The National Association of Wheat Growers (NAWG) and U.S. Wheat Associates (USW) applaud the tentative agreement reached between the railroads and rail union representatives that averts a rail shutdown ahead of Friday’s deadline. NAWG and USW would encourage a swift ratification of the agreement.
“Our country’s reputation as the world’s most reliable wheat supplier depends heavily on functioning rail transportation and that won’t change in the future,” said USW President Vince Peterson. “So we welcome this tentative agreement and hope both sides continue to work together to serve shippers like the U.S. wheat industry.”
A railroad strike would have cost the overall economy over $2 billion per day and would have devastating consequences for the prices farmers receive and consumers pay. Wheat farmers are uniquely reliant on rail due to the large distances between production and consumption. Rail has moved over 1 billion bushels of wheat over the last five years, with one car containing enough wheat to make 250,000 loaves of bread.