Road beats rail rates
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IN Otis Transport Services' plans to expand its European road-rail operation are running into trouble because of high rail freight rates.
The Manchester-based company is negotiating to boost the volume of freight carried from its Salford railhead in advance of the opening of the Channel Tunnel next year.
Managing director Roger Boughton says: "We could immediately take 50,000 tonnes of new freight on to our roadrail network, but charges from
both European and British rail networks are uncompetitive with road haulage."
Otis is encountering problems with its major export customers. Boughton explains: "For every load leaving the country there are two coming in, which makes road rates very competitive."
Boughton believes that the Government should step in to help put more freight on the railways, and will press transport minister Roger Freeman on this when he visits the Salford terminal this week.