Without going into detail, how is freight generaly priced ? As an example what would it cost to send a boxcar full of widgets from LA to say Boston, and how does that breakdown ? (terminal fees, over the road(s),ect.)
And what about the same thing for a 53’ trailer.
I’m not looking for exact numbers, I just want an idea.
Thanks.
Well in my day a 45’ S/ship container being used as a domestic pig from NYC/LAX would have cost about $2,200.00 without trucking at either end. Clipper is a huge domestic C/loader in Chicago I am sure they can furnish you the most up to date rates. [:I][:D][:p]
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Originally posted by chad thomas
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Thanks spbed.
Your welcome [:p][:o)][:D]
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Originally posted by chad thomas
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What about carloads ?
Carload pricing is all very much on a per carload, per commodity by route basis except in areas such as agricultural commodities that remain subject to tariff. Much of the freight moving moves under contracts which are periodically renegotiated so prices can vary significantly depending upon route and number of carloads. Also, fuel surcharges of 15%+ are in place and there are incentives for certain commodities (coal and grain primarily) moving in unit trains. Contract prices are generally confidential so the average person can’t look them up.
Many of the larger RRs are moving to public pricing which is more like a public tariff that is available on their websites. BNSF is perhaps the most advanced in this area. You might want to check their website for price information that will at least give you an idea of typical pricing. www.bnsf.com/prices.html is a place to start.
LC
right now - >20$/ton for coal from the PRB to our plant - we are captive
LC,
Thanks I’ll check it out when I get a chance.
kevarc,
OK, so a carload is what 100 tons. That comes to $2000. And that’s traveling PRB to La., Thats what 1300 miles ?
So a 100 car unit train would cost $200,000 to move. That’s a lot of money. I never really thought about it. I would have figured 40-50 thousand for a 2000 mile move tops. Interesting.
Thanks guys.
but somewhere along the line you have to cover the cost of getting the empties back to the mine.
kevarc,
What is the delivered price for your PRB coal $/mmBtu? Do you guys get the higher grade stuff (9800 btu/lb) from Wyoming, or the lower grade stuff from Montana? Are you only captive at the receiving end, or also at the mine? Are there any other power plants in your region who have competitive rail access, and if so what is their comparitive delivery price?
Except for some intermodal moves the cost of returning the empties is included in the rate.
How many miles is that from the PRB? [:o)][8D][:D]
exactly, which means the rate is higher than what it would be if backloads were possible.
According to Mapquest it is 1.158 miles Bill WY to LAX
Actually per ton that is rather cheap transport per ton
Take the intermodal rate from NYC to LAX presume there is 20 Ts inside the trailer that equates to $110.00 per ton! [:o)][8D][:D]
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Originally posted by chad thomas
Yes see the scrap iron thread for a example. [:o)][:D][:p]
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Originally posted by Hugh Jampton
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Originally posted by bobwilcox
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Originally posted by Hugh Jampton
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Bob Wilcox:
Was that you referenced in Mark Hemphills excellent article on Southern Pacific?
I always have enjoyed your economic views on the industry. Thanks for all your help.
ed
Wyoming coal. And I cannot give you the price - Confidential, etc, but the coal price is less than the transportation cost.
The going rate for coal is 15-18 mils/ton-mile A couple of notes - we own our own cars so while we do not have to pay the extra money if we used leased or RR cars, we still have all teh expenses of owning the cars.
ONe way it is about 1400 miles.
We are captive at the plant end, it is 15 miles from an interchange point but the RR will not quote us a rate from there.
OK if I understand correct you are saying that the cost for the transport of coal in what I will term shipper owned cars is 15/18 per ton per mile. That is rather very interesting since if you compare that with very high valued freight moving in intermodal service also costs $15/20 per ton per mile. I presume by the way you wrote your post that if you use RR oowned cars that your cost go up making the ton per mile cost go up. Is that correct? In the shipper owned cars who maintains them to RR standards you or the RRs & do the RRs then charge you for maintance? [:o)][8D]
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Originally posted by kevarc
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We have our own maintenence shop at the plant. It is certified by the FRA and must meet the standards for interchange. But if the car gets bad ordered on the road, it has to be repaired there. This is covered under the contract and under ARR standards.
Yes, using leased or RR owned cars, you pay a higher price.
Thanks sounds like sought of a bad deal. What really suprised me is that coal & widgets pay more/less the same ton per mile rate. [:o)][:D]
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Originally posted by kevarc
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