M&E defies the odds and grows traffic

In the midst of a freight traffic downturn that is significantly impacting Class I railroads, short line Morristown & Erie Railway (M&E) posted its third consecutive year of traffic increases in 2015.

Morristown, N.J.-based M&E operates 26 route-miles of railroad along with a terminal switching facility. The railroad hauls a diverse group of products, including plastics, lumber, food products and petroleum additives. It has seen an overall 72% increase in freight traffic since 2010. In Morris County, its home territory, the M&E’s traffic grew 8% from 2014 to 2015, the equivalent of more than 2,000 trucks removed from New Jersey’s congested highway system annually.

During 2015, the M&E saw traffic gains at its wholly owned subsidiary, Bayshore Terminal Co., its Bayway Refinery switching operation in Linden, N.J.These gains continue a trend that has seen carloads increase 29% since 2010. The M&E said it “has fostered this increase by helping to coordinate service times between Class I rail carriers and the receivers within the refinery, improving the refinery’s efficiency and output while providing more-reliable service.”

The M&E is projecting similar traffic increases in 2016, partly due to several capital improvement projects designed to harness additional business opportunities. Construction on the brand-new Troy Hills Road Bulk Transload Facility, located just off Route 10 in Whippany, was completed in 2015. “The location’s 13 railcar spots and easy, convenient access in central Morris County will facilitate the continued expansion and flexibility of Morristown & Erie freight rail services while further reducing truck traffic on New Jersey’s roads,” the railroad said.

Another important development for the M&E in 2015 was the increase of vertical height clearances on the NJ Transit Morristown Line. The railroad, which has freight operating rights on this section of NJ Transit’s right-of-way, is now able to interchange 15-foot, 6-inch height Plate F railcars with CSX Transportation in Kearny, N.J. This includes the majority of boxcars, all centerbeam lumber cars, and covered hopper cars. “This will provide additional shipping options and added flexibility for our customers,” the M&E said.

“Our customers remain our number one priority,” said Marketing and Logistics Manager Rudy Garbely. “Several positive developments in 2015 helped the Morristown & Erie increase its business. We improved our efficiency, expanded and rebuilt our facilities, and acquired the equipment and tools necessary to improve service and expand growth possibilities for our customers.”

“As we enter our 121st year of continuous service in 2016, we are continuing to look for ways to help our customers develop,” Vice President and Chief Operating Officer Chuck Jensen said. “We take pride in providing the vital supply chain link between industries and new markets for their products. If we can provide the facilities and means for our customers to expand their business, we have succeeded in our number one mission: customer service.”