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Burlington Northern Santa Fe Logistics Advantage

What logistical advantages does BNSF have with this type of freight yard?

The 21st century freight yard: BNSF's Logistics Park near Chicago Trains; Milwaukee; Jan 2003; Michael W Blaszak

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What logistical advantages does BNSF have with this type of freight yard?

Moving freight efficiently from point to point in the United States is becoming increasingly difficult. The amount of goods imported from overseas continues to rise, and with nearly all of this freight traveling in containers, congestion at intermodal facilities is skyrocketing as well. The Burlington Northern Santa Fe (BNSF) Railway has forecast double digit growth in intermodal traffic along their system, and most of it is bound for Logistics Park-Chicago, located just outside the nation's freight hub. The Logistics Park concept pioneered by BNSF has been hugely popular, but the sheer volume of freight moving into the park has created problems with moving containers out. Terminal delays of up to five days are not uncommon, costing customers valuable time and money as they rack up storage costs. Shippers would welcome a way to circumvent this congestion, but to date there have been few opportunities.
There may be a new solution: Galesburg, IL. Before any of those intermodal trains end up in Chicago, they have to pass through Galesburg, which is 150 miles east of Chicago by rail. Although both the Burlington Northern and Santa Fe Railroads discontinued intermodal service to Galesburg in the 1990s, Galesburg is uniquely positioned to provide a solution to the growing problems of intermodal-dependent logistics and distribution. Galesburg is the largest rail hub for the BNSF Railway outside of the Chicago area. Seven main lines, including trunk lines from the Los Angeles Basin, California Bay area, and Pacific Northwest all converge at Galesburg. In addition, the Toledo, Peoria & Western (TP&W) Railway runs east to Indiana connecting the Galesburg hub to the eastern Class I railroads. The region's highway and railway transportation infrastructure can be utilized to serve the entire Midwest. Retailers like Wal-Mart and Home Depot recognized these strengths when selecting sites for their Midwestern distribution centers. Galesburg is in close proximity to these facilities, and the ability to connect to both eastern and western Class I railroads presents new possibilities for logistics and distribution ...

Solution Summary

Moving freight efficiently from point to point in the United States is becoming increasingly difficult. The amount of goods imported from overseas continues to rise, and with nearly all of this freight traveling in containers, congestion at intermodal facilities is skyrocketing as well. The Burlington Northern Santa Fe (BNSF) Railway has forecast double digit growth in intermodal traffic along their system, and most of it is bound for Logistics Park-Chicago, located just outside the nation's freight hub. The Logistics Park concept pioneered by BNSF has been hugely popular, but the sheer volume of freight moving into the park has created problems with moving containers out. Terminal delays of up to five days are not uncommon, costing customers valuable time and money as they rack up storage costs. Shippers would welcome a way to circumvent this congestion, but to date there have been few opportunities.

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