For the fourth straight year, water levels in the Ohio and Mississippi Rivers will soon be critically low, forcing shippers to light-load grain barges during harvest season. As barge rates get higher, those higher costs are making their way down to the farm level.
Gary Williams, director of the Upper Mississippi River Water Association, told Agri-Pulse that between low commodity prices and high shipping costs, “Corn and soybean growers are looking to stash their commodities in every nook and cranny they can find.”
A Forbes report said this could not come at a worse time for farmers.
“This is a peak period when corn and soybeans from the Midwest get shipped downriver to New Orleans for export to the international marketplace.”
If the lower levels get worse, Mike Steenhoek of the Soy Transportation Coalition says that may mean lost profits for farmers because of an inefficient transportation system.
