No cheers among US breweries as transport costs swallow profits

© Tab1962

The US’s domestic beer industry is seeing profits fall as it struggles with higher transport costs. According to this article from Brewbound, the beer industry has been “disproportionately” affected by higher trucking costs than other industries because of its greater need for domestic shipping. Last year, US beer companies moved almost three billio cases of the drink, and in quarterly earnings calls all cited rising freight costs. Fuel prices and trucker shortages are key issues – MillerCoors noted there were 10 truckloads for every available driver. Other companies said electronic log-book laws were problematic. Costs have gone up 20-40% over last year and as a result, some companies are running lower inventories.