Transportation Overview

The U.S. agricultural sector is the largest user of the freight transportation network, accounting for nearly one-third of all freight transportation services provided in the United States.  With the primary agricultural production in the interior of the country, far from the ports that link to international trade economy, transportation is critical to the competitiveness of U.S. agriculture in world markets. 

Corn growers depend on reliable, cost-effective and efficient transportation—whether by barge, truck or rail—to receive farm inputs and to deliver their crops.  U.S. Department of Agriculture research shows that nearly half the cost of U.S. grain at its final destination is accounted for by the cost of transportation from the farm gate to the consumer. Competition among these modes of transportation helps farmers receive the best price for their crops, meet their customers’ demand for timely delivery of products and successfully compete with foreign producers. 

U.S. agriculture’s competitive advantage is slipping due to a myriad of troublesome transportation issues.  Strained capacity in all modes, increasing rates for rail service, declining barge efficiency due to outdated locks and dams and congested roadways are just a sampling of the issues that significantly affect agriculture’s ability to market crops and crop byproducts. 

Agricultural producers, especially with value-added ventures, have opportunities for growth with new and growing markets.  Agriculture’s ability to take advantage of these opportunities will be constrained if efficient transportation capacity is not available.  The current infrastructure appears ill-equipped to handle the potential volume increases expected to be generated by the ethanol and biofuels sectors.

Improving transportation capacity is a national priority that deserves urgent attention.  Capacity constraints, structurally deficient bridges and mediocre roads, and locks and dams long past their expected useful life require the nation’s attention. 

Without investment in our transportation system, the promise of expanded trade and commercial growth is empty, job opportunities are lost, and America will be unprepared for the challenges of this new century. 

 

Inland Waterways Overview

The country’s inland navigation system plays a critical role in the nation’s economy, moving more than a billion tons of domestic commerce valued at more than $300 billion per year.  More than one billion bushels of grain (about 60 percent of all grain exports) move to export markets via the inland waterways each year. 

Inland waterways relieve congestion on already over-crowded highways and railways that run through cities.  One jumbo barge has the same capacity as 58 trucks or 15 rail cars.  A typical
15-barge tow on our nation’s rivers is equal to 870 semi trucks. 

There are also significant environmental benefits to the inland waterway system.   The backwaters created by the lock and dam system support more than 40 percent of the migratory water fowl and fish breeding grounds and are home to more than 500 miles of wildlife refuge.  In addition, more than $1 billion are generated each year in recreational use – fishing, hunting and tourism.

Upper Mississippi and Illinois Waterways

Investment in the Upper Mississippi and Illinois Waterways has not kept pace with the needs of the transportation sector.  The lock system is approaching 80 years old and cannot accommodate modern barging practices that use 1,100 foot barge-tows.  Many of the locks are only 600 feet long, forcing barges to use the time-consuming and dangerous double-locking procedure.  The locks are outdated and deteriorating.   

Corn growers have been long-time advocates for improvements to the inland waterway system. NCGA applauds the passage of the Water Resources Development Act of 2007 (WRDA). The legislation is much needed and long overdue.  WRDA 2007 provides authorization for construction of seven locks on the Upper Mississippi and Illinois rivers as well as immediate implementation of small-scale measures and the creation of a major ecosystem restoration program. 

NCGA has worked to secure pre-construction funding for the Upper Mississippi River System projects in anticipation of WRDA authorization.  With the passage of WRDA, NCGA is focused on obtaining construction dollars through the annual appropriations process.