World Grain - October 2016 - 42

TRANSPORTATION NEWS ROUNDUP

CN, ADM forging new logistics chain
CHICAGO, ILLINOIS, U.S. - The collaborative logistics and
marketing efforts of Canadian National Railway Co. (CN), Archer
Daniels Midland Co. (ADM) and the Midwest Inland Port (MIP) are
driving increased container shipments over ADM's privately owned
intermodal ramp located in Decatur, Illinois, U.S., the companies
said on Aug. 23.
As part of the collaborative effort, CN is transporting import
containers from the Port of Montreal and the Port of Prince Rupert,
British Columbia, Canada, to the Decatur facility in thrice-weekly
train service to deliver to customers across the Midwest. ADM then
reloads the empty 40-foot import containers in Decatur with export
loads of grain and processed products destined for global markets via
CN's rail network and its Canadian port gateways.
CN and ADM have partnered in the past on other rail freight opportunities, including shipments to Mexico.

"CN is a supply chain enabler and its collaborative efforts with
ADM and MIP through the Midwest Inland Port Strategic Development Coalition is forging new logistics chain and growth opportunities
for ADM and other enterprises in Decatur and the surrounding region,"
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CN. "CN brings to the table an unparalleled three-coast network reach,
extensive contacts in Asian markets, sophisticated freight-forwarding
knowledge, and expert U.S. customs and marketing support."
Dennis Whalen, vice-president of transportation, intermodal
freight for ADM, said the company is encouraged by the rising volumes of imported containers arriving at ADM's intermodal ramp via
CN for area distribution in Illinois.
"The resulting empty container capacity is essential to our efforts to grow exports of our products to global markets, especially in
Asia," Whalen said.

CP prepares to move large Canadian grain crop
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eight major ports, said it is "well-positioned and ready to move" this
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To deal with the large crop, CP said it has called on all supply
chain partners to work collaboratively to continue moving record
amounts of grain. A similar strategy paid off during the 2013-14,
2014-15 and 2015-16 crop years, CP said.
"To ensure success during this crop year, the broader supply chain
must work together to collectively harness our energy so that the
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been preparing for this crop year for months and we are ready."
CP said the rail supply chain has returned to normal since the extraordinary crop and winter of 2013-14, and the company has continued to move record amounts of grain. As a result, the supply chain
now is faced with excess capacity, including thousands of rail cars in
storage ready to move the latest crop, CP said.
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investments in its infrastructure. The company has invested private
sector capital into capacity-building improvements to meet the expanding needs of its customers, and recent supply chain partner investments have been encouraging, especially in grain country elevator capacity and port capacity.
Major investments undertaken by CP include expanding centralized train control, constructing new and extended sidings, and terminal improvements.
The company said it has constructed 22 new and extended sidings on its North Line between Edmonton and Winnipeg, four new
extended sidings on the Western corridor through British Columbia,
and nine new sidings through the U.S. Upper Plains states to Chicago.
As for its supply chain partners, CP investment activity has been
strong as well, including the addition of a new transfer terminal in
Hamilton, Ontario, Canada, construction of numerous new in-country grain terminals.
Grain is CP's largest line of business, and grain movement for the
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USW readies customers for Columbia Snake River System upgrade
WASHINGTON, D.C., U.S. - Although still several months away,
U.S. Wheat Associates (USW) is laying the groundwork for smooth
operations when the Columbia Snake River System (CSRS) closes
for extended maintenance later this year and into next.
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renovations to all the navigation locks on the Columbia River and the
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The CSRS is a vital transportation link for wheat producers in the
states of Idaho, Montana, Oregon, and Washington, and serves as the
No. 1 U.S. wheat export gateway. The deep draft channel supports 46
million tons of cargo each year, valued at $20 billion. The inland system
supports more than 9 million tons of cargo.
Extended closures are unusual, but USW said the investment in the
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term position as the world's most reliable supplier to our customers."
"USW and supply chain participants take any customer concerns
about supply, cost impact and logistical options seriously, and is work42

ing with customers to help them minimize any possible impact before,
during, and after the river system closure," USW said.
The last extended closure occurred in 2010-11, and USW believes
the grain industry will consider every logistical option to keep wheat,
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USW said. "For example, total export terminal storage capacity on the
Columbia River has grown substantially since 2011. The addition of an
entirely new terminal, plus the construction of new storage at several
others, has increased storage capacity from 564,000 tonnes to 866,000
tonnes today. The PNW's total up-country grain storage capacity has
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the outage in 2010-11, and rail shipping is likely to make up most of the
barge capacity shortfall during this closing as well.
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spring (HRS) exported from the PNW already are sourced by rail, according to USW.
October 2016 / World Grain / www.World-Grain.com

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World Grain - October 2016

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