Reefer demand is thriving this winter

Jan 27, 2020 at 09:25 AM CST
Reefer demand makes up roughly 12-20% of contracted freight market volume and is very seasonal. Reefer loads consist of more than just perishable goods like fruits and vegetables, but these are the types of items that create some of the biggest changes in market capacity. The infamous California “produce season” can drain capacity from all corners of the U.S. between April and June, which leads to increasing spot market activity and subsequently rates. Carriers will abandon contracted accounts to pursue more profitable freight moving across the country. This is one of many reasons reefer capacity is a much more volatile commodity than the dry van counterpart.

Jan 27, 2020 at 09:25 AM CST

Reefer demand makes up roughly 12-20% of contracted freight market volume and is very seasonal. Reefer loads consist of more than just perishable goods like fruits and vegetables, but these are the types of items that create some of the biggest changes in market capacity. The infamous California “produce season” can drain capacity from all corners of the U.S. between April and June, which leads to increasing spot market activity and subsequently rates. Carriers will abandon contracted accounts to pursue more profitable freight moving across the country. This is one of many reasons reefer capacity is a much more volatile commodity than the dry van counterpart.