Agriculture is not in a position of strength with the inland waterway system as farmers head into harvest. Water levels are once again low on the Mississippi River and other major rivers in the grain export system. Barge restrictions are already in place in some areas, cutting export capacity by about 5% and we aren’t even to fall when the height of the problems occurred in 2022.
Mike Steenhoek, Executive Director, with the Soy Transportation Coalition says, “When you look at water levels this year compared to last year, which again was really a challenge. We’re at comparable water levels. When you look at various spots along the Mississippi River, which is not a position you want to be in you wanted to be we want to be in a higher, more advantageous position this year than we were last year.”
Steenhoek says they’ll be closely monitoring water levels and rainfall during the fall months. That’s when water levels hit record lows last year due to drought, coinciding with the height of the soybean export season.
“Obviously it’ll depend on what happens during the month of September and in October with precipitation, barge transportation, there are some limitations that have been imposed, particularly on the amount that they can load into a barge. So, it’s a marginal decrease. But obviously we hope for additional precipitation to really at least maintain and hopefully elevate these water levels.”
NOAA is predicting a more active hurricane season which could bring more moisture to the corn belt, but it also increases the risk of damage to export infrastructure so it’s a double edge sword. One difference from last year is the transportation system is not facing the added uncertainty of a possible rail strike.
