Transportation Update: Challenges remain; keep lines of communication open

While there have been some signs of progress on the global shipping front since the passage of the Ocean Shipping Reform Act in June, many challenges remain for SSGA member companies who export identity preserved soybeans and other specialty grains and oilseeds to foreign customers via shipping container.

Container freight struggles remain, and casualties throughout the supply chain are real and a threat to the industry, said one SSGA exporting member. Sourcing equipment, such as shipping containers, in rural America continues to be a real problem, said another, noting serious issues at ramps in Minneapolis and Kansas City in particular. Exporters who ship via container continue to be plagued by and frustrated with daily changes in early return dates (ERDs), something they’re facing with all carriers. These changes result in higher costs and can tie up chassis availability. Other issues in trucking, as well as rail, where the potential of a national strike looms, also threaten the timely delivery of agricultural products from rural America.

Making sure that dialogue remains open between suppliers and customers, as well as between suppliers and transportation companies, regulators and government officials, remains highly important at this time. Progress was made over the summer, but there’s a long way to go.

SSGA members know it’s important to talk about the United States as a reliable supplier of our products, and we are. But we also have to be able to talk about the realities of the situation with our customers who are relying on us to deliver. Freight has been and remains the biggest industry challenge to all members of our identity preserved supply chain.

SSGA and its members are open to all suggestions, ideas and solutions from inside and outside the industry. These exchanges give us all a platform to garner support. Reach out to our staff.

When we talk to customers about the specialty industry and identity preserved, they tell us they appreciate the direct connections and close relationships they have with their suppliers. Lean on those connections. Engage in real dialogue about the situation. They need to understand the challenges and may be able to provide answers on their end as well.

From fork to farm and back again, SSGA is here to listen and to help.