Rail and Trucking Changes Reshape Agricultural Transportation Outlook

Transportation access, legal disputes, and fertilizer freight costs will directly influence input pricing and grain movement in 2026.

semi truck driving into camera at sunset_Photo by helivideo via AdobeStock_292464872.png

Photo by helivideo via Adobe Stock

NASHVILLE, Tenn. (RFD-TV) — Rail access disputes, trucking cost pressures, and new fertilizer train programs are reshaping agricultural transportation as producers and agribusinesses prepare for the 2026 season.

Canadian National Railway (CN) has asked the Surface Transportation Board to confirm its right to serve an ADM grain elevator near Springfield, Illinois. CN claims Union Pacific has blocked access by refusing to qualify CN crews, limiting competition at a facility also served by Norfolk Southern. CN argues the timing is significant because UP is seeking regulatory approval to acquire Norfolk Southern, raising broader concerns about market access and rail competition for grain shippers.

Meanwhile, the American Transportation Research Institute’s annual industry survey shows trucking companies remain focused on economic conditions, lawsuit abuse reform, and insurance costs. Drivers continue to cite compensation, truck parking, and language requirements as their top concerns, highlighting ongoing labor and cost challenges across rural freight networks.

On the fertilizer front, BNSF Railway has launched a new seasonal unit train program running January through June. The program allows shippers to reserve large fertilizer trains without auctions or prepayment, though new tariff increases of $5 per ton for urea and phosphates take effect January 1.

Related Stories
Agricultural exports continue to be a key contributor to rural employment. However, rural businesses still struggle to fill numerous job openings.
Dave Kestel, a farmer from Will County and member of the Illinois Farm Bureau, joins us to share a boots-on-the-ground update on the 2025 corn harvest.
University of Illinois Ag Economist Gary Schnitker says early projections indicate soybeans will be more profitable than corn in 2026.
In a final rule published in the Federal Register, the Department states that it will no longer base wage rates on the Farm Labor Survey.
USDA’s report shows wheat strength overall, with winter wheat yields setting records, while spring wheat and rye saw declines. Oats and barley remain constrained by record-low acreage despite stable or rising yields.
Farmers face tighter barge capacity and higher freight costs during peak harvest.

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

Strong plant output and rising exports contrast with softer domestic blending demand, suggesting margins are poised for volatility.
Milk output is rising, but steep drops in Class I–IV prices are tightening margins heading into 2026.
Tight cattle supplies continue to drive lower beef output despite heavier weights.
Weaker U.S. dairy prices come as value-added exports expand and ingredient inventories tighten, creating mixed market signals for producers.
WTO gauges point to agricultural raw materials trade growing more slowly than overall goods, reinforcing the need to manage export risk and monitor policy shifts closely.
Improved export prospects and higher crop prices strengthened future expectations despite continued caution about spending.