Rail Cargo Group weighs single wagonload cuts in East Tyrol

The Austrian rail freight operator Rail Cargo Group is considering scaling back single wagonload services between Sachsenburg in Carinthia and Sillian in East Tyrol. The service is too labour- and cost-intensive, the ÖBB subsidiary said. Local politicians warn that the move could put 50 to 60 extra trucks on the road every day. The ÖBB freight subsidiary Rail Cargo Group confirmed that it is looking into reducing single wagonload traffic in the region, the Austrian broadcaster ORF reported on 20 October. ÖBB is examining how rail freight between Carinthia and East Tyrol can be run in an economically and operationally sustainable way in the future, ÖBB spokesperson Herbert Hofer said.

The Lienz region is highly important for Rail Cargo Group’s single wagonload business, but also difficult to operate. “On the one hand, there are challenges with staff availability at the Lienz location. On the other, the single wagonload traffic that dominates there is particularly labour- and resource-intensive”, Hofer explained.

Costs have risen sharply in recent years, while prices for customers were not adjusted accordingly, Hofer added. ÖBB is therefore looking at ways to make production more efficient. For example, it could do this by bundling flows or adapting the service to lower costs and, where possible, staffing needs. Prices would then be adjusted and talks held with customers. In other words, the options under review range from a leaner service to higher prices. ÖBB has not announced a full withdrawal from the region.

This story was originally published by RailFreight.com. Read the full story at RailFreight.com →