WASHINGTON, D.C. – The American Bakers Association urged the Senate Commerce, Science and Transportation Committee to continue its oversight of the freight rail shipping crisis and work with the Senate to pass the Surface Transportation Board Reauthorization Act of 2014. “Bakers have struggled to receive flour shipments in a timely fashion, which is a major concern for the baking industry,” said Robb MacKie, ABA President and CEO. “Conservative estimates show that this may cost the baking industry between $400 and $500 million this year alone if shipping concerns are not addressed.”
“Giving the Surface Transportation Board (STB) authority to launch investigations before a costly complaint is filed is a critical step in holding railroads accountable for the lack of adequate service,” said Cory Martin, ABA Director of Government Relations. “In addition, making it easier for STB Members to communicate with one another and improving the dispute resolution process between shippers and the railroads are necessary to improve the STB’s ability to serve all parties reliant upon railway shipping.”
“The baking industry’s business model is built on certainty in transportation,” added Martin. “Unfortunately, with the current pace of service recovery, the backlog will most likely continue and possibly even increase in severity and impact on the industry through next summer unless the STB is able to hold the railroads accountable to all their customers’ needs.”
ABA will continue to work with members of Congress and the STB to ensure that appropriate action is taken to bring relief to the baking industry.
About the American Bakers Association:
The American Bakers Association (ABA) is the Washington D.C.-based voice of the wholesale baking industry. Since 1897, ABA has represented the interests of bakers before the U.S. Congress, federal agencies, and international regulatory authorities. ABA advocates on behalf of more than 700 baking facilities and baking company suppliers. ABA members produce bread, rolls, crackers, bagels, sweet goods, tortillas and many other wholesome, nutritious, baked products for America’s families. The baking industry generates more than $102 billion in economic activity annually and employs more than 706,000 highly skilled people.
Source: American Bakers Association
