NASHVILLE, TENN. (RFD-TV) — Ocean freight rates for bulk grain shipments climbed from the second to the third quarter of 2025, tightening cost pressures on exporters moving corn, wheat, and soybeans out of the U.S. Gulf and Pacific Northwest. According to data from O’Neil Commodity Consulting, rates to Japan rose sharply quarter-to-quarter, even though year-over-year costs remain lower and remain well below the recent four-year average.
Third-quarter Gulf-to-Japan rates averaged $54.36 per metric ton, up 17 percent from spring, while PNW-to-Japan rates averaged $29.08 per ton, up 7 percent. Gulf-to-Europe rates followed the same pattern. Rising Chinese demand for iron ore, coal, and steel exports helped lift global vessel use through July and August, pushing grain freight rates higher.
Operationally, shippers also contended with supply-chain disruptions, including Argentina’s low Parana River levels that slowed grain loading and raised vessel costs in September, as well as Chinese Golden Week stockpiling.
Looking ahead, vessel supply has grown 3 percent year over year, which could moderate rates, but China’s renewed soybean purchases are expected to increase Panamax demand.
Farm-Level Takeaway: Higher ocean freight raises export costs just as global grain competition intensifies.
Tony St. James, RFD-TV Markets Specialist
North Dakota Farmers Union (NDFU) President Mark Watne joined us Monday to share his perspective on the America First Trade Promotion Program and potential implications for producers.
September 29, 2025 01:38 PM
·
A booming butterfat market is good for some dairy products but threatens efficiency and margins for cheesemakers unless protein levels catch up
September 29, 2025 12:53 PM
·
Duane Simpson, CEO of the National Council of Farmer Cooperatives (NCFC), joined us in Monday’s Market Day Report to share his perspective on the USDA’s plan and potential impact on producers.
September 29, 2025 12:17 PM
·
Strong corn exports are anchoring U.S. trade, while soybean sales remain steady, but shipments lag.
September 26, 2025 04:48 PM
·
Potash has seen the most significant decline, falling 11 percent over the same five-year period.
September 26, 2025 01:36 PM
·
China’s buying decisions continue to be a critical factor in shaping cotton prices and export opportunities worldwide.
September 26, 2025 11:55 AM
·
Secretary Rollins’ plan targets high costs, labor challenges, and export growth, delivering relief at home while building markets abroad.
September 26, 2025 10:18 AM
·
Transportation challenges are mounting as droughts lower Mississippi River levels and push freight rates higher.
September 25, 2025 04:54 PM
·
Michigan corn farmer and NCGA Vice President-Elect Matt Frostic will lead the task force. He joined us on Thursday to share his insights on the escalating corn crisis.
September 25, 2025 01:46 PM
·
