Tester Urges National Transportation Official to Push Rail Competition to Reduce Freight Rates in MT
Big Sandy Farmer Says High Freight Rates Hurt Farmers, Business in State
U.S. Senate candidate Jon Tester today urged a top federal transportation official to push rail competition in Montana to help lower freight rates for grain shippers, who pay high rates to ship their grain to market.
“These high rail freight rates hurt business and stop economic development in Montana,� said Tester, a Big Sandy farmer and president of the Montana Senate. “I want to reduce freight rates so farmers’ money stays here when they ship grain to out-of-state markets. That’ll help boost our economy and create jobs.�
Tester expressed his concerns Wednesday to Doug Buttrey, chairman of the federal Surface Transportation Board, which is charged with the economic regulation of railroads.
Tester met with Buttrey in Great Falls on rail competition issues. Tester met last year with top officials of BNSF Railway, and pushed for lower freight rates and rail competition for grain shippers in the 2005 Montana Legislature.
Montana farmers have complained that BNSF’s freight rates continue to be excessively high – producers have no other rail shipper to turn to – and the railroad’s service is eroding. Montana farmers, Tester said, are losing access to the rails because of the use of large grain shuttle facilities.
A rail consultant, Terry Whiteside, has said that Montana and North Dakota grain growers face the highest freight rates in the nation because they are served by only one railroad.
“It’s really important that the Surface Transportation Board examine freight rates to make sure they’re fair and affordable,� Tester said. “I’ll keep on advocating for fair and affordable freight rates to make sure our family farmers can operate and we can boost the economy for all Montanans, particularly those in rural communities.�
For background on Tester’s freight-rate advocacy, go to: http://webstar.postbulletin.com/agrinews/343563451207999.bsp
Posted on Thursday, February 16th, 2006 at 12:00 pm.
