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Trouble at Old River: The Impact of a Mississippi River Avulsion on U.S. Soybean Exports

Author

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  • Lazard, Patrice M.
  • Kennedy, P. Lynn

Abstract

The Mississippi River transportation system provides relatively low transportation costs for bulk commodities, enhancing U.S. competitiveness in the world soybean market. The Mississippi River’s urgency to change course and disrupt barge travel to the New Orleans Gulf Port Region puts this advantage in jeopardy. Using transportation costs of specific modes and routes to port of import destinations, we determine that a change in the river’s course would lead to an overall 27.27% increase in total costs of shipping soybeans to Shanghai, Rotterdam, and Veracruz.

Suggested Citation

  • Lazard, Patrice M. & Kennedy, P. Lynn, 2020. "Trouble at Old River: The Impact of a Mississippi River Avulsion on U.S. Soybean Exports," Journal of Food Distribution Research, Food Distribution Research Society, vol. 51(3), November.
    • Handle: RePEc:ags:jlofdr:309031
    DOI: 10.22004/ag.econ.309031
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    References listed on IDEAS

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    1. Fellin, Luis & Fuller, Stephen & Kruse, John & Meyer, Seth D. & Womack, Abner, 2008. "The Upper Mississippi and Illinois Rivers as Grain Transport Arteries: A Spatial Mapping Equilibrium Analysis," Journal of the Transportation Research Forum, Transportation Research Forum, vol. 47(2).
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    4. Stephen W. Fuller & Luis Fellin & Ken Eriksen, 2000. "Panama canal: How critical to U.S. grain exports?," Agribusiness, John Wiley & Sons, Ltd., vol. 16(4), pages 435-455.
    5. Reis, Silvia Araújo & Leal, José Eugenio, 2015. "A deterministic mathematical model to support temporal and spatial decisions of the soybean supply chain," Journal of Transport Geography, Elsevier, vol. 43(C), pages 48-58.
    6. Denicoff, Marina R. & Prater, Marvin & Bahizi, Pierre, 2014. "Soybean Transportation Profile," Research Reports 187160, United States Department of Agriculture, Agricultural Marketing Service, Transportation and Marketing Program.
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