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Inland Water Freight Transportation
First Research, April 2012, Pages: 10
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Executive Summary
Brief Excerpt from Industry Overview Chapter:
The US inland barge transport industry includes about 300 companies with combined annual revenue of more than $5 billion. Major companies include independents, such as American Commercial Lines, Ingram Barge, and Kirby Inland Marine, and captive subsidiaries of companies that transport commodities, such as AEP River Operations (owned by American Electric Power) and American River Transportation (owned by Archer Daniels Midland). The industry is highly concentrated: the largest 50 companies generate more than 85 percent of industry revenue.
COMPETITIVE LANDSCAPE
Demand is driven primarily by the level of agricultural exports, petroleum refining, coal usage, and chemical shipments. Large companies have advantages in handling a broad range of cargo types, along with economies of scale in purchasing and marketing. Small companies compete by specializing in particular cargo types or services, subcontracting to larger companies, and offering responsive customer service.
Inland barge companies compete with other methods for transporting bulk materials and liquids, including trucks, railroads, and pipelines.
PRODUCTS, OPERATIONS & TECHNOLOGY
Major services are freight transportation (80 percent of industry revenue) and towing and tugboat services (15 percent). Freight transportation services consist of dry cargo (such as grain, coal, steel, fertilizers, and aggregates) and liquid cargo (refined petroleum products, petrochemicals, black oils, and agricultural chemicals).
Dry cargo barges include both covered and open hopper barges, used for grain, coal, steel, and other bulk commodities, and deck barges, used to haul machinery and other oversized cargoes. A typical barge, which is 200 feet...
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