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The USDA Grain Transportation Report showed the barge rate near St. Louis at 541% above tariff ($21.59/ton) for the week of January 10, down 25% from the prior week and 20% below a year earlier. The decline followed improved navigation on the Mississippi River from more rain, the end of harvest and larger barge drafts.
The rate remained 80% below its October 2022 peak.
Lower barge freight lowers the cost of moving grain and fertilizer on the river, which supports Gulf export basis and input costs for feed buyers. The 3-month forward rate still sat 35% above last year, so freight relief may be limited.
feedandgrain.comLisa CleaverJan 12, 2023Not enough comparable past events yet for a historical read.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.
