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Schneider Charters Trains - this is a WOW!
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[quote]QUOTE: <i>Originally posted by funnelfan</i> <br /><br />[quote]QUOTE: <i>Originally posted by futuremodal</i> <br /><br />Now, if railroads could only get themselves to re-try ro-ro TOFC, we could get those tanker trailers, chip trucks, log trucks, and flatbeds over by rail as well. Why limit TOFC to boxes? <br />[/quote] <br /> <br />Those kind of trucks are being used in short markets for the most part, often within 200-300 miles. Intermodal would have a very hard time breaking into those markets. <br />[/quote] <br /> <br />Well, you have the same scenario with those types of trailers as you once had with dry vans and reefers. I have spoken with several folks in the wood products industry, and they are getting more and more chip trucks and log trucks coming in from significant distances. The port of entry at Eastport ID reports more and more chip trucks and grain trucks coming down from Canada. Flatbeds are generally considered over the road trucks as well. <br /> <br />The point is, you have two basic problems with these types of trailers. One, they are not constructed for lift on lift off actions. Secondly, the railroad sees this as low value commodities, and such <i>should</i> move by more efficient rail hopper and such, not TOFC, even though the trucking firms in this case would be just as glad to utilize TOFC to save on the costs of training more drivers, wear and tear on tires and road gear, etc. There is just as much of an opportunity for railroads to transport these types of trailers if enough are available to form a decent sized train. If the railroads start transporting chip trailers, grain trailers, and flatbed trailers via TOFC, what'll happen to those expensive investments in those 100 ton hoppers? Perception is reality, and as long as railroads see trucking companies as "the competition" they'll continue to miss out on more transportation opportunities. <br /> <br />For some perspective and a general example, it costs the typical trucking firm about $1.60 per mile to haul a basic load, and they charge their client around $1.75 per mile to make a profit. For a 500 mile haul, they are charging $875 and netting (hopefully, if nothing goes wrong) $75. Assuming there is a viable rail line with available TOFC terminal facilities on both ends, the railroad might charge a trucking firm $700 per trailer, with 100 trailers grossing $70,000 per trip for the railroad. Thus, the trucking firm could up their net by $100 to $175, and if the railroad could add 15 non conventional trailers to their current TOFC, they gross another $10,500, which would usually turn out to be extra net since fixed costs are already covered by the usual 100 trailers. <br /> <br />But the railroad would see grain trailers and chip trailers as *competition* to their fleet of grain and wood chip hoppers, even though origins are not the same. So although the net is higher per ton on TOFC than with shuttle consists in this scenario, the railroad will not touch it. No point in the intermodal division pissing off the ag division, is there?
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