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In the World
of Transportation, U.S. corn growers have reaped the benefits of
one of the finest, most efficient transportation infrastructures
in the world. Our system of railroads and river ways has provided
U.S. corn growers access to world markets and an advantage over
competitors. Transportation is critical to the success of U.S. corn
growers because, in large part, the efficiency of grain movement
between local river terminals and export ports determines the competitiveness
of the entire market.
Despite
tremendous production advantages over many of our competitors, the
aging transportation infrastructure in the United States is becoming
a bottleneck and beginning to undermine our ability to compete in
the world market. Why? To compete effectively in the world export
market, U.S. farmers need efficient and cost-effective transportation
networks. For commodities such as corn, that means transporting
shipments to overseas markets via modern barge transportation.
Unfortunately,
our transportation infrastructure on rivers in the United States
is antiquated and deteriorating. The lock-and-dam system on the
rivers that serve the Corn Belt states is more than 60 years old.
Some of the locks on primary thoroughfares to export mar- kets,
such as the Mississippi and Illinois Rivers, are only 600 feet long.
That's far too small to accommodate the modern 1, 100-foot barge
tow, leading to delays that drive up the price of transportation
and our commodities on the world market.
The NCGA views
improvements to the entire transportation system as critical to
the United States' ability to remain competitive in the world market.
Increasing the efficiency of barge transportation on the upper Mississippi
and Illinois Rivers will directly impact corn producers throughout
the nation. Barges on the upper Mississippi River system haul more
than 1 billion bushels of corn annually to export markets. Furthermore,
major processing plants base their bid prices on river elevators,
which in turn impacts prices on the rail lines and highways away
from the mills. An efficient river system will increase bid prices
on the river and subsequently raise prices throughout the United
States.
The NCGA is
committed to ensuring transportation never becomes a barrier to
trade. We support a vital and competitive rail network for moving
corn and corn products to domestic and foreign markets. We are also
leading the effort to rebuild our entire lock-and-dam system with
an understanding of the long-term commitment of leadership and financial
resources it will entail. It is an investment in the future of U.S.
corn production.
Knowing that
improvements will likely take 20 years to complete, we are working
with Congress and the Bush administration to ensure the U.S. Army
Corps of Engineers immediately finalizes its study of the upper
Mississippi River and the Illinois Waterway System. Once the studies
are complete, improvements can begin.
Finally, the
NCGA supports operations on the Missouri River that place the highest
priority on economic uses. The only way to truly protect the environment
is with a vibrant economy.
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