NASHVILLE, TENN. (RFD NEWS) — Grain transportation costs remain elevated as ocean freight rates climbed to their highest levels in nearly four years. USDA says the Gulf-to-Japan grain shipping rate reached $72 per metric ton for the week ending May 14, the highest since July 2022.
The Pacific Northwest-to-Japan rate rose to $37.25 per metric ton, its highest level since August 2022. Since January 1, Gulf rates are up 44 percent, while Pacific Northwest rates are up 41 percent.
Strong dry bulk demand, including coal, iron ore, and grain, continues to support vessel rates. Higher oil prices are also keeping bunker fuel costs elevated.
Rail grain movement softened for the week but remained well above last year and the three-year average. Barge movement improved from the previous week but stayed below last year’s levels.
Diesel eased slightly to $5.596 per gallon, still $2.06 above last year.
Farm-Level Takeaway: Grain movement remains active, but high ocean freight and diesel costs continue to pressure export logistics.
Tony St. James, RFD News Markets Specialist
Kentucky Farm Bureau President Eddie Melton joins us to discuss fertilizer affordability concerns, Senate Agriculture Committee testimony, and spring planting conditions in Kentucky.
Mike Steenhoek with the Soy Transportation Coalition joins us to discuss the proposed federal gas tax suspension, fuel cost pressures, and what the policy could mean for agriculture and transportation.
Agri Stats would no longer be allowed to show participant lists, rankings, or “flags,” and it could only report individual company data in narrow situations.
Farmdoc economist estimates 2024 colony stock losses at roughly $175 million, with rebuilding and renovation costs near $161 million.
U.S. Wheat Associates is expanding into global fish feed markets, with early gains in South America and new opportunities emerging in Ecuador’s shrimp industry.
Dr. Robert Ellis joins us to discuss economic challenges in agriculture, available resources for farmers, and ways producers can evaluate practices to strengthen their operations.
