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Discussion Starter · #1 ·
It looks like CPR is complaining and can't seem to become profitable. They have said that companies supplying inputs to farmers have been allowed to increase the prices they charge farmers by 48% while they have only been able to eek out a measly 22% over the same period.

What do you think? What will the government say?

http://www.producer.com/daily/cp-calls-for-end-of-railway-revenue-cap/
 

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Oh great!!! goin on strike!! That shouldn't affect any of us!! I always love listening to railroaders ***** about their jobs, especially when they complain about having to go to work in the middle of the night!! Guess the trains never ran after dark until they started. I'm getting sick and tired of listening to the rail companies and their employees always complaining they don't make any money. It's time to open up the lines and give other companies running rights, maybe then they would stop the belly aching.
 

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Railway considerations

If the past were any indication, the RRs will continue to get what they want. However, think it would be pretty hard for them to argue that they have not been profitable - CP stock price up approx 700% and CNI up approx 300% in that timeframe. I do not think the stock market would reward that sort of unprofitability. The CWB used to be a popular reason why rr service did not work, but they not around to blame now. Interesting that grain companies trying to "protect" farmers by saying the revenue cap should not be removed - think they likely more concerned about what may happen to incentives on 100car units if this were the case. 2013/14 was perfect example of how revenue cap could not be "managed" by railroads as long as there were government mandates on level of service guarantees. Otherwise, why would rrs ever provide service such that they go over revenue limits and just pay fines? Of course, some of the money from the fines does end up in the ever-growing list of producer commissions so guess it does give them more money to waste. If anybody looks at the history of RR in Canada the only issue should be how much the railways owe Canadian shippers - land, minerals "forever" crow rate that disappeared, government rail road cars they get use of for free, bloated union cost structure/idiotic operations schedule because of this that paid for by all users, and am sure I am missing more. Whenever this settlement is made(wishful thinking) than best would be to have fully deregulated environment, but it way too easy/lucrative to give this to RR without settlement.

Maybe when this is figured out we could work on that cluster-_--- called Prince Rupert that the 3 stooges will not make work and we can get another part of logistics chain(west coast terminal access) going as well. FWIW - I hope I am wrong, but so far very unimpressed by commission(there so many not sure which one to blame) work on this - maybe they would like to collect more RR penalty money from WGFR.
 

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Good strategy, raise rates while fuel prices are low for increased labor costs then raise them again to cover increases in fuel costs. CEO is going to get a huge raise for this.
 

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Inflation is everywhere! except grain

It looks like CPR is complaining and can't seem to become profitable. They have said that companies supplying inputs to farmers have been allowed to increase the prices they charge farmers by 48% while they have only been able to eek out a measly 22% over the same period.

What do you think? What will the government say?

http://www.producer.com/daily/cp-calls-for-end-of-railway-revenue-cap/
I just recently heard on the radio that CN? had made a profit of 1.3 million in the last 1/4 of 2014. I wish my farm was doing as well.:mad:

In the early 70s when the Crow Rate had freight at $2-3 / ton and wheat was $2-3 per bushel, the railways complained they could not make any money, and that's why they were not hauling grain. Today the railways get $35-40 / tonne and we get $4-6 for wheat and the railways still complain they are not making money, but don't dare say that is why they will not haul grain. Everything in this country is going up in price dramatically, except grain. Shouldn't we be looking into why we are not getting more for our grain so we could pay the going rate to get our product to port and not expect it to happen . Why is wheat in China, a third world country, $10-12 per bushel and an hourly wage is $1.00. It takes 12 hours of work to earn one bushel of wheat there. This fall my truck driver was earning a bushel of wheat in six minutes here.:eek: Wheat has to go up. That is the bottom line.

The govt will approve a freight increase for the railway. You can't have all those employees upset with an election coming up, now can you.:D
 

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I think all chem, seed inputs, freight, cleaning, marketing, grading, checkoffs for commissions, fuel for farm production, should be tied to a % of grain prices. That way the industry would be fighting for higher prices instead of just more money from farmers.
 

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I think all chem, seed inputs, freight, cleaning, marketing, grading, checkoffs for commissions, fuel for farm production, should be tied to a % of grain prices. That way the industry would be fighting for higher prices instead of just more money from farmers.
Ya, good luck with that!:rolleyes:
 

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Bill Gates is an investor in one of the Canadian RR companies, I just cant remember which one though, clearly its because his advisors know its a slam dunk investment.

Problem is, as producers we can never pass the buck, all the retailers and dealers always simply increase the price to keep their margins, for us, we can never push the cost to anyone, we just simply eat it.
The government is in the business of cheap food, with that policy in place, we'll never see the price of bread increase for our profit. As far as the masses are concerned, as long as farmers keep seeding, who gives a s**t! And as far as I can see most farmers are just too willing to see a neighbour fall and pick up his land, even if he makes nothing. We are our own enemies.
The only ones who want the price of grain to go up is us, what are our numbers again? Like 3 or 4% including berry farmers and sheep shaggers, nobody cares, and we aren't enough of a voting base for the governments to care.

I see no reason why the RR companies wont get what they want, someone somewhere will put a spin on it saying how great it will help us!
 

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Discussion Starter · #16 ·
I often what happened to the grain cars the government had and wouldn't hand over to the farmer run organization at the time. All cars that have the "X" on the end are cars leased to the railway. Example CPWX. I don't see anymore "WX" on the cars, they have all been painted over.
Does that mean the government gave the cars to the railways? I have never heard anything in the media buzz at all with respect to those cars. I would have to assume that by removing those letters, the railways now have ownership! Possession is 99% of the law!
 

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Govt should twin the mainline sell 100 year bonds to pay for it, then open up the rail to competition (us railways)

1. More trains, faster service

2. Employees could be scheduled better

3. The railways need a wake up call!

A pipe dream indeed.. But I'm pretty sure it was a bigger job to build it in the first place..
 

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bah whats worse is CN pulled out there track beside me and closed all the elevators. Sadly most of the rail track was loaded on trucks and sent to the US to be reinstalled. After that the provincial government should have slapped a tariff on the railway, all that freight they used to move is know being hauled by truck and pounding the **** out of the number 9 highway
 

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bah whats worse is CN pulled out there track beside me and closed all the elevators. Sadly most of the rail track was loaded on trucks and sent to the US to be reinstalled. After that the provincial government should have slapped a tariff on the railway, all that freight they used to move is know being hauled by truck and pounding the **** out of the number 9 highway
That's right! And you know who's truck, fuel, time, etc. is being spent to gather the grain to a convenient, more profitable location for the railway. And the bill for road damage comes from the tax man. (Not saying he is using it for what it was intended!);)
 
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