International transport companies in Bulgaria are coming under growing pressure as fuel prices continue to rise following the outbreak of war in the Middle East. Representatives of the sector warn that if the conflict drags on, some smaller firms could be pushed into bankruptcy, while consumers may soon feel the impact through higher prices for basic goods.

The recent surge in fuel costs has already begun to affect the country’s transport industry. Since the start of the month, companies have reported a decline in freight rates at the same time their operating expenses have climbed sharply. According to industry representatives, overall costs have risen by more than 35%, forcing some transport firms to refuse new transport contracts because of the uncertainty surrounding fuel prices and the ongoing military tensions in the Middle East.

Yordan Arabadzhiev, Executive Director of the Union of International Drivers, said the transport sector is among the first to experience the consequences of the price increases. Drivers and carriers, he noted, are directly exposed to the situation because they must refuel daily while operating on the road.

According to Arabadzhiev, the impact is particularly severe for companies operating international routes. Fuel prices across Europe have climbed significantly higher than those in Bulgaria, making it increasingly difficult for Bulgarian carriers to remain competitive while managing rising expenses abroad.

He explained that fuel prices in many European countries have already jumped by more than 35%, placing substantial pressure on transport businesses. The situation is further complicated by the way the industry operates financially. Transport companies typically receive payment for their services at least 30 days after completing deliveries, meaning many firms must cover the immediate increase in fuel expenses using their own funds.

As a result, some carriers are beginning to deplete their working capital while trying to keep operations running. The uncertainty surrounding future fuel costs has also forced several companies to cancel planned routes or postpone trips, as they are unable to calculate whether the transport contracts will remain profitable.

Industry representatives warn that if the current situation persists, the financial strain could become unbearable for smaller companies. Many of them already operate with limited reserves and depend heavily on steady cash flow, making them particularly vulnerable to sudden cost increases.

According to Arabadzhiev, a number of small transport firms may soon face serious difficulties servicing existing loans and financial obligations. If fuel prices continue to climb, this could lead to bankruptcies within the sector, especially among companies with fewer vehicles or limited financial resources.

The consequences, however, would not stop within the transport industry. Fuel accounts for roughly 30% to 35% of the cost structure of a typical road transport service, depending on the company’s specific business model. Because road transport is responsible for moving a large share of goods across the country, any increase in these costs quickly spreads throughout the supply chain.

For that reason, industry representatives expect the effects to reach consumers in the near future. According to the sector’s estimates, the rising cost of transport could lead to an increase in the prices of essential goods delivered by road.

Arabadzhiev said that by the end of the month, prices for basic goods transported by trucks could rise by between 3% and 7%. Such increases would affect every stage of the supply chain, ultimately reaching households and businesses that rely on these products.