CONTRACT RATES: INCREASING RAIL PROFITABILITY

The Railroad Revitalization and Regulatory Reform Act contains two sections which allow imposition of contract rates which were not allowed under the Interstate Commerce Act. The 4R Act restricts application of contract rates to all situations, but fresh fruit and vegetable traffic is suggested as a case where such a rate making procedure might be applied. Contracts for rates and service are seen as a useful marketing tool; for produce traffic contract rates offer a means to halt decline of rail market share and to yield an acceptable rate of return on investment in new intermodal equipment. Successful demonstration of this could stimulate application of contract rates to other commodities.

  • Corporate Authors:

    Association Interstate Commerce Comm Practitioner

    1112 ICC Building
    Washington, DC  USA  20423

    Association of Interstate Commerce Com Practitners

    1112 ICC Building, 12th Street & Constitution Avenue, NW
    Washington, DC  USA  20423
  • Authors:
    • Hill, S G
  • Publication Date: 1979-1

Media Info

Subject/Index Terms

Filing Info

  • Accession Number: 00189052
  • Record Type: Publication
  • Files: TRIS
  • Created Date: May 11 1979 12:00AM