Rail Grain Volumes Mixed While Cross-Border Logistics Expand

Rail logistics remain supportive, with access to Mexico improving

LUBBOCK, Texas (RFD NEWS) — Grain rail traffic remains steady early this year, with shifting secondary markets and new export routing options shaping movement into Mexico and the Southeast.

U.S. Class I railroads originated 27,108 grain carloads during the week ending February 7 — down 2 percent from the prior week but 6 percent above both last year and the three-year average. Secondary shuttle bids averaged $163 per car above tariff, narrowing sharply from a year ago and signaling less congestion pressure. Non-shuttle bids averaged $25 above tariff, also well below year-earlier levels.

BNSF Railway announced that beginning Monday (March 1st), its Mexico locations will qualify for single-destination efficiency trains carrying wheat. The 110-car unit trains can now move directly to Mexico without being split into blocks, streamlining cross-border wheat logistics. Over the first six weeks of 2026, 226,000 metric tons of wheat moved by rail to Mexico — 10 percent below last year.

In the Southeast, North Carolina committed $16.3 million in freight rail grants, supporting short lines that serve grain elevators and feed mills. The state imported more than 7 million tons of Midwest grain by rail in 2024.

Farm-Level Takeaway: Rail logistics remain supportive, with access to Mexico improving.
Tony St. James, RFD NEWS Markets Specialist
Related Stories
Coal-based ethanol could weaken long-term export demand for corn-based fuels.
Strong corn and China-driven demand support the pace of U.S. grain exports. RealAg Radio host Shaun Haney discusses Canada-China agricultural trade talks.
Teams create meals from pantry items while incorporating a surprise ingredient
Healthcare leaders and advocates work to connect Georgia farmers with support resources to deal with increasing farm stress.
Rich Nelson with Allendale joined us to break down early planting progress, market expectations, and what producers should keep an eye on as the season moves forward.
Tight global supply is likely to keep fuel and fertilizer costs elevated.

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:

USDA’s Quarterly Grain Stocks report shows increased supplies across all major commodities, with corn, soybeans, and wheat stocks all rising compared to a year ago. Lewis Williamson with HTS Commodities discusses producer and market sentiment ahead of the key report.
Acre shifts reflect margins, costs, and market opportunities.
Strong Easter demand supports protein and crop markets.
Lower shipping costs alone will not restore export competitiveness.
Rising fuel costs will soon increase grain transportation expenses.
Processing disruptions could impact cattle markets if the strike continues.