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November 14, 2019 | USDA Grain Transportation Report

Short Supply of Propane in the Midwest

Wet grain harvest conditions in Midwest has put pressure on propane supplies in region

Photo: GSI

This year’s wet grain harvest conditions in the Midwest have put pressure on propane supplies in the region, says the latest USDA Grain Transporation Report.

Propane remains the first choice of fuel in the Midwest for drying grain.

According to the Department of Energy’s Energy Information Administration, propane stocks in the Midwest typically peak between late September and mid-October, then start slowly falling through November and December.

As of November 1, stocks had fallen 6 percent since the end of September and were approximately 2 million barrels lower than the same week last year.

Reuters recently reported, “The supply crunch prompted the governors of Iowa, [Indiana], Minnesota, North Dakota, South Dakota and Wisconsin in recent days to sign executive orders temporarily lifting regulations restricting what hours commercial drivers can transport propane, gasoline and diesel fuel to retail suppliers, to try to get the fuel to farmers and farm cooperatives as fast as possible.”

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