DELMARVA - Gas prices have dipped slightly in recent weeks, but the national average for a gallon of regular remains above $4, according to AAA. Diesel prices are even higher, topping $5 a gallon and putting added pressure on those who rely on driving for a living.
For trucking companies, the rising cost of fuel is cutting into already tight margins. George Godwin, owner of Whipper Snapper Transport Company, said his business runs routes along the East Coast with seven diesel-powered trucks.
“We do from here to Florida. From here to Maine, up and down the 95 corridor,” Godwin said.
With diesel prices around $2 higher per gallon than a year ago, Godwin says the math is tough to manage.
“The bottom line is, is, when it almost doubles, our fuel mileage doesn’t double,” he said.
Godwin added that competition makes it difficult to pass costs along to customers.
“We have to be very competitive with our other carriers," Godwin said. "Somewhere down the line, if you do ask for more, and you have another carrier that may feel that this could be his time to shine and not ask for any more.. you’re as good as your last load."
The impact is also being felt by local businesses like Southern States Milford Cooperative, which sells farm equipment, transports goods and distributes fuel. General Manager Gary Rhodes said rising fuel costs are forcing tough decisions.
“As the prices of fuel goes up and we have surcharges… you’ve got to raise your prices to maintain your profitability,” Rhodes said. “And the higher the prices go, it makes it more difficult to sell.”
Even everyday drivers are bracing for what’s ahead.
“I think it’s going to get worse,” one driver said while fueling up in Milton.
