TLDR:
Transfix sale highlights the challenges faced by venture capitalists investing in freight brokerage firms. The digital brokerage model has not disrupted the market as easily as expected. Savannah’s intermodal share is increasing as carriers turn to rail transport. Indian shippers are preparing for additional carrier charges due to capacity issues.
The sale of Transfix brings attention to the difficulties that venture capitalists are encountering when investing in freight brokerage companies. The digital brokerage model has not been able to disrupt the market as quickly or as significantly as initially anticipated. While many founders of digital brokerages believed in the potential for transformation, the reality has proved to be more challenging.
On the other hand, Savannah’s intermodal share is on the rise as carriers are increasingly utilizing rail transport. The market share of loads moving through the port’s Garden City Terminal by train has seen growth compared to the previous year. This shift is attributed to the Georgia Ports Authority’s development of an on-dock rail yard.
Meanwhile, Indian shippers are bracing themselves for a wave of additional carrier charges as capacity issues persist. Forwarder sources predict challenges in booking shipments to the US East Coast in the coming weeks, particularly with blank sailings scheduled on ONE’s WIN service from India in July.
Overall, the article highlights the evolving dynamics within the freight brokerage industry, with challenges in disruption, shifting modal preferences, and ongoing capacity struggles impacting key players in the global supply chain.
