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Rail News Home Rail Industry Trends

1/19/2011



Rail News: Rail Industry Trends

Freight growth on tap for 2011, FTR Associates says


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FTR Associates reported earlier this month that its Shippers Condition Index (SCI) hovered near a neutral reading of zero near the end of 2010, reflecting the effects of an earlier pause in the economic recovery.

The SCI summarizes market influences that affect shippers; a reading above zero suggests a favorable shipping environment, while a reading below zero suggests an unfavorable environment.

The Nashville, Tenn., transportation forecasting firm projects that the SCI "will soon significantly worsen due to tightening carrier capacity as the economy re-accelerates and new federal trucking regulations take hold," FTR officials said in a prepared statement.

In addition, the firm projects improving freight growth will increase rail and intermodal rates through 2011 and 2012.