May/June market update: Preparing for produce season
Industry Insights, Shippers • Published on May 17, 2018
Produce season happens every year, starting in March in southern states like Florida and Texas, and progresses north throughout the summer as fruits and vegetables become ready for harvest. As a result, there are more loads outbound from these produce hubs, causing capacity constraints and allowing carriers to demand higher rates. Inbound loads, on the other hand, are highly sought after as carriers look to capitalize on higher load-to-truck volumes in the South. Even non-produce-heavy regions are impacted: many carriers reposition their fleets in the South when they may normally stay in another region.
In addition, several major holidays occur during the summer, including Memorial Day and July 4th, which also cause a spike in freight demand. These peak time periods result in strain on capacity, allowing drivers to be more selective in the loads they haul.
Convoy’s technology allows us to analyze and map out freight trends to get ahead of seasonality. Check out the Convoy May/June market update to see how produce season is affecting your lanes as well as advice to keep costs down while maintaining service levels.