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Thursday, July 19, 2012

Trade Dries Up Along With Mississippi - WSJ.com

Trade Dries Up Along With Mississippi - WSJ.com
Barge operators have sharply reduced their loads to get through tightening river passages. They say major rain is needed soon or they would have to reduce commerce even more, causing shipment delays and driving up transportation costs. With forecasts showing little prospect of significant rain, hydrologists see no relief in sight for the giant inland waterway that also includes the Ohio River.
The rivers and their tributaries, which splay out across the eastern and central U.S. like a tree with many branches, let barge operators ferry key American exports, including grain, corn and soybeans, and imports such as steel, rubber and coffee. Coal, fertilizer and petroleum products move up and down the rivers as well. Barge transport is generally less expensive than moving goods by train or truck, depending on the location and the material.
While parts of the river system can handle normal traffic now, disruptions along the Mississippi—the main trunk of the river system's tree—cause costly delays. Shippers worry that the drought could become as bad as 1988, when low water halted barge traffic for days.

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