Modeling intercity trucking costs: Empirical findings from Colombia

Abstract

As a crucial component of the transportation outlook, costs associated with road freight transportation are essential to economic competitiveness. The importance of this topic in developing countries relies on the vital role that trucking plays in the supply chain and its incidence in planning, policy, and regulatory decision-making.

Using data gathered by the Colombian Department of Transportation (CDOT) and its information systems, this paper presents a methodology to analyze the influence of topography, trip length distribution, travel time, and road tolls on intercity trucking costs. The authors employ the Ordinary Least Squares (OLS) method to estimate the influence of variables on different Origin-Destination (O-D) pairs in Colombia. The results of this study suggest that topography plays a vital role in estimating truck operating costs. Other factors, such as truck configuration, distance, travel time, loads, and input prices, affect the trucking cost. In different vehicle configurations, the toll cost significantly impacted the total trucking cost of the route. This study aims to contribute to the search for government initiatives that enhance the economic growth and sustainability of the trucking industry, considering and predicting costs that impact the supply chain and the final market price of goods.