Rail Strength Partially Offsets Seasonal Grain Transportation Slowdown

Rail strength is helping stabilize grain movement, but river and export slowdowns continue to limit overall logistics momentum.

NASHVILLE, Tenn. (RFD-TV) — Grain transportation ended December with mixed signals as strong rail performance partially countered sharply weaker river and ocean movement. The latest Grain Transportation Report from the U>S. The Department of Agriculture (USDA) reports capacity remains available, but usage continues to shift by mode as winter conditions and export timing influence flows.

U.S. Class I railroads originated 28,750 grain carloads during the week ending December 20, up 1 percent from the prior week and 8 percent higher than a year ago. Rail volumes were also 10 percent above the three-year average, reflecting continued demand for rail service even as overall grain movement softens late in the year. Shuttle rail car premiums declined to $863 per car above tariff, down $202 from the previous week, while non-shuttle premiums eased to $38 above tariff, signaling modest short-term capacity relief.

Barge movement weakened further. Grain shipments totaled 404,341 tons, down 20 percent from the prior week and 57 percent below the same period last year. Fewer barges moved downriver, and unloadings in the New Orleans region dropped sharply, reflecting reduced export demand and winter river constraints.

Ocean shipping also slowed, with fewer vessels loaded and scheduled compared with last year. Diesel prices fell to $3.50 per gallon, offering limited but welcome cost relief.

Farm-Level Takeaway: Rail strength is helping stabilize grain movement, but river and export slowdowns continue to limit overall logistics momentum.
Tony St. James, RFD-TV Markets Specialist
Related Stories
Farmers with unpaid Hansen-Mueller grain should verify delivery records immediately and file indemnity claims quickly, as coverage rules differ sharply by state.
Shaun Haney, host of RealAg Radio, provides the latest insight into the timing, expectations, and broader considerations of the potential aid package, despite increasing exports to China.
According to November’s Cattle on Feed Report, Nebraska now leads the nation in cattle feeding as tighter supplies continue to reshape regional market power and long-term price dynamics.
Higher rail tariffs and tighter Canadian supplies will keep oat transportation costs firm into 2026.
Lower U.S. and Mexican production means tighter sugar supplies and greater reliance on imports headed into 2026.
The agriculture workforce remains strong and diverse, offering meaningful pathways for students pursuing careers that support the food and farm economy.

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:

Pasture, Rangeland and Forage (PRF) interval selection—not just participation—drives protection levels as rainfall patterns become less predictable across the South.
If the House concurs and the President signs, USDA services and farm-bill programs resume at full speed with authorities extended for another year.
A smaller U.S. turkey flock and resurgent avian flu have tightened supplies, driving prices higher even as other key holiday foods show mixed trends.
ARC/PLC, marketing loans, and crop insurance each matter at different points in the price cycle — and the new Farm Bill strengthens the balance among them.
Here is a regional snapshot of harvest pace, crop conditions, logistics, and livestock economics across U.S. agriculture for the week of Monday, Nov. 10, 2025.
The DOJ’s new antitrust probe could reshape beef-packer behavior, with potential impacts on fed-cattle prices, processor margins, and long-term competition across the supply chain.