Inland Waterways Remain Critical Backbone for U.S. Agriculture

Reliable waterways lower costs, protect export demand, and support long-term farm profitability.

Mississippi river MS _adobe stock

Adobe Stock

NASHVILLE, Tenn. (RFD NEWS) — U.S. inland waterways continue to play a central role in keeping American agriculture competitive, moving bulk commodities efficiently while supporting jobs, exports, and the delivery of farm inputs. New federal research shows the system’s economic value has grown even as aging infrastructure raises concerns about long-term reliability.

Updated analysis finds inland waterways generate roughly $30 billion in annual economic output and support more than 200,000 jobs nationwide. Agricultural exports account for a large share of that impact, with grain shipments alone supporting about 122,000 jobs, $8 billion in labor income, and $18 billion in GDP each year. Soybeans and corn dominate export volumes, followed by wheat, rice, and sorghum.

For producers, waterways help keep transportation costs low for both outbound grain and inbound fertilizer. Many states along major river systems rely on barge traffic to meet most or all of their nitrogen fertilizer demand, helping stabilize input availability and pricing.

Regionally, the Mississippi River and Columbia–Snake River systems anchor export flows across the Midwest, Plains, Pacific Northwest, and Delta, linking inland production to global markets.

Looking ahead, analysts warn that without investment in lock expansion, dredging, and rehabilitation, disruptions could raise costs, slow exports, and weaken U.S. competitiveness against countries improving their own transport networks.

Farm-Level Takeaway: Reliable waterways lower costs, protect export demand, and support long-term farm profitability.
Tony St. James, RFD NEWS Markets Specialist
Related Stories
The September WASDE report comes out on Friday at Noon ET. As always, we’ll bring you those numbers right here on Market Day Report along with our expert
Labor is an ongoing crisis in the ag sector. One industry group outlines three vital reforms to the H-2A visa program that farmers need to secure an affordable, stable workforce.
Lewie Pugh, with the Owner-Operator Independent Drivers Association, joined us on Monday’s Market Day Report with his insights on the incident and a deeper dive into the issues at hand.
As the Trump Administration seeks out new global trade partnerships, Congress is considering more support for farmers, which comes as the Federal Reserve warns that farmers need a safety net.
Ag Secretary Brooke Rollins will travel to Europe and Asia to seek new trade partnerships for U.S. crops after China reduced imports due to tariffs.
Co-Bank Lead Dairy Economist, Corey Geiger, joined us on Friday’s Market Day Report for a further look at the drop in replacement heifers and the trend’s longterm impact on dairy producers and cattle prices.
Farmers are struggling with low commodity prices and skyrocketing input costs, resulting in debt that is outpacing income across the sector, according to the USDA’s new farm income forecast.

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

Industry leaders representing more than 40 nations gathered to discuss the future of ethanol and other corn-based products.
Farmers display a unique optimism — planting with the expectation that weather, basis, and prices will improve by harvest — asserting that the profession is an identity, not just a job.
Imported lean beef continues to play a critical role in U.S. hamburger and ground-beef production, with any added volume from Argentina serving as a supplement — not a market overhaul.
A fast-moving series of trade signals from the White House and key partners is resetting the near-term outlook for U.S. agriculture.
Stay alert for trade announcements—especially border reopening timelines, tariff threats, and developments in Brazil’s export flows.
Margin Protection and the new MCO add county-level margin tools — with earlier price discovery, input cost triggers, and high subsidy rates — to complement on-farm risk plans for 2026.
Agriculture Shows
Special 3-part series tells the story of the Claas family’s legacy, which changed agriculture forever.
From soil to harvest. Top Crop is an all-new series about four of the best farmers in the world—Dan Luepkes, of Oregan, Illinois; Cory Atley, of Cedarville, Ohio; Shelby Fite, of Jackson Center, Ohio; Russell Hedrick, of Hickory, North Carolina—reveals what it takes for them to make a profitable crop. It all starts with good soil, patience, and a strong planter setup.
Champions of Rural America is a half-hour dive into the legislative priorities for Rural America. Join us as we interview members of the Congressional Western Caucus to learn about efforts in Washington to preserve agriculture and tackles the most important topics in the ag industry on Champions of Rural America!
Featuring members of Congress, federal and state officials, ag and food leaders, farmers, and roundtable panelists for debates and discussions.