Key Dutch Road Freight Cost Developments in 2023-2024
The cost of road freight in the Netherlands is expected to increase in 2024, although less significantly than in 2023. The projected rise, excluding fuel costs, ranges between 3.8% and 5.3%. This follows a substantial cost increase in 2023, ranging from 4.8% to 8.8%, excluding fuel. This is concluded in a new report on cost development in Dutch road freight.
Factors Influencing Costs
Several factors contribute to these cost fluctuations. The absence of a collective labor agreement for road freight transport in 2024 introduces uncertainty in forecasting. The current estimate assumes a 5.4% increase in contractual wages in the market sector, as per the Central Planning Bureau. Additionally, the forecast anticipates an excise tax increase on diesel starting January 1, 2024, although a final policy decision is pending.
In 2023, labor costs rose by 8.89% due to a collective labor agreement that included a 7.5% wage increase, a one-time payment of EUR 250, travel allowance, and continued payment during mandatory training. Conversely, fuel costs decreased by an average of 9.1% in 2023 compared to 2022. However, the excise tax was not raised as expected, keeping fuel cost developments at 0%.
Additional Cost Considerations
Other notable cost developments in 2024 include an expected 29.6% increase in interest costs, a 6.0% rise in insurance costs, and a 4.4% increase in repair and maintenance costs. Specific market conditions, such as substantial toll increases in Germany and sustainability obligations, could also influence cost developments. The minimum wage is also expected to increase by 16%, impacting the BGV collective agreement. Also, the LKW Maut toll is increasing by 83% and expanding the vehicles it applies to.
Implications for International Businesses
For international businesses operating in the Netherlands, these cost developments are crucial considerations. Understanding these trends can help businesses anticipate and manage their road freight expenses effectively in the coming year. It is important to consider the specific cost structure of your business and how these changes may impact your operations.
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