The Surface Transportation Board is seeking details on how the Class I railroads expect to meet rail demand during the fall harvest season.
In a letter sent to all seven Class I railroads last week, the board asked the railroads to provide information on how the railroads expect to meet market demand for grain and grain products and plan to maintain network flows along key corridors.
The timing of the letter comes as the National Grain Car Council (NGCC), a group organized by STB and consisting of representatives from Class I and short line railroads, grain shippers and private railcar providers, will have its annual meeting Thursday in Kansas City, Missouri.
“The board is particularly interested in your reports related to your preparedness to meet the demands of the fall harvest as it begins to ramp up in September and extends through the turn of the year,” said the board’s letter dated last Thursday. “As you know, in light of current challenges affecting the four largest Class I railroads, the board is concerned about the Class I railroads’ ability to meet grain shipping needs and is highly focused on whether railroads will have sufficient crew, locomotive, equipment and capacity resources along key corridors supporting domestic and international markets.
“For these reasons, the board looks forward to the reports of the NGCC railroad members, especially as they relate to their readiness posture in comparison to past years. At the same time, the board is very interested in the views of NGCC’s shipper, short line and railcar industry members on these issues,” the letter continued.
According to STB, grain shipments represent about 10% of rail shipments annually when measured by tonnage.
