Reefer Lanes See Early Upturn

The early surge in reefer rates from Florida to Iowa highlights the vulnerability of freight rates to agricultural yields and fuel costs. Crop freezes in Florida likely damaged produce, reducing the available supply and driving up prices for transport to the Midwest. Diesel prices increases compound the issue, making it more expensive for truckers to operate on this lane. These factors together create a perfect storm for higher reefer rates. Spot rates in general are seeing a boost; the national average for van, reefer, and flatbed are all up this week. This could signal a broader shift in the freight market as we head further into the year.