An Amsterdam-Vienna return trip costs transport companies €950 in tolls. Electric vehicles could be exempted, but those face the problem of far-from-adequate charging infrastructure along that route. Dutch company Bergeijk Logistics specializes in temperature-controlled groupage transport of flowers, plants, fruit, and vegetables to Austria.
This company is located at the FloraHolland flower cooperative in Aalsmeer, the Netherlands, and makes daily trips to and from Austria with its fleet, supplemented by fellow transporters' services. "We drive directly to distribution centers, wholesale markets, garden centers, and even flower shops. Our trucks have tailgates, so we can deliver directly to customers without loading docks. We also supply two of our distribution centers in Austria. From there, an Austrian company with whom we have a joint venture provides further distribution with smaller vehicles," begins Bergeijk Logistics' owner, Frans van Bergeijk.
Wanted: Young drivers
He says, unlike in the past, yellow license plates (used in countries like the Netherlands) are becoming increasingly rare on the highways south of Frankfurt, Germany. "Eastern European companies and drivers have largely taken over the logistics market. Those haulers are often branches of Western European logistics companies. A truck costs about the same everywhere, and everyone pays for diesel and tolls."
"The difference, though, lies in the labor costs. That's a significant part of the total costs. Also, Western European companies increasingly use drivers from Hungary, Romania, and other neighboring countries. In the Netherlands, there are simply too few young drivers entering the market. That affects us, too, despite offering decent vehicles and good salaries. Much has changed since the turn of this century," says Frans.
No profit in electric
Both Germany and Austria charge tolls of over €0.40/km. "German rates skyrocketed in December 2023, and in Austria, they've risen again this year. Currently, we pay €580 for a return trip to Germany and around €370 in Austria, depending on the final destination. Electric vehicles could be exempt, but presently, they're not a viable option for us. Their range is too limited, and the charging infrastructure is insufficient. An electric vehicle isn't powerful enough to get you to Frankfurt, about 450 km away."
"Also, there are too few charging points, which means a lot of time is lost. Our home base, the Flower Auction, has no charging facilities, and in the whole of Austria, there's only one, near Linz. It's hard to calculate electric vehicle costs at the moment. Their running costs are easily four times that of vehicles that use fossil fuels. You'd then have to charge your customers more. But what client would accept paying more because you drive an electric vehicle? Nevertheless, I can imagine this mode being feasible for shorter distances, such as trips to and from Paris," Frans admits.
Bergeijk Logistics sometimes has two drivers per truck. That has several benefits, like getting goods to their destination quicker, fewer stops - "there are few stops along the German Autobahn"- and the drivers can drive through the night. "Driving at night is a big advantage because traffic in Germany has ballooned over the past decade. The many diversions and roadworks also cause significant traffic jams during the day. Fewer rest breaks and overnight stays also reduce the risk of theft, although we don't usually have much trouble with our flowers, plants, fruit, and vegetables. We don't transport iPhones, after all."
LHVs are an option for the future
The logistics expert says they could boost efficiency by using LHVs (Long Heavy Goods Vehicles). "We don't need to enter villages, the trucks drive directly to our depots in Austria. You'd usually need three trucks, but we can do it with two. That saves on labor costs and fuel and reduces CO2 emissions. It's also safer because there's less weight per axle. But I haven't received a permit from the Austrian authorities. I suspect they're concerned that some of the goods that go by rail – the Austrian rail network is well developed – would be diverted to road transportation. If they give me a permit, they'd have to allow others to do the same," Frans explains.
Digitization
Electric vehicles may still face various hurdles in the professional heavy road transport sector, but CO2 emissions are an issue you cannot ignore, especially given the CSRD legislation that will be gradually introduced in Europe in the coming years. That obliges large companies to report on sustainability aspects, including their and their suppliers' CO2 emissions. "Tracking that per trip will become an additional administrative burden and expense. I fear several small transport companies, discouraged by these government requirements, will eventually throw in the towel. Still, this isn't the only reason for further concentration in the transportation sector. The increase in scale among customers also plays an important role."
Bergeijk Logistics is well on its way to digitizing its processes. "We're ISO-certified and professionally organized. The reporting requirements don't make things any easier, but we'll tackle what comes our way professionally. Plus, I'm sure various parties will soon offer software to support this process. There's no denying, though, that this will be yet another expense. Several areas are being digitized. I'm, however, not pessimistic about the future. We have a nice niche in Austria with our flowers, plants, and fresh produce specialization. And those who excel in niche markets can usually still make a living," Frans concludes.
For more information:
Bergeijk Logistics
+31 (0) 297 303 250
[email protected]
www.bergeijk.eu