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
While short-term volatility remains a risk, softer ocean freight rates in 2026 could improve export margins.
Trade volatility and shifting export destinations increase marketing risk for producers heading into 2026.
RFD NEWS Correspondent Frank McCaffrey speaks with Texas’s Sen. Ted Cruz and Rep. Vicente Gonzalez about USMCA renegotiation and its impact on U.S.–Mexico agriculture trade.
Shaun Haney joined us to discuss Canada’s new trade agreement with China, the potential impact on farmers and exporters, and what it could mean for U.S.–Canada trade relations going forward.
National Corn Growers Association Chief Economist Krista Swanson discusses corn supply pressures, market fundamentals, policy considerations, and producer outlook for the year ahead.
Congressman Dusty Johnson of South Dakota joined us to discuss key ag policy developments and his outlook for agriculture in 2026.

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:

Payment totals alone do not show financial stress — production costs and net losses complete the picture.
Year-round E15 remains on the table, but procedural caution and competing regional interests pushed action into a slower, negotiated path.
A mid-January winter storm delivered snow, ice, and extreme cold to a broad swath of the U.S., disrupting transportation, stressing livestock systems, and adding cost and complexity to winter farm operations as producers look toward spring.
Heavier weights and strong late-year slaughter supported December production, but lower annual totals highlight ongoing supply tightness heading into 2026.
Strong production and rising stocks may pressure ethanol margins unless demand or exports continue to improve.
Rising import pressure and tougher export competition are likely to persist into 2026, supporting domestic supplies while capping export growth.