Key Takeaways From a Recent Visit to the Georgia Port Authority (GPA)

Schneider’s Supply Chain and Distribution Management (SCDM) leadership team recently had the opportunity to visit the Georgia Ports Authority.

Here are the key takeaways that Schneider intends to leverage as we enhance our port to door services:

  1. The Port of Savannah is growing.
  2. Quick and convenient infrastructure is key.
  3. Near port import distribution centers yield efficiencies.

The Port of Savannah is growing:

  • It’s the third busiest U.S. container Port complex and the second most connected port in the U.S.
  • The volumes today are volumes that were not expected until 2025.
  • Due to continued record growth, the GPA is expediting capacity expansion projects.
  • GPA is currently investing in:
    • Three terminals (+3.7M TEUs by 2024)
    • Eight new cranes
port of Savannah

An on-terminal intermodal facility (servicing the CSX and NS) that will increase the capabilities of the port and allow Schneider to expand services for Savannah customers.

Quick, convenient infrastructure is key:

Customers can get their product to market faster by utilizing Schneider’s conveniently located logistics facilities in tandem with the Port of Savannah’s growing capabilities.

Near port import distribution centers yield efficiencies:

Access to Schneider’s cross dock, transloading and warehouse facilities near the port helps customers turn containers efficiently and avoid costly accessorial fees.

Here are a few creative solutions and trends we've been helping shippers implement to keep freight moving in a challenging market.

Whether optimizing your organization’s port usage, utilizing pop up distribution centers, bypassing distribution centers, or developing a Capacity Stacking solution, we can help!

In the News: Driver shortage number drops, but still near record high

  • Driver counts have improved 3,000 since last year, but there is still a shortage of 78,000.
  • Based on current driver demographic trends and projected growth in freight demand, the shortage could still swell to more than 160,000 in 2031.
  • The industry needs to hire nearly 1.2 million new drivers over the next decade to replace those leaving trucking.

truck driver shortage graph in 2022
  • Data shows that over 90% of truckload carriers raised pay in 2021. And between 2019 - 2021, the average truck driver’s salary and bonus pay increased 18%. Driver behavior shows that quality of life and time at home has become more important, as around 40% of truckload carriers reported that pay increases in the last year resulted in drivers choosing to drive less, make the same amount of money, and be home more often.

In the News: Fuel prices are trucking’s top concern in 2022

graph with the top issues in trucking for 2022, fuel prices now listed as the top issue
  • While the driver shortage and retention remained a top concern for motor carriers, the rise in fuel prices has increasingly weighed on companies’ bottom lines and pushed this concern to #1 on the list. High fuel costs this year pushed per-mile trucking costs to their highest levels on record, according to ATRI’s 2022 Analysis of the Operational Costs of Trucking Report.
  • Truck parking ranked #3, a top concern for the third straight year.

In the News: Fuel prices push trucking operating costs to record highs

Soaring fuel prices pushed per-mile trucking costs to their highest
levels on record last year, according to ATRI.

For-hire fleets’ average total marginal costs per mile absorbed:

  • 35.4% YoY increase in fuel costs to 41.7 cents per mile and was the
    largest driver of record costs for fleets in 2021.
  • 10.8% increase in driver pay, to 62.7 cents per mile.
  • 18.2% jump in repair and maintenance costs, to 17.5 cents per mile.

Inflation remains a major concern and is expected to continue to pressure carriers’ operating margins, which averaged 10% across most sectors in ATRI’s first year inquiring about them. The Producer Price Index, an indicator of wholesale inflation, rose 11.4% YoY in June, ATRI noted.

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COVID-19 – Actions to maintain safety among drivers and customers

We continue to closely monitor information related to the COVID-19 outbreak and – as always – our priority is to protect the health and safety of our associates, our drivers, our customers, and the general public. Our crisis management team is continually monitoring the situation and is taking steps to ensure the wellness and safety of our associates.

Recognizing that our drivers are the backbone of our business, we are in regular communication through our driver support teams to ensure that they are well informed as to the environment they are operating in. Their safety and wellness are a top priority.

Your business is very important to us and we are happy to answer more questions related to specific worksites or regions should you have them.

For the latest information on COVID-19, please visit the Centers for Disease Control and Prevention’s website.

Our associates and transportation experts are available to help with supply chain strategy and shipping needs to respond to the pandemic. You can count on Schneider to provide your business with the same exceptional service and timely support we’ve provided shippers for 85+ years.

More valuable supply chain and logistics news

Published November 2022

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