn more about Trinity Logistics, visit https://trinitylogistics.com. 

About Trinity Logistics

Trinity Logistics is a Burris Logistics Company, offering People-Centric Freight Solutions®. Our mission is to deliver creative logistics solutions through a dynamic mix of human ingenuity and innovative technology, enriching the lives of those we serve. 

For the past 40 years, we’ve been arranging freight for businesses of all sizes in truckload, less-than-truckload (LTL), warehousing, intermodal, drayage, expedited, international, and technology solutions.

We are currently recognized in the Top 20 freight brokerages on Transport Topics’ Top 100 Freight Brokerage List, a Top 3PL and Cold Storage Provider by Food Logistics, and a Top Company for Women to Work for in Transportation by Women in Trucking.

Trinity Logistics, a Top 20 3PL and the freight brokerage division of Burris Logistics, has acquired Scottsdale, Arizona-based Team Eagle Logistics. Team Eagle Logistics will become Trinity’s seventh Regional Service Center, further expanding the company’s footprint to the West Coast, positioning for better service and carrier relationships in the Western 11 States.  

“We are so excited to have Team Eagle as our west coast Regional Service Center. Their commitment to providing excellent shipper and carrier experience, paired with their focus on growing through an empowered culture, makes them a fantastic fit with Team Trinity,” said Sarah Ruffcorn, President, Trinity Logistics.    

Team Eagle Logistics was founded in 2014 by Michael Gentile and Bill Grieder, with the mission to build and maintain lasting, intimate business relationships through industry-leading levels of service and communication. Since inception, Team Eagle has grown to revenues of $53 million annually. By joining the Trinity Logistics family, they will continue to offer relationship-based service and expand freight and technology offerings to their customers and carriers as Trinity’s Scottsdale RSC.   

“From humble beginnings to the rise of Team Eagle, our focus has always been on providing an unparalleled service where Integrity has been our driving force and competitive advantage in the logistics Industry. Our specialized Western 11 States focus coupled with the strength of the Trinity Logistics national presence will yield great benefits for our customers, truckload carriers, and employees. We are thoroughly excited to join the Trinity Logistics Family!,” said Michael Gentile, owner of Team Eagle Logistics. 

“Team Eagle Logistics has spent the last eight years building a dream from scratch. We have provided an opportunity for our employees, carriers, and customers to thrive and grow at a professional and personal level by offering our boutique-style methodology. This has allowed us to create an extensive network of providers in the 11 Western States. As we look to the future with Trinity Logistics, we have discovered many synergies within our people-centric approach and are blessed to become a part of the Trinity Logistics Team,” said Bill Grieder, Team Eagle Logistics.  

Trinity Logistics has been in the freight brokerage business for over 40 years and, as of 2019, is part of the Burris Logistics family. Trinity offers truckload, less-than-truckload, intermodal, expedited, drayage, international, warehousing, and technology solutions to businesses of all sizes. The Team Eagle acquisition brings greater coast-to-coast capability and enhances the Trinity Experience for shipper and carrier customers.   

“We are absolutely thrilled to welcome Team Eagle to our family! This will give Trinity a much-needed presence in the southwest and allow both companies to mesh our strengths to continue providing high-quality People-centric Freight Solutions® for shippers and carriers,” said Donnie Burris, CEO, and President, of Burris Logistics.  

Team Eagle will adopt the Trinity Logistics name and brand. For further details on the acquisition as well as recruiting opportunities for team members, carriers, freight agents, and other partners, visit https://trinitylogistics.com.  
 

About Trinity Logistics 

Trinity Logistics is a Burris Logistics Company, offering people-centric freight solutions ®. Our mission is to deliver creative logistics solutions through a mix of human ingenuity and innovative technology, enriching the lives of those we serve.  

For more than 40 years, Trinity Logistics has been arranging freight for businesses of all sizes, offering truckload, less-than-truckload (LTL), warehousing, intermodal, drayage, expedited, international, and technology solutions. 

Trinity is currently recognized in the Top 20 freight brokerages on Transport Topics’ Top 100 Freight Brokerage List, in the Top 100 3PLs list by Inbound Logistics, and is named a Top Company for Women to Work for in Transportation by Women in Trucking.  

 About Team Eagle Logistics 

Team Eagle Logistics (coined as “The Best In The West”) was founded in June of 2014 by Michael Gentile and Bill Grieder.  Since inception, our mission has been to build and maintain lasting, intimate business relationships through industry-leading levels of service and communication. At Team Eagle, our job has always been to make yours easier.  

You’ve finally decided it’s time to get some help with your logistics. You’ve heard about third-party logistics (3PL) companies and the services they offer having many benefits to those who use them. According to a report by Ibisworld, there are over 20,000 3PL companies in the U.S. alone. 

When looking to choose the right 3PL for your company, it all comes down to what you’re looking for. Whether you’re looking for one with advanced technology, great customer service, an extensive carrier relationship network, or perhaps an expert in your commodity, there’s sure to be one that makes sense for your business. 

Choosing the right 3PL is essential to ensure your company gets exactly what it needs for its logistics. With so many different 3PL companies out there, we wanted to offer you some information so you can choose the right one for your needs. In this blog, we take some of our competitors and compare them, as well as ourselves, so you can see how they differ. 

First Steps

First things first, to find the right 3PL for your company, here are some steps you can follow to ensure you choose the right partner:

• Research the different companies around.
• Begin establishing a relationship with these companies.
• Ask about the rates they offer.
• Look for any customizable capabilities the company offers. Is the technology customizable to your company’s needs?
• Keep an eye out for a provider that commits and strives for continuous improvement. Look for a 3PL that has networks of people and locations. 

Logistics Companies Comparison

We chose some well-known 3PLs to analyze for our comparison, including C.H. Robinson, XPO Logistics, Redwood Logistics, and ourselves. We’ll compare the different companies’ backgrounds, technology, and company culture to help you start your search for a 3PL provider. 

Background Information

One thing you should look into when researching 3PLs is their background. It’s important to find out some basic information about your potential provider, such as how long they have been in business, the number of locations they have, and their company’s mission.

C.H. Robinson 

• Founded in 1905 in Grand Forks, North Dakota
• A multi-billion-dollar company in the logistics field
• Headquarters are in Eden Prairie, Minnesota
• Has 297 office locations in 51 different countries
• Has no assets
• Mission Statement: “Our people, processes, and technology improve the world’s transportation and supply chain, delivering exceptional value to our customers and suppliers.”

XPO Logistics

• Founded in 1989
• Headquartered in Greenwich, Connecticut
• Has over 42,000 employees with 756 locations worldwide
• A billion-dollar company
• Has their own assets
• Mission Statement: “People, technology, assets, and expertise that work together around the globe to help our customers succeed.”

Redwood Logistics

• Founded in 2001
• Headquartered in Chicago, Illinois
• A multi-million-dollar company
• Has 225 employees with 15 locations nationwide
• Has no assets
• Mission Statement: “To bring energy and innovation to logistics and help businesses prosper in a high-demand world.”

Trinity Logistics

• Founded in 1979 in Cambridge, Maryland
• Headquartered in Seaford, Delaware, with eight office locations nationwide and over 120 agent offices in North America
• A Burris Logistics Company
• Is a multi-million-dollar company
• Has no assets of its own, but makes use of its parent company assets, Burris Logistics
• Mission Statement: “To deliver creative logistics solutions through a mix of human ingenuity and innovative technology, enriching the lives of those we serve.

Technology

Technology is a key aspect of the success of your logistics companies. Many 3PL companies provide different technology perks to help simplify your logistics processes. Let’s look at what these companies offer.

C.H. Robinson

C.H. Robinson offers technology applications for transportation management through their Global Transportation Management System (TMS), freight visibility, pricing, and analytics through Navisphere, planning through PO Management, and procurement through Procure IQ. They also offer carriers technology through their Navisphere Driver App. 

XPO Logistics

XPO Logistics offers a digital transportation platform designed to increase efficiency for their customer, called XPO Connect. This platform gives visibility into shipment status and helps streamline tasks through automation and digital sourcing of capacity. 

Redwood Logistics

Redwood offers their digital logistics platform called LPaaS. This stands for Logistics Platform as a Service and XPO make this the centerpiece of the company. This “open platform for digital solutions” highlights that LPaaS is the connection between logistics and technology to create a network that is efficient, cost-effective, and personalized for your logistics solutions.

Trinity Logistics

Trinity offers best-in-class technology for both shippers and carriers. Shippers can take advantage of Trinity’s Customer Portal to stay updated on their shipments, access or pay invoices online, or request new freight quotes easily. If looking for transportation management, shippers can find their own customized transportation management solution with Trinity, whether that be Integrated Outsourced, Managed, Software-as-a-Service (SaaS), or their own specific TMS solution. For less-than-truckload (LTL) shippers, there’s Banyan LTL to make shipping your LTL freight easier. 

Carriers have just as many technology options as shipper customers through the Carrier Portal, TriumphPay for quick and easy payments, and load booking features through DAT BookNow. 

Carriers and shippers can both take advantage of easy tracking technology options such as MacroPoint, Trucker Tools, and FourKites. 

Company Culture

One final aspect that you should learn about your potential 3PL company is its culture. You want to find a 3PL provider who aligns with your mission, as well as treats their employees right. We all know a happy employee equals great customer service!

C.H. Robinson

C.H. Robinson embraces their value through their E.D.G.E program; evolves constantly, delivers excellence, grows together, and embraces integrity. 

XPO Logistics

XPO’s values are inclusivity, safety, being entrepreneurial, being respectful, and being innovative.

Redwood Logistics

Redwood believes in environmental stewardship, social and workplace culture, and corporate governance. 

Trinity Logistics

At Trinity, culture revolves around a set of Guiding Values. Those are:

Teamwork: We listen. We collaborate. We solve. 

Integrity: We do the right thing!

Legacy: Our journey has a purpose.

Fun: Fun lives here!

Continuous Improvement: We aspire to reach our {untapped, full, greatest} potential.

Excellence: We challenge the status quo. 

Determination: We are persistent and unshakable in overcoming obstacles.

Leaders: We are all leaders committed to serving and empowering others.

Find What Works Best for YOU

Whether large or small, having many years of experience or few, or having multiple platforms of technology or just one, the best 3PL for your company is your decision alone. While we at Trinity would love to work with you, we know that the best relationships are built upon respect, equality, trust, and communication.

We hope this logistics company comparison helped you begin your research into your future 3PL provider. Make sure you find the right provider that aligns with your goals and will help you succeed. And if that provider happens to be us, we’re ready to provide you with our People-Centric Trinity Experience.

By: Turner Lee

Many companies and consumers are waiting and wondering, where are my goods? If you work in logistics, then you know exactly where they are. A significant number of ships are waiting outside of U.S. ports, carrying millions of dollars worth of goods ordered by Americans. What started as a binge in online ordering during the pandemic has had lasting effects on supply chains. There’s continued to be overwhelming demand, creating port delays which then caused higher shipping rates, newly created fees, and so many more issues brought to light among global supply chains. We’ve seen record-breaking highs of imports throughout the year and currently, there’s no end in sight. Many are trying to find solutions and put them into place to get out of this hole we’ve dug, but is it working?

PORT PROBLEMS

Before the surge of imports faced by the ports, containers would wait at terminals for up to four days on average before unloading and delivering to warehouses. For those delivering by rail, it would take less than two days. Now, the average for ships waiting is nine days, if not more. Some have waited weeks. According to reported data by the Port of Los Angeles on November 12th, the average time ships had to wait at anchor was up to 16.9 days.

Besides the growing wait times are the increasing number of ships that are stuck waiting. According to Marine Exchange,before the pandemic, ports would see no more than 17 ships waiting to dock. However, recently it’s been common to find upwards of a hundred or more ships lingering in the ocean near ports, waiting.

It doesn’t seem there is one particular problem that is causing these backlogs and port delays. Rather, many port problems are being highlighted.

Returning Empty Containers is a Struggle

One of the loudest heard complaints adding to the port delays is the struggle truck drivers and companies are facing in returning empty containers. In a survey by the Harbor Truck Association, 15 companies responded that they had a combined 4,251 empty containers sitting. Additionally, 86 percent of them were on wheeled equipment and the rest were in stacks. One motor carrier stated that they had been stuck with empty containers since August 31st because the terminal would not accept them.

Many motor carriers and importers say there are port delays and cargo not getting picked up because the port terminals don’t allow drivers to return their empty containers and make a swap. Meanwhile, the port officials are saying they first need to make room to be able to accept them. Additionally, these sitting empty containers are further adding to these port problems by creating a chassis shortage.

Where are the Chassis?

First off, if the term chassis is new to you, let me briefly explain what it means. The chassis is a special trailer used to carry and transport the ocean container over the road. They are needed for truck drivers to be able to haul and deliver these containers.

A short supply of these chassis is another problem causing the growth in port delays. Typically, a truck driver will go to the port to swap the empty container they have and retrieve a full one to deliver. However, when truck drivers are turned away from the port with their empty containers, they will often park them and the chassis, at truck lots. But, without the chassis and ability to make a swap, they then can’t go pick up a full container from the port. So, currently, most chassis in Southern California are sitting under empty containers, strewn across truck lots.

Simply No Space

Another reason for the port delays is simply a lack of space. Warehousing and truck yards have been so full lately that they have little room to receive a new container of goods. Local officials have indicated some shippers eager at avoiding extended delays, ordered their goods earlier for next year, essentially using the ports as a makeshift warehouse for the time being. And even with the recent implementation of 24/7 operations at the Southern California ports, the ports may be running 24/7, but the warehouses are not. There’s just not a lot of space to put all the containers.

Lack of Labor

The labor shortage has affected every industry, but the ports are having a tough time clearing out all the freight due to a lack of labor. A shortage of dockworkers and truck drivers is one reason for port delays. Being that two-thirds of the cargo at the two ports in Southern California is hauled by trucks, these terminals are saying that the driver shortage may be to blame.

Inefficient Appointment Booking

Others are blaming the ports’ outdated booking system for the growing port delays. Usually, truck drivers must make an appointment to return an empty container and pick up a full one. But with the surge of freight and no space, port terminals have placed new restrictions. Every terminal has its own set of rules on when and where containers can be returned and picked up. This even pertains to the color of the container. With no centralized database, truck drivers are making bets by placing multiple appointments at different terminals in hopes they’ll meet requirements somewhere and get to return an empty container. Yet lately, the marine terminal could decide last minute that the terminal is full or that they aren’t accepting a certain color container that day and turn the truck driver away, usually after they have already waited a while. Terminals are saying that there are more no-shows lately with the truck drivers, stating that they just don’t show up 50 percent of the time.

Too Much to Handle

What may be the biggest problem with the port delays is that there is too much freight to be handled. Gene Seroka, the executive director at the Los Angeles port recently told 60 Minutes that the entire system is overwhelmed with the tsunami of orders that are flooding in from Asia to the U.S.

There can be many reasons to attribute to the growth in port delays. With everyone pointing fingers, one of the questions is, how do we get everyone to take some time off from playing the blame game and instead talk through a plan to clear out the backlogs at the ports? Because until then, the number of ships waiting off the coast of the ports is repeatedly breaking record highs.

PORTS HITTING RECORD HIGHS

Los Angeles and Long Beach

The number of ships waiting in the San Pedro Bay to dock at the port of LA and the port of Long Beach broke the previous record of 87 ships on November 15th, according to cFlow. To put that into perspective, the number of containers on those waiting ships is roughly 24 percent more than the port of Los Angeles imported during the entire month of September.

Back around October 14th, the cargo waiting off the two Southern California ports was worth around an estimated $25.5 billion, which is more than the annual revenues of McDonald’s.

At the start of November, there were nearly 60,000 containers at these ports that had been there for more than nine days, according to reported data by American Shipper.

Both Southern California ports are moving 19 percent more containers than in 2018, which held the previous record. Currently, the ports look to outpace 2018’s record of 17.5 million containers processed in 2018. This year alone, the two ports are looking to handle a combined 20 million twenty-foot equivalent units (TEUs).

Virginia

In October 2021, both the ports of Charleston and Virginia achieved container volume records. The Port of Charleston reported 234,923 TEUs handled, while the Port of Virginia’s new record was 318,000. That’s about a 16 percent increase year-over-year (YOY).

Combined, the Virginia Port Authority said that since August 2021, 444,600 imported TEUs had been processed, which is a 19 percent increase YOY. Additionally, there was a nine percent increase in exported TEUs, with a volume of 254,600.

South Carolina

Since the start of the fiscal year, South Carolina ports have faced a 15 percent increase in processed containers YOY, having handled 919,440 TEUs. In October, South Carolina ports handled 107,773 imported TEUs, a 12 percent increase, with furniture imports rising 55 percent YOY and vehicles up 5 percent.

Georgia

In October, the Georgia Port Authority announced that, for the first time ever, the Port of Savannah had processed more than 500,000 TEUs in a single month. The previous record was 498,000 TEUs in March 2021, with the new record being 504,350 TEUs, an increase of 8.7 percent YOY.

TRYING TO SOLVE THE PORT CRISIS

24/7 Southern California Operations

In October, the Biden administration unveiled its plan to help the port delays in Southern California. Since the ports of Los Angeles and Long Beach account for 40 percent of the sea freight in the U.S., they wanted those two ports to be running 24/7. Having round-the-clock operations and pushing truck drivers to make appointments outside of peak times should help address some of the backlogs there.

Southern California Implements Fees

Also in October, the two ports announced that they would begin fining shipping companies $100 a day for every container left on the docks, past an allotted time. In their guidelines for the fees, shipping companies have six days to move containers if their next step is rail or nine days if the next step is by truck. Every day over, the fee would be increased by $100; so $100 the first day, $200 the second day, and so on.

The fees were initially supposed to go into effect November 1st, but it was then delayed to November 15th to give shippers and carriers more time to avoid the new fees. Even with the delay, the ports started keeping track of containers waiting on the docks on November 1st. As of publishing this article, the charges are delayed to November 22nd.

These emergency port fees were aimed at getting containers moved out of the ports faster. The charges will go to the carriers who would then pass it along to the shippers. These charges, if they go into effect, could become millions of dollars in fines. According to port data. as of Friday, November 12th, the Port of Long Beach had 17,314 containers for trucks over nine days and 575 containers by rail over six days. If the fees had gone into effect that day, ocean carriers would owe at least $1.8 million in combined fees.

Port of Long Beach Ups Container Stacking

The City of Long Beach also recently loosened zoning restrictions on container stacking temporarily. It used to be that only two containers could be stacked together at container yards and warehouses, but now they are allowing up to five to be stacked. The higher stacking could help free up some space.

The State of California Makes Efforts

The state of California has been working on its own efforts to improve the backlogs and port delays. Governor Gavin Newsom recently directed agencies to find any state-owned properties that could store containers near the ports by December 15th.

Additionally, starting November 17th, Newsom announced that California will increase weight limits for trucks carrying goods in and out of ports. The weight restriction has increased from 80,000 pounds to 88,000 pounds in hopes it will help speed up the processing of containers. This will be applicable through June 30th.

By the end of this year, the California Labor and Workforce Development Agency also have a plan to help the labor shortage affecting the ports. They plan to name an industry panel to explore how to increase training and education programs for port workers and others in the supply chain who could lose jobs with automation and the transition to clean-fuel vehicles.

Washington Also Implements Fees

In early November, the Port of Tacoma and Washington United announced one-off long-term dwell fees of $315 and $310 for loaded containers that sit at the terminals for more than 15 days. This is in addition to their current late fees of $230 every day for any that are waiting more than four days.

Pop-Up Container Yard Projects

Georgia‘s Port Authority is reallocating $8 million o open five pop-up container yards in Georgia and North Carolina. This will free up dock space for the Port of Savannah, which leads the U.S. in agricultural exports.

Cargo congestion has been so bad at the Port of Savannah, those officials are planning to use a small airport in Georgia as their temporary overflow yard. Containers will move to these pop-up yards by truck or rail to create more space for cargo coming off ships.

Infrastructure Bill

Lastly, there’s also the $1.2 trillion infrastructure package to help aid U.S. ports. This package contains funding for port equipment and upgrades, dredging and channel maintenance, marine highways, rail needs, safety improvements, and emissions lower projects. This includes $5.2 billion in direct funding for any ports that handle 90 percent of internationally bound cargo, according to the American Association of Port Authorities.

GOOD NEWS

Even though the port delays seem like there is no end in sight, there has been much good news on the situation recently. For one, the recent shift to 24/7 operations at the Southern California ports has already improved service times for container ships. The LA and Long Beach ports have seen a 20 percent reduction in the number of container ships spending more than nine days as more shippers have agreed to move cargo during off-peak hours.

Additionally, the recent fees announced by the Ports of LA and Long Beach have been delayed to November 22nd. This is because the port of Los Angeles has seen a 32 percent decline in the number of containers qualifying for the fee compared to October 28th. Both ports reported a combined 26 percent decline in aging cargo. Because of the significant improvement in clearing containers, the ports decided to push back the fee another week to give shippers and carriers an extended grace period. They will continue to track the data to see what steps to take next.

Since September 1st, the Port of Savannah has seen a decrease of 60 percent in waiting containers, as retailers have been picking up cargo more quickly. Because of the extra space for dockworkers, Savannah reduced the number of ships waiting by 40 percent. As a result, their turnaround times have been much quicker, around 41 minutes for a single move and an hour when dropping an empty container to pick up an import load.

ADVICE FOR SHIPPERS

Even still, experts don’t foresee a large slowdown anytime soon. Instead, port problems and delays will continue into 2022 because of all the challenges supply chains have faced and some of the solutions are longer-term.

What we’re seeing is more cargo owners working with their ocean carriers to try to diversify their supply chains. Some of this includes rerouting to less busy and backlogged ports or ordering only what is needed to give the ports more time to move containers instead of creating more backlogs by ordering too early.

The best advice we can give you when working with your logistics provider is to make sure you are communicating your shipments early on. Giving AT LEAST two weeks or more notice (more is better here!) will help you secure any type of capacity.

You should also prepare for any extra costs. This includes demurrage, port wait time, per diem, or other fees and charges.

Lastly, make sure you work with a provider who helps you with more than just arranging your shipments. Find a provider who also works as your logistics consultant. You want someone who has eyes and ears on the market and can communicate and help you navigate any current or future disruptions so you can get ahead.

LOOKING FOR A LOGISTICS CONSULTANT?

Trinity Logistics is here and ready to help you. We stay updated on the freight market and help you pick up on any early warning signs of disruptions or delays, finding ways to help you prepare for potential constraints to your shipping.

We treat your shipments as our own and work with you to find the best alternative solutions when needed. We stay dedicated and do not stop working until we can help resolve any challenges you may face with your logistics.

Our Team Members are true experts in the logistics industry. We’ve been in business for more than 40 years and have been through many cycles of the logistics market. Because of that, we do more than just arrange your freight. When you choose to work with Trinity, you’ll find you have a whole Team of logistics partners invested in your business. Our only goals are to simplify your logistics so you can succeed and see growth.

Author: Christine Morris