Genesee & Wyoming Inc. INTERCHANGE Magazine Spring 2022

Page 8

RAILROAD PROFILE

T

he U.S. agricultural sector has been widely recognized as the world’s most efficient for more than 150 years, thanks in large measure to the nation’s railroads. U.S. railroads move approximately 16 million carloads of grain and other farm products in a typical year. Grain accounts for about 30% of these shipments, bound for export markets around the world. G&W makes an important contribution to maximizing the efficiency of U.S. agriculture. In 2021, 51 G&W roads moved approximately 225,000 carloads of grain and other ag products – with corn, wheat and soybeans comprising about half of those shipments. Among G&W’s leaders in the agricultural sector is the Western Region’s Kyle Railroad (KYLE). Operating in the heart of the U.S. grain belt, the road runs from north central Kansas approximately 550 miles into eastern Colorado. KYLE moved just shy of 20,000 carloads of agricultural products last year, primarily wheat for U.S. consumption as well as soybeans and milo bound for China.

Strong Exports to China

D ALT O N BO GG S

SH UT T ER ST O CK B Y R ANG IZ Z Z

Despite the highly disruptive impacts of the COVID-19 pandemic on U.S. agriculture, KYLE ended 2021 slightly above plan on revenue, according to General Manager Marv Lockman. “There were several reasons for that,” he says. “Strong exports of grain to China continued throughout the year. Also, our car storage revenues continued to be healthy as we signed a threeyear contract with Southern Companies to store their railcars. Finally, we really focused on KYLE fleet utilization, which helped both our carloads and car hire earnings.”

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Kyle Railroad (KYLE) among the grain fields in Brewster, Kansas.


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