Pulp and paper rail volume up 9.3% in latest week; 7.8% higher year-to-date

By James McLaren, Senior Editor, PPI Pulp & Paper Week, RISI

SAN FRANCISCO, June 17, 2011 (RISI) - Forest products were among the strongest commodities on North American railroads in the latest week ending June 11, according to the Assn. of American Railroads.

Combined North America pulp and paper freight for the week at 9,625 carloads was 9.3% higher than a year ago with volume through 23 weeks of 2011 at 221,442 carloads up 7.8% from 2010.

US pulp and paper freight for the week was 12.2% higher, Canada was up 4.1% and Mexico 62.5% higher, AAR showed.

North American lumber and wood products freight in the week at 5,644 carloads was up 14% and year-to-date at 120,028 carloads was 6.3% higher.

Primary forest products freight was lower by 9.5% in the week and down 7% year-to-date.

Eleven of the 20 carload commodity groups posted increases from the comparable week in 2010, AAR noted. Total North American freight was 1% higher in the week and up 2.8% year-to-date.

Short-line and regional rail operator RailAmerica reported its pulp and paper freight in May at 6,136 carloads surged 20.4% from a year ago and through five months of 2011 at 11,439 carloads was 11% higher. Forest products freight at 4,053 carloads in May was down 6.3% and year-to-date at 8,328 carloads was also 6.3% lower. The company's total freight was down 1.7% in May and 2% lower year-to-date.

Short-line operator Genesee & Wyoming showed May pulp and paper freight at 7,929 carloads was 10% higher and for two months of the quarter at 15,364 carloads was up 10.9%. Lumber and forest products volume was off 0.9% in May and down 4.8% for two months of the quarter.