![]() With that in mind, it’s important to choose a transloading facility as close as possible to your receivers. This means minimizing transportation by truck can dramatically reduce costs. When comparing costs per ton mile by truck and rail, rail has the potential to cut costs in half. Distance to ReceiversĬombining rail and truck transportation using a transload facility gives you the cost-saving benefits of multimodal shipping. Gathering necessary information about each of these factors can help you balance them, and choose a rail transload facility with maximum benefits. Selecting a Rail Transload FacilityĬhoosing the right rail transload facility generally involves three major factors distance to receivers, rail lines available, and the transloading facilities equipment. In other cases, selecting a rail transload facility can mean lower rail rates, shorter truck shipping routes, and better options. Choosing among or between them is sometimes straightforward, since there may be few, or even just one option. Today, transload terminals offer these same benefits, with a wide range of locations operated by major railroads, shortline railroads, and other logistics businesses. The marketing tagline for the FlexiFlo™ terminals promised shippers that they could “receive the low-cost benefit of long-haul rail transportation, with the speed and flexibility of local truck delivery”. Over 50 years ago, the New York Central Railroad was the first rail carrier to experiment with rail-to-truck bulk transfer terminals, which they trademarked as FlexiFlo™. While North American railroads expanded significantly in the middle and late 19th century, and trucking was popularized in the early 20th century, these two modes didn’t meet until the 1960’s with the FlexiFlo™. Rail transload facilities have not always existed. There are several factors that can help you choose a rail transload facility.īackground of Rail-to-Truck Transfer Terminal When selecting a rail transload facility, you may have more options than you think. Or perhaps you’re reassessing your shipping plan to accommodate new receivers, new products, or taking a closer look at recent price increases. Perhaps you’ve used the same transload facilities for some time, and you’re wondering about other opportunities. These facilities allow shippers to realize benefits from a combination of rail and truck. Rail transload facilities play a vital role in many companies’ shipping networks.
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