COUNCIL BLUFFS, Iowa (KMTV) — High fuel prices are straining the trucking industry — and one Council Bluffs business owner says consumers will feel the impact at the grocery store and beyond.
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Cary Kallhoff, owner of Kallco Trucking, buys fuel in bulk but says prices have surged. His supplier charged about 60 cents more per gallon at the end of the week than at the beginning — and about $1.50 more than a year ago.
"I fired my other fuel company during this because they spike the price so high," Kallhoff said, explaining that it's possible for trucking companies to shop around for a fuel supplier.
Those higher costs often get passed along to the products truckers haul — including essentials like groceries.
When asked whether telling customers about the higher fuels costs is hard, Kallhoff didn't hesitate: "Yeah, oh, yeah. Do you want to have that conversation that 'fuel's up and I gotta charge a little more?'"
Kallhoff said his employees feel the rising costs of prices, too.
"I still gave raises this year. I thought for a while I wasn't going to, but then I thought that was selfish not to give the driver a raise because of something that's out of their control," Kallhoff said.
Replacement parts and products made from plastic — a petroleum-based material — have also become more expensive for trucking companies.
Kallhoff said one option truckers have is adjusting their speed to manage fuel consumption.
"Do I keep my trucks running 70-mile an hour? Or, do I turn the truck down to 65 or 60? I pay more labor, save a little fuel," Kallhoff said.
Local governments are not immune to the pressure either. Council Bluffs Mayor Jill Shudak said the city currently has a locked-in fuel price, but that protection may not last.
"If the prices continue at this rate, the next time we go to renew our price we might see an effect at the city," Shudak said.
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