Rail Upgrades Boost Grain Exports While Kansas Farmers Challenge Fees in Court

Farm legal expert Roger McEowen discusses a new rail antitrust case in Kansas and its potential implications for farmers as rail upgrades signal continued export-driven demand for logistics.

TOPEKA, KANSAS (RFD NEWS) — New rail investments and facility upgrades across the U.S. grain system underscore shifting export flows, fertilizer logistics, and regional handling capacity.

A report (PDF Version) from GTR highlights that BNSF Railway set a new corn volume record in 2025, surpassing its 2018 benchmark as Pacific Northwest exports surged. Corn export inspections from PNW terminals reached 24.2 million metric tons, up 128 percent from the prior five-year average. Slower soybean demand, tied to U.S.-China trade negotiations, redirected shipments toward the Texas Gulf, where inspections reached 1.2 million metric tons in October and November.

Infrastructure expansion continued across the network. BNSF opened new grain and fertilizer facilities in Wisconsin and Kansas and a renewable fuels site in California. Meanwhile, CHS Inc. completed upgrades at its Galveston fertilizer terminal, tripling railcar loading speeds and expanding cargo flexibility despite lower fertilizer import volumes in 2025.

In Iowa, Heartland Cooperative launched a new 5.5-million-bushel shuttle-loading elevator on Union Pacific Railroad lines, strengthening grain origination capacity in south-central regions where infrastructure has historically lagged.

Farm-Level Takeaway: Rail upgrades signal continued export-driven demand for logistics.
Tony St. James, RFD NEWS Markets Specialist

A recent lawsuit in Kansas is drawing attention to competition and pricing in agricultural transportation, raising antitrust questions tied to rail shipping fees.

The lawsuit centers on an agreement involving the Towner Rail Line, a newly rehabilitated rail corridor that runs from western Kansas into eastern Colorado. According to the case, 13 farmers and two agribusinesses allege that increased rail traffic fees are making it more difficult for local producers to earn a fair price for their crops.

Farm legal expert Roger McEowen joined us on Monday’s Market Day Report to discuss the case and its potential implications for farmers and agribusinesses.

In his interview with RFD NEWS, McEowen explained that the legal challenge focuses on competition concerns in the rail sector and highlighted key arguments raised by the plaintiffs. He also discussed a fee structure tied to switching rail lines, which the lawsuit claims could discourage shippers from using the Towner line.

Finally, McEowen outlined how the legal process may move forward and what the outcome could mean for agricultural transportation and competition in the region.

READ MORE: ‘The ‘Smoking Gun’ in the High Plains — Antitrust Law Meets Rural Rail

Related Stories
Rayburn Electric Cooperative’s Chris Anderson discusses rapid AI data center expansion, mounting pressure on the electric grid, and impacts on agriculture and rural communities.
Dr. Derrell Peel says long-term price relief will depend more on rebuilding the U.S. cattle herd than increasing imports.
The Iowa cattle operation was recognized for its focus on soil health and sustainable farming practices.
Growers should work with local agronomists, check state registrations, and follow all restricted-use label requirements.
The BMO 2026 Wine Market Report describes the wine market’s current conditions as a reset, not a pause.
Potato growers now have a fresh benchmark for comparing fertilizer, pesticide, and pest-management practices across major production states.

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:

Janie spends a day-in-the-life with “Of the West” founder & influencer Jessie Jarvis, for a bit of work along the historic Oregon Trail.
RanchHERs Penny Kasun and Dani Jeanne Lawrence of 7-Up Ranch in Prescott, Arizona, joined us Monday on Market Day Report to discuss the next all-new episode of the show.
Janie ventures to the desert in Prescott, Arizona for cattle branding at the 7UP ranch with Penny Kasun & Dani Jeanne Lawrence.
Janie camps out on the historic YP Ranch with the operation’s matriarch, RanchHER Renee Jackson, her family, and a talented crew of cowboys as they wrap up part of branding season on their remote and expansive operation located on the state line of Nevada and Idaho.
Janie camps out at the remote State Line of Nevada & Idaho with Renee Jackson, wrapping up branding season at the historic YP ranch.
Janie spends a day in the life with Pilar Martinez,and helps with her variety of chores on the massive Centennial Ranch in Dillon, Montana.