Poland’s accession to EU structures increased the operational possibilities for Polish entities in the EU market on one hand, while on the other, it placed domestic operators in a position where they had to meet higher requirements and expectations, including the improvement of price and quality competitiveness. From the perspective of transport policy, it is essential that real conditions are created for the development of operators and their functioning based on principles applicable throughout Europe, which also refers to improving the quality of Polish transport and adapting it to the level and requirements applicable in other Community countries. However, it must be remembered that Polish carriers entered the EU market during its transformation period, which resulted in an increase in the costs of providing services due to the imposition of additional financial burdens on road transport related to environmental protection and the use of existing transport infrastructure.
The market position of transport companies is currently determined primarily by changes occurring in macroeconomic and social systems. It should be noted here that in newly admitted countries, transport operators incur both lower labor costs and are burdened to a lesser extent with costs resulting from the use of road infrastructure. Regarding Polish carriers, a negative cost aspect here is the poor condition of roads (linked to faster physical wear and tear of vehicles). Conversely, the price levels for acquiring various forms of transport (leasing, purchase) and the price levels for fuel, repairs, and insurance premiums are equalizing. It should be assumed that the productivity of commercial road transport companies in the Union should increase. This should result primarily from the elimination of physical, administrative, and customs borders, as well as the facilitation of access to markets. Reducing unnecessary activities and hours of waiting for border crossings (before Poland’s accession to EU structures, our country’s western and southern borders were, after all, a bottleneck in international transport) and increasingly wider access to cargo in any location of the Community will likely translate into a reduction in the phenomenon of empty runs. However, it must be noted that the ban or restriction on cabotage in EU countries effectively limits or even halts the possibility of reducing empty runs for many transport companies carrying out international transport.
With Poland’s entry into the Community, the operating conditions for transport SMEs changed. The “invisible hand of the market” is crossing out the inefficient ones. Economics is relentless; small companies have costs that are too high in relation to the profits achieved, and they are attributed the fewest chances for long-term survival. Growing customer requirements force companies to provide increasingly comprehensive services. This requires modern management and compliance with quality standards, which in the future will enable effective competition in the EU market. The vast majority of carriers operating in our market are unable to meet such requirements on their own. In this situation, a natural path of development is combining the needs of large operators with the capabilities of smaller carriers. An example here is CJ International Ltd., which has been building a group of smaller companies—subcontractors—around itself for years. Cooperation with them ensures the possibility of development and increasing their transport capabilities. And individual carriers can use the existing technical, financial, and marketing structure, as well as the advantages of modern management. Currently, the company holds 44 of its own international transport licenses. However, the majority of them (about 70%) are performed using a fleet belonging to about 120 carriers providing services within the CJ International logistics system. Such cooperation is beneficial for both transport companies and customers. The scale of cooperative ties will most likely increase as the market develops. The former Euroad is also following the path of consolidation, having offered a unified program to small companies a year ago. This includes, among other things, an offer to purchase a vehicle from a designated dealer (at a negotiated price and on favorable leasing terms), an insurance offer with a selected partner, the use of services from a specific telephone operator, and at the same time, connecting the vehicle to the company’s IT system. Cooperating companies can also count on help with accounting, legal counsel, etc. So, is there a recipe for success in commercial road transport, and if so, what is it? Small carriers can look for their chance by carrying out tasks in market niches or by performing orders for larger operators as subcontractors. However, in the latter case, the party dictating the contract terms is, of course, the operator, which usually does not turn out well for small carriers who have decided on this type of cooperation. According to experts, the Polish economy will become more similar to the economies of the “old” EU countries in the coming years.
The article comes from the magazine “Logistyka” 4/2007.