Small 2015 Crop; CNCP Grain Car Deliveries in Week 1; 2015-16?

[TOM4CWB]

DTN Cliff Jameson;
"Will the Smaller 2015 Crop Help Railroads Get Back on Track?
Canada's Ag Transport Coalition, a group made up of a number of commodity groups along with the Inland Terminal Association of Canada and combined accounts for 90% of the prairie grain shipped, recently released two reports which sheds light on railway performance for 2014/15 along with week 1 results for the 2015/16 crop year.


Friday's Statistics Canada production estimates suggest that the total prairie production of all grains will fall for the second year to 54.3 mmt, down from the high of 75.9 million metric tons in 2013 and the 2010 to 2014 average of 59.3 mmt. (DTN graphic by Nick Scalise)
The coalition released statistical reports for 16 weeks last crop year (week 21 through week 38) then reappeared last week with a crop year summary along with a report for week 1 of the 2015/16 crop year.

Data in the 2014/15 final report indicates Canada's reputation as a reliable supplier remains on the line, with CN Rail supplying 62% of the cars ordered for loading in the correct week while CP came in a distant second with only 36% of the cars spotted in the week ordered. In total, 94% of the cars ordered were spotted.

The week 1 report shows a continuation of the challenges faced in the past crop year. CN Rail spotted 75% of the cars wanted in week 1, while CP Rail supplied 62%, or 68% of the total cars wanted between the two railways. In total, the car shortfall totaled 2,007 cars.

Data also continues to show varying levels of service between railroads with respect to performance levels in competing corridors, as has also been an issue over the past crop year.

The attached chart shows the total production of all grains on the Prairies, with the most recent Statistics Canada production estimates indicated by the blue bar at 54.3 mmt, while the red bars represent the 15 years from 2000 to 2014. The 2010 to 2014 five-year average is calculated at 59.3 mmt. The smaller crop and potential rationing of crops given tight fundamental situations such as canola may allow railways to get on track to meet market demands, while also may present an opportunity for the industry to find ways for supply chain improvement.

Cliff Jamieson can be reached at cliff.jamieson@dtn.com

Follow Cliff Jamieson on Twitter @CliffJamieson"

If grain railcar service is CPrail Hunter Harrison's legacy, 38 percent fail on Bulk railcar deliveries; 70 percent Non-bulk US/Mexico delivery failures... Week 1 2015-16... proves abuse and lack of service for grain growers reputations as reliable suppliers...

With a drop in Oil shipments of 30 percent since Jan 1 2015... One should have been expecting reliable railcar service in the grain sector. Instead.... proof of lack of service abounds... Tom4cwb/TRJ
Speaks VOLUMES

[bucket]

That report should include how full the ports are and how many boats are coming due and already waiting.


Boats are arriving daily but Canada's graincos are more than happy to wait for grain and pay demurrage. That should be the railways expense not a wider basis for farmers to pay.

This is a smaller crop and there are already signs the railways will not move this crop either.

[wmoebis]

I wonder if the Grain Co's and RR are thinking that they are not going to get grain anyway.
Gov't has been and showing signs that they want more grain shipped south. Opened the border, now putting more varieties of wheat into lower class so farmers will likely look at selling across border to get better price for value. Making it look like a better option from even further distances than southern prairies.

[bucket]

Wmoebis

The infrastructure costs ( ie. Highways) will eventually stop that practice as well.

We need another railway or railway operator that wants to do business here.

Joint running rights should be an election issue.

There is no sense in running 35 tonne trucks 1000 miles when that is what a railway is for.

I wish my MP would wake the **** up.

[fjlip]

Perhaps the GREEN leaders would put shit BACK on rails to save the environment? Somebody ask/check, let us know.

[bucket]

Fjlip

I am not voting green but that's probably the quickest way to reduce emissions from trucks. Not installing tier 4 engines the burn Def and more fuel.

Farmers have made their greenhouse reduction targets by reducing hours on a tractor.


The same thing could be done with trucks by moving that traffic back to rail.

But we need more rail capacity in this country.

[bucket]

Here is what is ****ed up.

Talking to local special crop processor that said all he had to do was load cars of durum and send them to the states.

Small orders that graincos don't know about or wouldn't be bothered with.

Broker handled all paperwork they just had to load cars.

Problem was couldn't get a reliable source of cars. Even though 112 went by every week.

[riders2010]

Time for a hunger strike?
Fk it no one will care pass the perogies.