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Car Shortages - Service Delays

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  • Member since
    February 2003
  • From: Guelph, Ontario
  • 4,818 posts
Posted by Ulrich on Wednesday, December 10, 2008 8:52 AM

Here's another "simple" question...why not raise the rate on spuds? 98 pennies a pound may be too cheap. A higher rate for spuds will reduce demand for them as well as the demand for scarce transportation resources.  Supply & demand strikes again.

 Or alternatively find markets closer to where the spuds are grown....(California)...thereby reducing the cost of transportation. Maybe people on the east coast can eat spuds grown in the east..and people in the west can eat spuds grown in the west. If your palet requires food grown in far off places then maybe you should pay a premium..  

Maine potatoes can be shipped to CT, NJ, PA and environs for 1 to 2 cents a pound...problem solved.  

 

  • Member since
    August 2003
  • From: Antioch, IL
  • 4,371 posts
Posted by greyhounds on Tuesday, December 9, 2008 8:10 PM

flankbell

 Was researching potato storage facilities for a project I am working on and found this little tidbit.

 http://www.spudman.com/pages/arts.php?ns=50

Does one then assume if the spud growers are having this much trouble, are all agricultural products facing the same issues?

Going further is it because of the intermodal demands placed on the systems, or is it a systemic laissez faire type of it is what it is?  Little effort for little return?

Flankbell 

 

It's just somebody runing their mouth off because they have to pay for transportation.

They can have all the railcars they want with premium service if they pay for it.  They can have all the trucks they want too, if they are willing to pay the truckers.

The problem is, they want the equipment and premium service but are complaining about paying $0.10/pound to move a truck from Washington State to the east coast.  That would be about $4,400 per truck, or $1.47/mile.  Any trucker that tried to run for that would go broke quickly.

As of December 3rd, 2008 the USDA listed the truck supply for Washington potatoes as "Barely Adequate".  Which is good.  No surplus, no shortage.  The free market is working well.

The lowest potato rate to New York was $5,525/truck.  That's about $0.1255/pound.  So if they were upset with $0.10/pound they're really upset now.

Here's the USDA truck rate report.

 http://www.ams.usda.gov/mnreports/wa_fv190.txt

"By many measures, the U.S. freight rail system is the safest, most efficient and cost effective in the world." - Federal Railroad Administration, October, 2009. I'm just your average, everyday, uncivilized howling "anti-government" critic of mass government expenditures for "High Speed Rail" in the US. And I'm gosh darn proud of that.
  • Member since
    July 2005
  • 6 posts
Car Shortages - Service Delays
Posted by flankbell on Tuesday, December 9, 2008 6:32 PM

 Was researching potato storage facilities for a project I am working on and found this little tidbit.

 http://www.spudman.com/pages/arts.php?ns=50

Does one then assume if the spud growers are having this much trouble, are all agricultural products facing the same issues?

Going further is it because of the intermodal demands placed on the systems, or is it a systemic laissez faire type of it is what it is?  Little effort for little return?

Flankbell 

 

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