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
As domestic production and blending slowed, export demand remained a clear bright spot.
January 11, 2026 12:00 PM
·
Protein markets are fragmenting. Beef is supply-driven and more structurally expensive, whereas pork and poultry remain price-competitive.
January 10, 2026 07:00 AM
·
Tight fed supplies shift margin risk to packers, strengthening cattle price leverage but increasing volatility.
January 09, 2026 03:36 PM
·
Expanding chicken supplies are likely to keep prices under pressure in early 2026 despite steady demand growth.
January 09, 2026 11:00 AM
·
Reduced winter placements indicate tighter fed cattle supplies and greater leverage during peak-demand months.
January 09, 2026 06:00 AM
·
In a post to social media, Trump said Venezuela will buy American agriculture products and will use the money from oil sales to make it happen.
January 08, 2026 11:51 AM
·
Farmer Bridge payments are being used primarily to reduce debt and protect cash flow, not drive new spending. Curt Blades with the Association of Equipment Manufacturers joined us to provide insight into the ag equipment market and the factors influencing sales.
January 08, 2026 08:00 AM
·
Rail strength is helping stabilize grain movement, but river and export slowdowns continue to limit overall logistics momentum.
January 08, 2026 06:00 AM
·
Retail pricing confirms tight cattle supplies and supports continued leverage for producers, reinforcing the need for disciplined risk management.
January 07, 2026 06:00 PM
·
