BNSF prepares for grain harvest
The Burlington Northern and Santa Fe Railway Co. has stepped up its service commitments to Upper Midwest grain shippers for the 2004 harvest by adding cars, reducing certain charges, and simplifying the car ordering process.
BSNF wants to avoid the service disasters that it experienced in the 2003 grain harvest. “Last year’s demand was bigger and came earlier than anticipated, which caused equipment capacity to be sold out in record levels,” said Kevin Kaufman, BNSF’s group vice president for agricultural products, in a statement.
The railroad will increase its tariff car availability by 11,000 railcars during the grain harvest months of June through December.
Grain shippers will have access to cars within 10 days of ordering. The railroad will waive cancellation penalties if it fails to provide the cars within that 10-day period, and has reduced customer prepayments and even shipper late delivery penalties.
BNSF will add locomotives, crews and large-capacity covered hopper cars (5,161 cubic feet) to handle the 2004 grain harvest. According to the railroad, this investment alone is valued at more than $250 million. BNSF will take delivery of 1,500 new covered hopper cars by this fall, and another 1,500 covered hopper cars in early 2005.
In addition, BNSF has appointed Jonathan Long to ombudsman for North Dakota, Montana, and South Dakota, starting June 1. He will be based in Fargo, N.D.
“In conversations with shippers and state and local officials, it became apparent that we needed a single point of contact to address customer concerns, explain policies and procedures and provide feedback on BNSF programs and services,” Kaufmann said.