By Chip C. Barnes, SIOR
Senior Vice President
Jones Lang LaSalle
Indiana Railroad and CN Railroad are beginning work this month that will bring direct West Coast intermodal service to Indiana beginning in late June.
The two railroads will be utilizing the Senate Avenue Terminal in Beach Grove on the Southeast Side. The new Senate Avenue Terminal and Transload Center will have tri-weekly service to/from the Ports of Prince Rupert and Vancouver.
CN is the only rail provider with rail connections to all three coasts. Their network services 75% of the U.S. population and all major Canadian markets.
- Service will bypass Chicago (3 times per week)
- Total transportation time from Shanghai, China to Indianapolis is 18-20 days
- Port Prince Rupert is the closest port to Asia and has a 750,000-TEU capacity that will rise to 1.2M TEUs by the end of 2014.
- Port of Vancouver has a 3.7M-TEU handling capacity and on-dock rail service
- The Senate Avenue Terminal and Transload Center will provide truck-to-container transloading for corn, soybeans, DDGs and wood products.
Benefits of Intermodal Hub:
- Estimated time savings for logistics companies
- 2-3 days time savings to Prince Rupert via steamship
- 1-2 days time savings to Vancouver via steamship
- 2-3 days time savings to Chicago via rail
- 2-4 days time savings bypassing Chicago
- 5-10 total days time savings
What This Does for Indiana Industry:
- Significant cost savings
- 5-10 Days exporting or importing time savings
- New growth opportunities
- Geographically situated near West Coast intermodal access (Indiana has lost deals to Illinois and Ohio)
- Perishable products (Value Added Agriculture)
- New warehouse/distribution job attraction and growth
- More affordable for smaller companies