Railroads are vital to the moving of almost every good that we produce in the United States. Even as a write this, I can hear the railyard activity across the street from me. The banging of the cars being shuttled around and the lonesome train whistle about three times an hour always reminds me of the importance of this infrastructure.
Audio: Full interview with former Senator Byron Dorgan
Of course, the infrastructure is totally dependent on the companies that operate on them. All of them have different logistics and destinations. Mergers happen to consolidate strength and resources; with the assumption, it is for the greater good. One former U.S. Senator struggled hard to find that greater public good in many railroad mergers. He never could, until now. With the pending merger of the Canadian Pacific (CP) and the Kansas City Southern (KCS) Railroads, Former Senator Byron Dorgan finally feels like there is a benefit to the agriculture industry, as well as the rest of the American economy.
Senator Dorgan talks about the benefits that this merger brings to the midwestern states. It features single rail connections between Canada, Mexico, and both coasts. Iowa sends billions of dollars worth of goods to our neighbors annually.
Dorgan adds that this merger will give midwestern producers and businesses more freedom in moving their goods. He compares it to other merged railroads, who often dictate to their customers how they should handle their logistics to accommodate the railroads.
Of course, as I look out my office window at the railyard across the street, you can?t help but notice a lot of yellow locomotives moving freight around this part of the state. Dorgan talks about how he sees a newly merged CP & KCS being able to compete with the likes of the Union Pacific.
The Surface Transportation Board is working towards giving its final approval to the railroad merger. Dorgan anticipates seeing it done in the coming months.
