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NCGA Refutes NRC Report on Corps’ Lock Modernization Plan (10-20-04)

The National Corn Growers Association (NCGA) today challenged recent assertions by the National Research Council (NRC) that the U.S. Army Corps of Engineers’ navigation study is “flawed” and does not justify construction of new locks on the upper Mississippi and Illinois rivers.

NCGA leaders said the latest NRC report is a last-ditch effort by opponents of lock modernization to derail legislation pending in Congress and a recommendation from the Corps’ Chief of Engineers to build seven new locks on the two rivers.

“This is plainly another attempt by NRC to throw 12 years of Corps research out the window,” said NCGA President Leon Corzine. “Not only is the NRC overlooking a wealth of credible economic data that projects an increase in barge traffic, but it is also failing to recognize the environmental and safety benefits provided by our waterways.”

An NRC report released in early October contends that the economic models used by the Corps to predict future demand for barge transportation are unsound and unrealistic. NRC also incorrectly asserts that the Corps did not thoroughly investigate non-structural options to alleviate congestion.

“The NRC is making the same hollow arguments that it’s made throughout the entire navigation study process,” said Rodney Moe, chair of NCGA’s Production and Stewardship Action Team. “These arguments have been thoroughly discussed, discredited and dismissed time and time again. Farmers, environmentalists, industrialists, consumers and all stakeholders who benefit from river transportation have voiced overwhelming support of the Corps recommendation to upgrade these deteriorating locks. Congress is listening. Why isn’t the NRC listening?”

NRC, a division of the National Academy of Sciences, has repeatedly claimed that barge movements will remain static because of unchanging export demand. “The (NRC) committee said there are no overwhelming regional or global trends that clearly portend a departure from relatively steady levels of U.S. grain exports over the last 20 years,” NRC concluded. “Absent major changes in international income levels, consumer preferences, or grain production, all of which can affect demand for American grain, the committee said future U.S. grain exports are likely to remain flat, at least in the near term.”

However, the U.S. Department of Agriculture recently projected corn exports to grow 44 percent over the next decade, with one-third of the increase exported through ports served by the Mississippi River. Additionally, Sparks Companies Inc. looked at five possible trade scenarios for future farm product barge movements on upper Mississippi River. In four of the five scenarios, barge traffic is projected to increase.

Exports aside, NCGA CEO Rick Tolman said the NRC is also overlooking the value of the river system for interstate shipment of grain, ethanol and other commodities.

“This isn’t simply a matter of maintaining reliable routes to export markets. We’re expecting a huge corn crop this year and domestic usage is growing quickly,” he said. “With concerns about rail and truck capacity, barge transportation is becoming increasingly important for transporting corn, ethanol and coproducts to and from domestic processing facilities. More ethanol is moving domestically on the rivers than ever before, and that trend will surely continue in the future.”

Nearly 70 percent of this year’s corn crop will be consumed by domestic livestock and ethanol markets in 2005, Tolman noted, making it necessary to have reliability in all modes of interstate transportation.

“Many important domestic markets are accessible by river and we need a dependable locks system to reach those markets in a timely manner,” he said. “And in many cases, these markets are located in corn-deficit states.”

Corzine said corn growers – and all stakeholders who benefit from river transportation – should continue to contact their lawmakers and discuss the crucial need for new locks on the Mississippi and Illinois rivers. “Though this NRC report is not likely to gain much traction, corn growers should again contact their legislators to let them know we support the construction of new locks and the expeditious authorization of the Water Resources Development Act,” he said.

 

Last reviewed October 20, 2004



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