CN overcharged...

[TOM4CWB]

OTTAWA, ONTARIO, CANADA — The Canadian Press reported on Jan. 4 that the Canadian Transportation Agency cited Canadian National Railway (CN) for exceeding its revenue cap for the 2008-09 crop year and owes a total of $717,432.

The Canadian Press reported that that CN's revenues for the movement of western grain were C$683,269 above its revenue cap of C$479.1 million. As a result, the railway now has 30 days to pay the amount by which it exceeded its cap, plus a 5% penalty of C$34,163.

Canadian Pacific Railway's revenues from grain transportation for the same period were C$1.1 million below its cap of C$486 million, the Canadian Press Reported.

[bucket]

Does anyone know what they were allowed to make for the previous years?

If the cap stayed the same and they were still at the cap that means we are still being overcharged the 70 million like last year. If the cap does not get adjusted downward every time they overcharge then we are still overpaying.

Its like being told we are getting a premium for our durum while 25% percent of it is still in the bin for a lower priced pool year. Only in reverse. Either way western canadian farmers are getting hooped big time. An economic crisis that brought every other commodity/service into align and the railways fleece us. Boy are we stupid. Freight rates should have come down enormously just from the fuel surcharge alone.

[fjlip]

Freight rates would come down, IF like fertilizer, farmers stopped using rail. That will not happen, and there is NO competition, so we are screwed.

Quote from Plato in the Furrow, "Good people do not need laws to tell them to act responsibly, while bad people will find a way around the laws." Eg. railways.

[parsley]

"Since 1999, Canada has facilitated the in-transit movement of U.S. grain through Canada to U.S. destinations. As a result of this industry-led initiative, it has become easier and less expensive for U.S. farmers from 17 states to send their wheat by rail through Canada to U.S. locations on the east and west coasts. More than 3.6 million tonnes of U.S. wheat, barley, and other grains have been shipped in-transit through Canada since the program was introduced in 1999. Shipments have been primarily from northern states such as North Dakota, Minnesota, and Montana, although other states have also participated in the initiative."<p></p>
<p class="EC_style8ptBK"><strong><a href="http://www.agr.gc.ca/itpd-dpci/amr/4881-eng.htm">(The railroads are loyal to their shareholders who come first, Canadian producers don't count)</a></strong></p>

[fjlip]

Exactly, Parsley, same for every corporation. And if your corporation has very close to a monopoly, as CN CP, you charge what the buyer or captive shipper will bear. They would charge farmers right out of business. They make more $ on other freight.We not only don't count we might be a drag on their profits.

[parsley]

The corporations, named accreditied agents when they work for the CWB, can make money good negotiation.

Which begs the question, "What good is the Wheat Board acting as the farmers' parasitic representative? The CWB neither negotiate railroad terms, do they?, nor capture the benefits of sharp corporate negotiation, for us.

Did you actually read <p></p>
<p class="EC_style8ptBK"><strong><a href="http://parsleysnotebook.blogspot.com/2010/01/results-of-20089-informa-wheat-study.html">(this report?)</a></strong></p>