NASHVILLE, Tenn. (RFD-TV) — Grain transportation networks are under heavy pressure this fall as U.S. grain supplies exceed available storage for the first time since 2016. USDA estimates total fall grain supplies at 25.66 billion bushels — about 10% above average — leaving a national storage deficit of 184 million bushels. That shortage is forcing more grain into rapid movement, heightening demand for rail, barge, and truck capacity heading into winter.
States with the most profound storage deficits include Iowa (-390 mbu), Kansas (-320 mbu), South Dakota (-318 mbu), North Dakota (-310 mbu), Nebraska (-257 mbu), and Minnesota (-205 mbu). These same states now account for most of the emergency storage authorized under the U.S. Warehouse Act. Rail traffic is responding, with Kansas, Minnesota, and South Dakota each loading significantly more grain cars over the past six weeks.
Producers are also seeing infrastructure support expand. In Ohio, a $500,000 state grant will help rehabilitate R.J. Corman’s Western Ohio Lines, improving access to multiple grain elevators served by CSX and Norfolk Southern. Meanwhile, Iowa has temporarily suspended weight limits for grain and fertilizer transport through December 19, allowing trucks up to 90,000 pounds on non-interstate highways.
Export activity remains steady despite logistics strain, with unshipped balances for corn, soybeans, and wheat up 8% from last year. But barge movements dipped 12% last week, and ocean vessel loadings from the Gulf remain below year-ago levels. Brian Hoops, of Midwest Market Solutions, says USDA’s latest data shows solid sales for corn, soybeans, and wheat. He says rains are helping parts of South America, though some regions still need moisture, and early soybean interest from China is adding support.
Farm-Level Takeaway: Tight grain storage and stronger export positioning are pushing more grain onto railroads, highways, and river systems as logistics become a key bottleneck this fall.
Tony St. James, RFD-TV Markets Specialist
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