In response to JDPapes comment on how the producer saves $1,000 by loading a producer car? Let me tell you guys in my area that is not the case. The net money /bushel is the same at our producer car site as it is in Viterra Maple Creek.If you throw in trucking premiums you are losing money loading a producer car. I have done the math on this the hard way. Now I am not knocking the idea of producer car loading , because competition is good, but I do advise anybody out there to check and double check there net prices at each facility. Also , whatever you do make sure you load your cars to the 90 tonne weight or you will be charged dead freight to get it to T-Bay. Like I said , I learned that the hard way also. I will haul my grain the extra 12 miles thank you very much. Sorry John, but that is whats going on out here.
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Galaxie500 - no need to apologize. Re-read my posts and you'll see I'm questioning the economics of loading cars.
Yours is a story I've heard elsewhere - the elevators give trucking premiums to compete.
I will say this - producer car loading is good for competition - and that's a good thing.
Also - if you could get a terminal to accept P-cars of canola, the economics wouldn't be there at all because the margins at the elevator are thin already (you're not going to save anything). P-cars might seem to work on CWB grains because the elevator margins are bigger - but that just means there's more to give back in trucking premiums - which is what you're seeing.
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I would gladly load p. cars at a discount because it costs me $ 7 A TONNE TO HAUL TO the closest trrminal another 7 to the next one.Plus all the time in alineup. so you think they handle for nothing or next to nothing? The margins on canola are the best kept secret in the grain business
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