Grain Shippers Once Again Rate Union Pacific as Top-Performing Railroad

For the second year in a row, Union Pacific was selected as the top performing railroad by leading U.S. agricultural shippers in the third annual Soy Transportation Coalition (STC) Railroad Report Card.  BNSF Railway once again finished second.  CSX Transportation climbed to third place from its fifth place ranking in 2011.  Survey respondents once again ranked Canadian Pacific in last place.  

The survey was completed anonymously by agricultural shippers of various sizes and scale of operations and was comprised of the same eleven questions from 2010 and 2011 categorized under: 1.) On Time Performance; 2.) Customer Service; and 3.) Costs.  For most questions, participants were asked to rate each of the seven Class I railroads on a scale from 1-10 with ten being the highest and one being the lowest.  

After combining the results from the eleven survey questions, Union Pacific received the highest overall rating. The company ranked first in seven out of the eleven questions.  Railroads received, on average, a three percent higher score than in 2011.  Canadian Pacific, rated as the lowest performing railroad, received a last place ranking in seven out of the eleven questions.

Soy Transportation Coalition Rail Customer Satisfaction Index – Overall Ratings:

1.) Union Pacific Railroad

2.) Burlington Northern Santa Fe Railway

3.) CSX Transportation

4.) Norfolk Southern Railway

5.) Canadian National Railway

6.) Kansas City Southern Railway

7.) Canadian Pacific Railway

“We are pleased that grain and oilseed shippers are overall expressing increased satisfaction with the service received from our nation’s railroads,” explains Mike Steenhoek, executive director of the Soy Transportation Coalition.  “Agricultural shippers particularly have been quite complimentary regarding the railroads’ response to last year’s record flooding and destructive weather events.  Communication with customers was robust and repairs to the rail network occurred with great efficiency and precision.  Rail customers took notice and were very appreciative.”    

Railroads continue to receive higher ratings for customer service than for cost issues.  Respondents continue to express concern about accessorial charges – arguing that they are simply another avenue for generating revenue rather than a legitimate cost.  

Class I railroads are the largest railroads in the country with an annual operating revenue exceeding $378 million.  Seven railroads are classified as Class Is: Burlington Northern Santa Fe Railway (BNSF), CSX Transportation, Kansas City Southern Railway, Norfolk Southern Railway, and Union Pacific Railroad.  Canadian National Railway and Canadian Pacific Railway are also considered Class Is due to their significant trackage lines in the United States.  

The seven Class I railroads annually transport more than 27 million tons of soybeans (900 million bushels), 20 million tons of soybean meal, and 7 million tons of soybean oil.   

The full results of the survey, including a copy of the questionnaire, can be accessed at www.soytransportation.org.