Did you run out of salt last winter?
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- Sabrina Robinson
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1 4/27/09 Did you run out of salt last winter? Richard L. Hanneman President, Salt Institute APWA North American Snow Conf. April 27, 2009 Salt Institute North American-based, global association of salt producers Coined/promotes Sensible Salting Provides free materials on website to promote professional snowfighting at Education Center Salt saves lives! 88.3% reduction in injury crashes Salt preserves winter mobility Mobility = economic competitiveness 2009 NASC 1
2 4/27/ % reduction in injury crashes Same issue last year Salt is abundant, but getting it where it is needed and on time is not always easy. The availability of barges, railcars and trucks, the time of ordering and the weather itself all play an important role in salt delivery. Adequate on-site storage capacity makes cost-effective winter maintenance possible. Source: Roads & Bridges February 2008 Volume: 46 Number: 2 Copyright (c) 2008 Scranton Gillette Communications Last year, we were asking: Will we have enough salt? Will we have a hard winter? With Spring floods on the Mississippi delaying shipping, will we have enough time to ship salt upriver before it freezes? Will salt customers maintain their bid levels of last year or increase them? Can the salt industry sustain its 24/7 production blitz begun in December 2007? 2009 NASC 2
3 4/27/09 Now we have the answers for last winter We had another hard winter We had the shortest shipping season on the Mississippi system in many years Salt customers dramatically increased their bid levels when they could get bids The salt industry was able to maintain peak production operating a full capacity since December 2007 Imports into New Orleans set a record Salt imports into New Orleans 2005 US sales were the then-record of 20.5 million tons of roadway deicing salt Imports into New Orleans < 20,000 tons 2007 Near record US sales of 20.3 million tons Imports into New Orleans < 1,000 tons 2008 Imports into New Orleans: 1.12 million tons Record highway salt sales Last year was a record in salt sales million tons of road salt million tons million tons million tons Three of past four years were three of the four largest sales years ever (1996) End of season scramble (Spring 2008) Pipeline empty at season s end (2008) 2009 NASC 3
4 4/27/09 Looking ahead: What s important Understand road salt logistics Secure resources: snowfighting is vital To the health of your local economy To the health of your local politicians (no mayor wants to be the next Michael Bilandic) Adopt an abundance mentality not a scarcity mentality Train your operators Expand your storage What we ve learned Bids way up last year Inventories likely low this Spring OH DOT moved up its bidding process by three months Key is additional onsite storage Sufficient for one year s average use Enter the winter with full facilities What we ve learned Salt industry production and logistics affect our customers Weather largely determines the quantity of salt used and weather is a risk that is factored into salt prices Contracts that share risks realistically are win-win Roadway agencies can reduce their risks and their costs 2009 NASC 4
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