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
Logistics capacity remains available, but winter volatility favors flexible delivery and marketing plans. NGFA President Mike Seyfert provides insight into grain transportation trends, trade policy, and priorities for the year ahead.
Traders are keeping a close eye on China’s soybean purchases as markets track export sales, shipments, and progress toward the ‘magical’ 12 million ton target promised last year.
As domestic production and blending slowed, export demand remained a clear bright spot.
Reduced winter placements indicate tighter fed cattle supplies and greater leverage during peak-demand months.
In a post to social media, Trump said Venezuela will buy American agriculture products and will use the money from oil sales to make it happen.
Rail strength is helping stabilize grain movement, but river and export slowdowns continue to limit overall logistics momentum.

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:

From rising trade tensions in Europe to a pending Supreme Court decision on tariffs and shifting demand from China, global trade policy spearheaded by President Donald Trump continues to shape the outlook for U.S. agriculture—adding uncertainty as farmers navigate another volatile year.
Congressional leaders signal momentum toward expanded, targeted farm aid to help producers manage losses and cash-flow stress in 2026.
Livestock strength is carrying the farm economy, while crop margins remain tight and increasingly dependent on risk management and financial discipline.
Freight volatility and route selection remain critical to soybean export margins and competitiveness.
Strong balance sheets still matter, but liquidity, planning, and lender relationships are critical as ag credit tightens, according to analysis from AgAmerica Lending.
Protein-driven dairy growth is boosting beef supply potential, creating an opening to support rural jobs and ground beef availability.