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Rail News Home Short Lines & Regionals

5/26/2011



Rail News: Short Lines & Regionals

Argus honors CRANDIC/Archer Daniels Midland partnership successes


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International energy reporting agency Argus recently named the Cedar Rapids and Iowa City Railway Co. (CRANDIC) and shipper Archer Daniels Midland (ADM) as winners of its Win-Win Award. The short line obtained the award — which recognizes railroads, shippers and organizations that develop “innovative partnerships” to improve service and efficiency — for the second time, according to Argus.

CRANDIC and ADM developed an “innovative solution” that enables the railroad to handle 35 more carloads from ADM while giving the shipper more control over its rail-car maintenance processes, Argus officials said in a prepared statement.

ADM expanded its U.S. ethanol capacity, including a new $540 million dry grind ethanol plant along a CRANDIC route that ships distillers' dried grains by rail. To better serve the plant, the short line improved two miles of track to handle unit trains with more than 100 cars, and employed new “mother and slug” locomotive combinations to add tractive force to switching operations at the facility.

“In addition, the use of systems to reduce idling of locomotives has furthered fuel efficiency gains and reduced emissions from the railroad's switchers serving the plant,” Argus officials said.

ADM purchased a surplus rail-car maintenance facility near the plant to handle the fleet’s inspection and repair requirements, while CRANDIC relocated existing locomotive work to the shop. ADM is on pace to load 30,000 carloads at the facility this year after starting production in mid-2010, Argus said.