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Commodity Transport by Rail Unaffected by COVID

04/22/2020

According to an April 9th review by the U.S. Grains Council, the North American freight railway system is functioning well at this time, despite the effects of COVID-19 on the economy.

 

According to Reece Cannady, Manager of Global Trade for the USGC, “Rail is a primary mode of transportation for many buyers in Mexico to receive corn.”  Corn, sorghum, and soybeans travel from the Midwest to the Southern Rail catchment area for onward transport to Mexico.  Country elevators are now installing shuttle-loading facilities to fill 75 to 100 covered-hopper cars that can be sealed, minimizing stops for topping up and inspection.

 

The U.S. to Mexico rail network was developed under the North American Free Trade Agreement and is preserved in the United States-Mexico-Canada Agreement.

 

For the 2018/2019 marketing year, 25.6 million metric tons of agricultural commodities corresponding to one billion bushels was exported from the U.S. to Mexico.