September 13, 2021
Hurricane season is in full swing, and the impact of Hurricane Ida on Louisiana once again brings the topic of disaster relief transportation to the table. Before and after the storm, FEMA and the Red Cross are on the ground. Disaster relief logistics is something we're used to seeing around the world - Earthquakes in Mexico and Taiwan and the impact of a hurricane in an economically challenged country like Haiti.
But what happens here in the United States when disaster strikes? For a company like STG and our STG Express trucking division, the goal is to maintain the necessary capacity in our own networks to prevent the inevitable siphoning off of the little to non-existent spare capacity in the market today.
Traditionally, FEMA's demands for everything that is needed for relief and recovery lead the agency to offer prices for loads that far eclipse what most shippers are willing to pay and will either wait or seek alternatives such as intermodal transportation rather than all-motor. This year, though, given the already sky-high rates offered on some lanes and the fact that shippers of all stripes want to ensure a steady supply of capacity to move long-delayed ocean import cargo, shippers and resellers like STG have locked in prices and service commitments from major truckload carriers to insulate from the diversion of capacity.
For STG Express in Southern California and for customers utilizing our QuickQuote feature, the priority is ensuring that when we quote a client, regardless of FTL, LTL, FCL or LCL, the price we offer and our customer accepts is met with the commitment to cover that load.
Jeff Caffey, Vice President of STG Express, shares how we are doing it in Southern California.
"STG Express was added as an STG brand following the Windpoint Partners acquisition of Xtra Express. We operate first and final mile throughout Southern California for our clients. Whether a container from a pier or a courier-sized parcel from one of our six port or Inland Empire-located facilities, we maintain a 100% independent contractor staffed and operated fleet with equipment from cars to 53' non-intermodal containers."
This year, we published a three-minute video with the recent history of acquisitions over the past five years. Arrowpac's New Jersey CFS (not yet added to the timeline) became the company's most recent acquisition over the summer.
STG's strong position as one of the leading providers of CFS service in the country and our acquisitions of Summit Northwest, Channel Distribution and Veeco in the Pacific Northwest, Chicago, and Northeast have created opportunities for our customers to have access to first and final mile power at key gateways as well as a single source vendor to provide nationwide coverage.