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Rail Service Sore Spot for
KAP Members
Source: ckx news
Published: July 10th 2008
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“The railways have bundled their service packages
into packages that aren’t accessible to smaller
shippers,” said Ian McCreary of the Canadian Wheat
Board.
That was the cause for discussion at the KAP
meeting. For more than an hour presenter after
presenter stated their frustration at the poor
quality of rail service in Canada.
“It could be 40 below in the winter when were called
to haul,” said an annoyed Robert McLean, Chair of
the KAP Transport Committee. “We get it to the
terminal and find out the railways aren’t going to
deliver the car.”
Reg Dyck is on the farmer Railcar Coalition. He
said, “We need an efficient rail system and one
that’s responsive to needs.”
Farmers and KAP members say as rail service has
declined over the last few years the costs to ship
keep rising. And they’ve added new fees.
“If you don’t load a car in the right amt of time
there are penalties applied. When it gets to the
port if you don’t unload a car in the right amt of
time at the port, there’s penalties applied. And of
course all these penalties come back to the farmer,”
said McLean.
CN rail defends themselves saying, “The rail is part
of a very long and extensive logistics chain. What
we do, is encourage timely loading and unloading of
grain at the terminals because that makes sure it
moves efficiently.”
Producers are not the only group unhappy with rail
service. One exporter we spoke with says delays with
railcars cause his company to miss vessels at the
port. This can result in a cancelled contract from a
buyer overseas. Both farmers and buyers agree
they’re at the mercy of the rail company
CN responded. “At the mercy (laughs), we move their
product that’s what we’re paid to do, and we believe
we do it fairly well.Let me turn that around were at
the mercy of the farmers, to grow the grain and the
mercy of the grain companies to sell it.”
KAP hopes the Federal Government will curb some of
the costs and force the rail lines to be accountable
when they do a review later this year.
“It was 1992 when the cost formula that we currently
use was set,” said Ian Wishart, KAP president. “Were
paying for things that aren’t even happening
anymore.”
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