NASHVILLE, Tenn. (RFD-TV) — Low water on the Mississippi River System is once again disrupting harvest logistics, reducing barge capacity at a critical time for U.S. grain exports. Following an unusually dry August in the Ohio River Basin—the driest on record—tributary flow into the lower Mississippi has dropped sharply.
Gauges at Cairo, IL, and Memphis, TN, are hovering just above low-water thresholds, prompting restrictions by the U.S. Coast Guard and dredging operations by the Army Corps of Engineers to keep navigation open. Restrictions now limit tow sizes and draft depths, cutting efficiency for both southbound grain and northbound fertilizer shipments.
The USDA projects record U.S. corn production this fall at 427 million metric tons, with exports expected to reach 75.6 mmt. Year-to-date sales are running 46 percent above average, with Mexico, Japan, and Colombia leading buyers. By contrast, soybean export sales are down sharply, as China has yet to finalize purchases, although soybean meal exports are expected to reach record levels.
Barge freight rates out of Cairo and Memphis have risen 31 percent over the past month but remain well below the extreme highs of 2022. Analysts note that lessons learned since then, combined with lower soybean export volumes, have tempered rate spikes. Still, strong corn exports and any rebound in soybean demand could add pressure if river conditions deteriorate further.
Farm-Level Takeaway: Farmers face tighter barge capacity and higher freight costs during peak harvest. Strong corn exports may further strain logistics if low water levels persist, although weaker soybean exports are currently tempering rate spikes.
Large Brazilian crops heighten downside price risk if the weather allows production to reach projected levels.
January 22, 2026 12:38 PM
·
Ethanol and corn groups are not hiding their disappointment over new reports that the bill to allow year-round E15 sales failed as Congress forges ahead on government funding, with another shutdown looming.
January 22, 2026 11:24 AM
·
Oil-led rallies can move soybean prices quickly, but sustained gains will require continued strength in soybean oil and broader biofuel demand signals.
January 22, 2026 10:39 AM
·
Analysts say a Supreme Court decision on tariffs could reshape protein markets, strain U.S.-China trade, and force farmers to rethink global demand strategies.
January 21, 2026 12:03 PM
·
President Donald Trump speaks at the World Economic Forum in Davos, addressing SNAP spending, tariff threats against Europe, market reactions, and the upcoming USMCA review.
January 21, 2026 11:50 AM
·
Corn and wheat exports remain a demand bright spot, while soybeans are transitioning into a more typical late-winter shipping slowdown.
January 21, 2026 10:36 AM
·
From meatpacking settlements to landmark NEPA rulings, Roger McEowen outlines the top legal developments in 2025 that will shape agriculture in the years ahead.
January 20, 2026 03:39 PM
·
Corn growers are turning to ethanol, E15 expansion, and export markets to help absorb record supplies and stabilize prices. Farm leaders discuss low-carbon ethanol demand, flex-fuel vehicle challenges, input costs, and the role of USMCA as producers look for market relief in the year ahead.
January 20, 2026 02:04 PM
·
From rising trade tensions in Europe to a pending Supreme Court decision on tariffs and shifting demand from China, global trade policy spearheaded by President Donald Trump continues to shape the outlook for U.S. agriculture—adding uncertainty as farmers navigate another volatile year.
January 20, 2026 01:14 PM
·
