NASHVILLE, Tenn. (RFD NEWS) — Lower ocean freight rates in 2025 quietly improved the competitiveness of U.S. grain exports, offering some relief to producers facing weak commodity prices. Even with late-year volatility, shipping costs averaged below recent years, helping keep export channels open.
Average bulk ocean freight rates for wheat, corn, and soybeans declined from 2024 levels and the prior four-year average. Rates from the U.S. Gulf to Japan averaged $50.83 per metric ton, while Pacific Northwest routes averaged $28.09, narrowing delivered cost pressure for overseas buyers.
Seasonal slowdowns, ample vessel supply, and normalized Panama Canal operations weighed on rates early in the year. Although rates firmed during the second half of 2025, full-year averages remained lower, preserving a cost advantage for U.S. exporters relative to competitors.
Cheaper freight supported export demand during a period when futures prices offered limited margin opportunity. That dynamic helped protect basis levels tied to export terminals, particularly in Gulf-dependent regions.
Looking ahead, early-2026 freight rates remain moderate, but shifts in global demand or vessel availability could alter export competitiveness later in the year, according to U.S. Department of Agriculture analysis.
Farm-Level Takeaway: Lower freight costs helped sustain export demand amid a challenging pricing environment.
Tony St. James, RFD NEWS Markets Specialist
Lewis Williamson with HTS Commodities joined us to provide analysis on the January WASDE report and expectations for grain markets going forward.
January 13, 2026 12:34 PM
·
Structural efficiency supports cattle prices and resilience — breaking it risks higher costs and greater volatility.
January 13, 2026 08:00 AM
·
Strong pork demand and improving beef exports outside China support protein markets despite ongoing trade barriers.
January 13, 2026 06:00 AM
·
Market reaction was bearish for corn and soybeans, with analysts noting that abundant supplies amid tepid demand could keep price pressure on agricultural commodities.
January 12, 2026 03:51 PM
·
Logistics capacity remains available, but winter volatility favors flexible delivery and marketing plans. NGFA President Mike Seyfert provides insight into grain transportation trends, trade policy, and priorities for the year ahead.
January 12, 2026 02:52 PM
·
Rising adoption of GLP-1 drugs may gradually reshape food demand, with potential downstream effects on protein markets and consumer purchasing patterns.
January 12, 2026 02:38 PM
·
Traders are keeping a close eye on China’s soybean purchases as markets track export sales, shipments, and progress toward the ‘magical’ 12 million ton target promised last year.
January 12, 2026 11:57 AM
·
Winter Weather, Drought Shape Early 2026 Farm Conditions
January 12, 2026 11:00 AM
·
This simple but powerful tool from Nutrien enables farmers to keep track of highly personalized input costs and expenses involved in running their operation.
January 12, 2026 09:00 AM
