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Make it 11 straight weeks of year-over-year traffic gains for U.S. railroads. During the week ending May 8, they originated 288,905 carloads, up 14.7 percent, and 208,809 intermodal loads, up 14 percent compared with volumes from the same week last year, according to the Association of American Railroads (AAR). Total volume climbed 16.2 percent to an estimated 32.2 billion ton-miles.
 
Eighteen of 19 carload commodity groups posted gains, with grain mill products (down 4.8 percent) the lone exception. Although grain mill product volumes have steadily declined of late and recent U.S. Department of Agriculture estimates for combined wheat, corn and soybean crop production call for a flat to modestly higher yield in 2010-11 vs. 2009-10, ag product volumes will remain solid through most of 2010, said Robert W. Baird & Co. Inc. analysts in their weekly “Rail Flash” report. Year-over-year comparisons will remain weak until the fourth quarter given the late 2009 harvest, and ethanol demand and the animal feed outlook continue to be ag pluses, they said.

“Negatively, recent rail commentary suggests export grain trends may moderate on a favorable South American winter harvest outlook,” Baird analysts wrote in the report.
 
Meanwhile, Canadian railroads reported weekly volume of 74,945 carloads, up 38 percent, and 45,839 containers and trailers, up 9.9 percent year over year. Mexican railroads reported 13,416 carloads, up 37.9 percent, and 5,967 intermodal loads, up 36 percent.

For more AAR traffic data for the week ending May 8 and through 2010’s first 18 weeks, follow this link.