Importance of Interchange Capacity

What is a railroad interchange?

Most freight shipments via rail involve more than one rail carrier. Freight is exchanged at a location called the interchange. See the example below:

Does The Interchange Meet Your Freight Requirements?

[dropcap cap=”1″]Carload Capacity: If a potential rail customer is planning on shipping 90 car unit trains, routing through an interchange that only holds 50 is a serious limitation. [/dropcap] [dropcap cap=”2″]Days of Service: If a potential rail shipper needs 7 days of service, this is an important factor to know, as some interchanges only receive service a couple days a week. [/dropcap] [dropcap cap=”3″]286,000 Pound Limit: Some rail locations are not equipped to handle today’s larger railcars, which weigh up to 286,000 pounds. This can also be a limiting factor at the interchange.[/dropcap]

Other Important Things To Note

[dropcap cap=”1″]Are They Captive?You need to know how many interchanges you have access to. In other words, how many different routes can you source or receive freight. If your facility is located on a regional railroad, it is important to know whether it connects to to multiple Class I rail carriers. Having multiple connections ensures the most competitive pricing and service.[/dropcap] [dropcap cap=”2″]Multiple Interchanges: Having a single interchange not only reduces competition, but it also increases the risk during a natural disaster. For example, a bridge washes out, and your freight must come from a single interchange. This could put your facility out of service for months.[/dropcap]

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