Rail Freight Group - What services are out there?
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WHAT SERVICES ARE OUT THERE?
20 AUGUST 2008
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WHAT SERVICES ARE OUT THERE?

Services can be configured to meet the needs of any customer but they are broadly split into a number of types. Those dedicated for single customers and those that operate on set routes and schedules but are available to anyone with particular traffic types, i.e. intermodal traffic. There are also those that are less than trainload and operate on a network basis linking many locations, available for mixed traffic types and those line-of-route services marketed on a less than wagon load basis i.e. by pallet.

  • Single customer dedicated services: The traditional model of operation in bulk markets is well proven, if dependent on full train/load volumes. The one to one relationship between customer and service provider allows for flexibility in service and optimisation of routing, pathing and timings. The full train nature of hauling similar products on single routes allows for development of more suitable wagon equipment to better facilitate loading and unloading requirements.

  • Scheduled intermodal services: These have the advantage of scheduled routes, timings and pathways leading to good reliability and predictability. They generally serve the major intermodal container hubs from the ports and Channel Tunnel, with trainloads being consolidated by the freight operating company. Recent developments have seen major shipping lines take a greater interest in rail, procuring their own services on a haulage only basis and taking the risk on filling capacity with their own volumes and marketing spare capacity to others.

  • Scheduled less than trainload network services: Available through one operator, it gives the ability around a core network to use rail for less than trainload (wagonload) volumes to a large number of terminals. The flexibility of this service means it can accommodate a variety of traffic types, connecting between a wide range of different terminals, plus European and deep sea services. Outside the core network there are limitations on the suitability of the service for intermodal containers, especially 9’6" units and regular baseload traffic is often required to secure a new connection into the network.

  • Scheduled less than wagon load services: Now starting to appear in the UK, the model of operation is usually a regular timetabled departure on dedicated routes where capacity is marketed and sold on a wagon or less than wagonload (pallet) basis, often through third party logistics companies. These services operate in a similar manner to other forwarding or pallet networks, with published cut off times and rates.

Within each of these broad descriptions there is a range of services available, including a fast parcel network and a high-speed intermodal service.

"What about pan European and deep sea movements?"

Flows of traffic between Europe, deep sea destinations and the UK handled by rail consist generally of services for intermodal and bulk traffic to and from UK ports and Channel Tunnel movements of intermodal containers, swapbodies, high capacity rail wagons and car carriers.

Connection to ports, especially in the intermodal market are well established and the opportunities to choose freight operating company is increasing as each expand the range of services and inland terminals served for customers.

Establishing pan European supply chains using high capacity freight wagons on Channel Tunnel through services can prove to be a very cost effective solution for trunk movements into UK distribution centres, especially where either one or both ends are directly rail connected.

The rail service between UK terminals and the Channel Tunnel is provided by UK operators while onward European services can be provided by a single, or combination of European rail companies depending on how the service is configured.

Connectivity into Europe is excellent with an extensive network of rail lines, including much of Eastern Europe. Apart from the Spanish rail network, which has a wider track, there is a high degree of compatibility between UK and European rail services. While traffic between Spain and the UK may be better suited to intermodal because of the track differences, a system of changing bogies on the border does exist to allow through movements.

Setting up and managing European connected services can be done by the UK freight operating companies. There is also the option of using the UK agent of European freight companies to organise and set up the flow. These companies will have extensive knowledge of terminal facilities in their own country and can arrange road delivery or collection if the European end isn’t directly rail connected.

Particularly for intermodal traffic, there are consolidators who contract rail services on a ‘hook and haul’ basis and market the train capacity. Alternatively, for customers who have the volume required to fill whole trains there is the option to contract services directly with international operators.

In most cases these options will allow a customer to purchase a rail based freight package that for an inclusive delivered price includes wagon provision, all the locomotive traction and service timings across Europe and provide a single point of contact.

More information can is available at www.railfreightonline.com

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