POCATELLO, Idaho (KLIX)-A new rail terminal is expected to be built in Pocatello aimed at reducing the number of trucks needed to ship goods from the region to the west coast.

Savage, a Utah based company, along with Gov. Brad Little, announced construction will begin immediately on the first Idaho intermodal rail terminal in Idaho's fifth largest city. Intermodal rail terminals typically load shipping containers from trucks to rail cars. The Savage Railport-Southern Idaho will serve farmers and other companies by providing faster access to Asia and world markets.

The terminal will be located at the Union Pacific's rail yard in Pocatello following a joint agreement with Savage. The intermodal rail terminal is expected to begin operation sometime this summer. Containers will be loaded onto railcars at the terminal and transported by Union Pacific trains to the Northwest Seaport Alliance ports in Tacoma and Seattle, Washington.

This new business is uniquely focused on Idaho shippers’ needs and the global economic impact Pacific Northwest exports have around the world,” said Kari Kirchhoefer, Union Pacific Vice President – Marketing and Sales Premium. “Union Pacific’s unique collaboration with Savage uses intermodal containers heading to the Northwest ports. This partnership makes the most of the container’s round trip and saves truck drayage costs for Idaho shippers by providing a direct rail option.

As one of the top agricultural export gateways in North America, the Northwest Seaport Alliance congratulates Savage, Union Pacific Railroad, the city of Pocatello and the State of Idaho for partnering on this innovative project to support U.S. farmers and agricultural exports,” said Commissioner Dick Marzano, Northwest Seaport Alliance Co-Chair. “The new service will help lower export costs and increase volumes through our gateway. The Northwest Seaport Alliance looks forward to the successful launch of this new initiative.

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