Jan. 31, 2012 - A wood pellet manufacturer in British Columbia has
partnered with a rail line to help bring pellets into the United States
more easily, as well as make it more cost-effective.
In an article published in the Prince George Beacon, Virdis Energy, which has operations in both Kelowna and Kamloops, ships approximately 25,000 tons of its Okanagan wood pellets to New England every year in heavy-duty 40-pound bags. However, in transit, the bags can rip or tear, leading to a loss of product.
Viridis CEO Christopher Robertson says that the solution to that was to partner with a railway, as well as ship the pellets in their bulk and unpackaged form. According to him, at the end of the line, the bulk pellets will be packaged for close to the same cost as if done at the Viridis plant.
“In an industry measured by volume, cost efficiencies are essential to
maximize competitiveness and profitability,” said Robertson.
“Transferring the packaging of our bulk wood pellets to Dana Transport
not only reduces freight and spoilage cost, but also has a positive
impact on our plant’s production capacity.”