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DROUGHT ISSUE: River Shipping Affected

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The drought isn’t just pushing up crop prices, but it could also cause the cost of shipping to go up. 

River levels are now hitting near record lows.  The shallow water is causing serious concerns for barge lines operating on the Mississippi River. 

Companies are being forced to make more frequent lighter loads so the barges don’t run aground.  Larry Daily from Alter Logistics says that for every seven barges that you light-load one foot it takes another one to make that up.

Barge companies say farmers will likely be hardest hit by the shallow river levels because the rates to move grain are adjusted daily, whereas freight rates for things like coal and steel are locked in for the year.