CALGARY, Alta. — Canadian Pacific has inked a trackage rights agreement with the Iowa Northern Railway (IANR), designed to enhance shipping alternatives for local customers and provide benefits for both railroads.
The agreement expands CP’s market reach in Iowa and increases rail business options for customers’ agricultural commodities via CP and IANR track. The agreement also provides Iowa Northern rights to operate over CP’s line between Garner, Iowa and Nora Springs, Iowa.
“The acquisition of the Forest City-Belmond line with access over CP from Garner to Nora Springs restores good service and competitive rates to customers who have not enjoyed rail service for several years,” said IANR president Dan Sabin. “In our first three weeks, we have handled more loads off of the line than had been handled over the past five years.”
As a result of the agreement, CP can now market transportation services directly to existing and future customers served by the IANR.
“The agreement with Iowa Northern promotes economic growth within the state of Iowa and builds on CP’s commitment to the shippers and communities in this region,” said Jane O’Hagan, CP’s executive vice-president of marketing and sales and chief marketing officer. “It is a good example of CP working closely with short line railroad connections to extend our franchise and develop mutually beneficial growth opportunities.”
CP has collaborative arrangements with about 100 short line railroads across Canada and the US.