We’re not even through with the first month of the 2023/2024 winter and we’ve already seen snow and rain wreak havoc on the supply chain across the US. It’s not a question of ‘if’ but ‘when’ these storms will lead to rail service disruptions. In this article, we’ll give you important information that will help you meet rail emergencies head on and keep your bulk freight in motion.
What happens during a rail service disruption?
When rail freight service is disrupted by a weather event, the entire supply chain undergoes significant challenges and adjustments. The impact extends beyond the immediate interruption, causing delays in the transportation of goods from production to distribution points. Result: product shortages and increased costs.
How to overcome a disruption
Option #1: Wait it out. The initial response to a rail interruption usually involves waiting for services to resume. However, depending on the nature and severity of the disruption, this waiting game can be lengthy. Take a natural disaster like a hurricane, for instance. Waiting involves enduring the storm, subsiding floods, and the subsequent clearing of tracks. Add inspections and potential replacements for damaged railcars, and the downtime can extend to many days or even weeks. If your products can't afford such prolonged offline periods, waiting might not be the most viable option.
Option #2: Trucks to the rescue. An alternative approach is to bridge the interruption gap by deploying trucks for bulk transportation. This swift response can quickly reignite your shipping operations, but it comes with its own set of considerations:
The first is cost. While bulk trucking can provide quick mobility, it costs more than you were paying for rail transport. However, reimbursement from the rail provider might mitigate this cost – depending on the circumstances that led to the interruption.
The next is capacity. Once you come to terms with the added expenditure, you still need to find the trucks – a tall order during an emergency. A bulk freight 3PL (aka bulk freight broker) with a national network can be a lifesaver in this situation.
When such a 3PL has a national network, it can lean on that network to bring trucks in from far and wide to get your product in motion again. If, on the other hand, you only have relationships with asset-based bulk carriers, any potential aid will be limited to that carrier’s equipment and service lanes.
Preparation: expect the unexpected
There are, of course, things you can do now to make sure you’re in the best possible position should your operations ever be impacted by such a disruption.
The first thing is to create a “rainy day stock” of products. Having inventory stored and ready for deployment in the event of an emergency can mitigate the impact of interruptions and allow your supply chain to continue in smaller volumes until regular rail service resumes.
The next thing you can do is to develop a relationship with a bulk freight 3PL. If and when you need capacity urgently, having an existing relationship with such a 3PL can pay huge dividends. By developing a relationship outside the context of an emergency , your 3PL provider will get to know your product, your facilities, and your specific tank and equipment needs. It is then much easier for your provider to move your loads safely and efficiently whenever called upon in the future.
Lean on Bulk Connection’s national carrier network in good times and bad
Bulk Connection is a liquid and dry bulk freight 3PL with decades of experience handling rail disruptions and other challenges. In fact, on our first day on the job in 1987, there was a disruption that resulted in us pulling in drivers and equipment from across the Eastern US to get product delivered to the Midwest.
Our network has grown a lot since then and we now have one of the largest networks of bulk carriers in North America.
We also know your products and specialize in matching them to the best carrier and equipment for the job – in routine scenarios or emergencies. Our ISO-9001-certified operations are supported by our team of bulk freight experts who are available 24/7 to ensure that your products move swiftly and safely. Contact us today to put our network to work for you.
