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The railroad said in a letter to customers that it would begin metering traffic after April 18 if customers don’t voluntarily reduce their inventory before then. Union Pacific also said it’s removing 2% to 3% of its own railcars and has added 50 locomotives since January with plans to bring on 100 more to help move cars along.
The industry has struggled with soaring freight since the pandemic drove higher demand for goods, choking the nation’s supply chain. The situation prompted the U.S. Surface Transportation Board to call public hearings later this month to hear from all the major railroads on steps to improve network fluidity, citing a broad worker shortage and railroads’ “bare bones” cost cutting.
Union Pacific said in its letter that it has transferred 80 crew members to help in congested areas and has 450 employees in training that will be ready for locomotives in summer.
The moves come after Union Pacific took steps last July to ease a backup in Chicago, where trailers weren’t being unloaded fast enough amid a crush of traffic. The company halted all containers at the time from Los Angeles to Chicago for about a week
originally posted by: putnam6
Here's another source and yes this probably needs to be discussed Im trying to find Union Pacific's reasoning behind the move, sometimes stuff like this is just increased costs on their end. Insurance perhaps
www.businesswire.com...
“The timing of this action by Union Pacific could not come at a worse time for farmers,” said CF Industries CEO Tony Will. “Not only will fertilizer be delayed by these shipping restrictions, but additional fertilizer needed to complete spring applications may be unable to reach farmers at all.
"Union Pacific Corp. plans to limit customer-owned railcars on its network beginning next week to ease traffic jams that have gummed up the supply chain.
The railroad said in a letter to customers that it would begin metering traffic after April 18 if customers don’t voluntarily reduce their inventory before then. Union Pacific also said it is removing 2% to 3% of its own railcars and has added 50 locomotives since January with plans to bring on 100 more to help move cars along.
“The operating inventory levels continue to rise on a daily basis,” Kenny Rocker, Union Pacific’s sales and marketing chief, said in the letter published on its website April 11. “We have already identified and notified those customers who can help us manage the current congestion by reducing their railcar inventories.”
...
originally posted by: 1947boomer
The industry has struggled with soaring freight since the pandemic drove higher demand for goods, choking the nation’s supply chain. The situation prompted the U.S. Surface Transportation Board to call public hearings later this month to hear from all the major railroads on steps to improve network fluidity, citing a broad worker shortage and railroads’ “bare bones” cost-cutting.
* COVID-19 has changed nearly every aspect of our daily lives, and consumer spending is no exception.
* Generally, spending is down across all industries, as lockdown measures have restricted what we can spend money on, due to restaurants and shops being shut and air travel suspended.
* Equally, the economic consequences of the coronavirus pandemic have meant consumers are less inclined to spend more, with many expecting their household income to continue to fall in the coming months.
* Time spent indoors however, has caused us to spend more on home entertainment and groceries.
originally posted by: SleeperHasAwakened
Biden must've been joking around, or had a bout of dementia, when he told the U.S. public to prepare for food shortages?
And there are still people on this site that claim they'd vote for him again.
Maybe when they're standing in the bread lines they'll have a change of heart.
originally posted by: PatriotGames4u
a reply to: machineintelligence
naturalnews is beforeitsnews in disguise.
You 'source' says nothing of what you claim, it is reporting that Union Pacific is removing some private rail cars from it's network, and while your 'source' claims that this is new and unexpected, Union Pacific has been slowly doing this for almost decade.
There is no halt in shipping fertilizer, there is a switch to using rail cars owned by Union Pacific instead of private fleets like the one the manufacturer being discussed in the 'source' had previously contracted with, because Union Pacific thinks this makes their railroad much more safe and efficient.
originally posted by: infolurker
originally posted by: PatriotGames4u
a reply to: machineintelligence
naturalnews is beforeitsnews in disguise.
You 'source' says nothing of what you claim, it is reporting that Union Pacific is removing some private rail cars from it's network, and while your 'source' claims that this is new and unexpected, Union Pacific has been slowly doing this for almost decade.
There is no halt in shipping fertilizer, there is a switch to using rail cars owned by Union Pacific instead of private fleets like the one the manufacturer being discussed in the 'source' had previously contracted with, because Union Pacific thinks this makes their railroad much more safe and efficient.
www.cfindustries.com...
“When grain shippers are unable to receive orders from railroads it disrupts agriculture markets throughout the broader supply chain.”
In some cases, flour and feed mills waiting on deliveries of grain are forced to temporarily cease operations, cutting off sales to customers until deliveries return.
“This means livestock operations that are reliant on the feed shipped from these mills may be forced to ration or stop feeding until deliveries return, or find alternative feed options, stunting the production cycle and putting the health and wellbeing of livestock at risk,” Munch added.
Farmers paying for storage in grain elevators that cannot move product may face added holding fees, contributing to even higher marketing expenses. In addition, Munch speculates that rail service disruptions will impact local basis for cash commodities that influence the price farmers receive for their crops.
Beyond creative solutions to immediately get rid of railway congestion issues, Munch predicts some producers may be forced to consider long-term investments in on-farm grain storage as a hedge against transportation disruptions.
Shipping rates out of control?
originally posted by: infolurker
a reply to: PatriotGames4u
You would think that if the Biden Administration gave a crap, they would work to rectify this issue immediately.
www.michiganfarmnews.com...
“When grain shippers are unable to receive orders from railroads it disrupts agriculture markets throughout the broader supply chain.”
In some cases, flour and feed mills waiting on deliveries of grain are forced to temporarily cease operations, cutting off sales to customers until deliveries return.
“This means livestock operations that are reliant on the feed shipped from these mills may be forced to ration or stop feeding until deliveries return, or find alternative feed options, stunting the production cycle and putting the health and wellbeing of livestock at risk,” Munch added.
Farmers paying for storage in grain elevators that cannot move product may face added holding fees, contributing to even higher marketing expenses. In addition, Munch speculates that rail service disruptions will impact local basis for cash commodities that influence the price farmers receive for their crops.
Beyond creative solutions to immediately get rid of railway congestion issues, Munch predicts some producers may be forced to consider long-term investments in on-farm grain storage as a hedge against transportation disruptions.
Shipping rates out of control?
originally posted by: SleeperHasAwakened
Biden must've been joking around, or had a bout of dementia, when he told the U.S. public to prepare for food shortages?
And there are still people on this site that claim they'd vote for him again.
Maybe when they're standing in the bread lines they'll have a change of heart.