U.S. Class I railroads originated 31,788 grain carloads for the week ending November 15, marking an 8 percent increase from the previous week and 10 percent above last year’s level, according to the USDA’s November 27 Grain Transportation Report. This volume also exceeded the three-year average by 11 percent.
Railcar bid prices rose, with average December shuttle secondary bids/offers reaching $425 above tariff—$50 higher than the previous week and $422 above the same week last year. Non-shuttle secondary bids averaged $167 above tariff, up $35 week over week.
In contrast, barge grain movements for the week ending November 22 totaled 874,250 tons, down 12 percent from the prior week and 2 percent below last year. The number of barges moving downriver increased by 72 to 603, while grain barge unloads in the New Orleans region fell 15 percent to 659.
Ocean shipments also declined, with 25 grain vessels loaded in the Gulf during the week ending November 20—a 34 percent drop from last year. However, 42 vessels were expected to load in the following 10 days, slightly above last year’s pace. Freight rates from the U.S. Gulf to Japan rose 1 percent to $57 per metric ton, while rates from the Pacific Northwest to Japan increased 2 percent to $29.75 per metric ton.
Diesel fuel prices fell 3.7 cents to $3.831 per gallon but remain nearly 30 cents above last year’s levels.
Export sales data through October 9 showed unshipped corn, soybean, and wheat balances at 37.83 million metric tons, up 1 percent from the prior week and 8 percent from last year. Net export sales declined across all three commodities compared to the previous week.
