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On Jan. 30, 2024, Casey Chumrau, CEO of the Washington Grain Commission, offered compelling testimony supporting the crucial infrastructure of dams and locks on the Columbia Snake River System (CSRS) at a U.S. House Energy, Climate, and Grid Security Subcommittee hearing. U.S. Wheat Associates (USW) and the National Association of Wheat Growers (NAWG) sent separate letters with their observations of the essential nature of the CSRS for U.S. wheat export competitiveness.

Following are excerpts from Chumrau’s testimony.

Grain growers in the Pacific Northwest (PNW) rely on the Columbia Snake River System, and the Lower Snake River Dams (LSRD) in particular, for their livelihoods. More than 55 percent of all U.S. wheat exports move through the PNW by barge or rail. Specifically, 10 percent of wheat that is exported from the United States passes through the four locks and dams along the Lower Snake River. This is especially important for our state because Washington is the fourth largest wheat exporter in the nation, exporting 90% of the wheat produced in the state. Across the agriculture industry, the Columbia Snake River System is the second largest gateway for soybean and corn exports coming from as far as the Midwest. The river system also serves as an important channel to bring crop inputs, like potash, to farmers in the region who need fertilizer to produce the safe and affordable food supply that is found on every American’s table.

Casey Chumrau, CEO, Washington Grain Commission, giving testimony on Columbia Snake River System Jan. 30, 2024, to a U.S. House subcommittee hearing.

Casey Chumrau, CEO, Washington Grain Commission, giving testimony on Columbia Snake River System Jan. 30, 2024, to a U.S. House Energy, Climate, and Grid Security Subcommittee hearing.

Economic Impact

Washington’s agriculture industry, and its ability to produce and export products globally, are critical to the state and region’s economy. The total value of wheat exported through the PNW is nearly $4 billion per year.

For Washington, the state is among the top 20 states for agricultural exports in the nation, with over $8 billion in Washington-grown or processed food and agriculture exports in 2022. A significant volume of food and agriculture products from other states including soybeans, wheat, and corn are exported through Washington state ports each year. Once these pass-through exports are combined with Washington-grown or processed exports, the total value reaches over $23 billion.

The Washington wheat industry alone contributed over $3.1 billion to the state’s economy in 2022, with a heightened impact in rural areas. In the same year, total direct employment associated with Washington wheat production amounted to 3,672 jobs in 2022. Indirect and induced employment also grew and supported another 11,676 jobs.

The impact that Washington farmers have on their local and regional economy is similar in communities across the country. In addition to direct sales of farm goods and commodities, farmers contribute to the economy and support other rural businesses through purchases of farm business inputs – everything from seed and fertilizer to business services. Additionally, the personal purchases of both farmers and their employees help to stimulate local economies and keep small businesses ruining.

Locks and dams on the Lower Snake River and the Columbia River provide essential infrastructure for moving U.S.-grown wheat to high-value markets around the world. We cannot overstate the positive value they create for U.S. farms, [the] economy of the Pacific Northwest and far beyond. – From USW letter to House subcommittee hearing on the Columbia Snake River System

Supply Chain and Transportation

Over the last seventy years, growers and their federal government partners at the U.S. Department of Agriculture have invested billions of dollars and countless hours to build strong relationships with our trading partners. The U.S. wheat industry differentiates itself by providing high-quality wheat and reliable delivery. The United States is a reliable trading partner in large part because of our world class, multi-modal infrastructure, which allow us to safely and efficiently ship products around the world. Any disruption to that system would hurt our ability to consistently provide abundant, high-value food products and remain competitive with other agricultural exporters in the world and weaken the competitiveness of U.S. producers in global markets.

Grain growers in PNW states are at the tip of the spear of those who would feel the disruption of having to divert export goods to trucking and rail because there is insufficient alternative transportation infrastructure to replace the barge shipments of grain along the Columbia Snake River System to export markets. For example, one loaded covered hopper barge carries over 58,000 bushels of wheat. It would take 113,187 semi-trailers each year carrying 910 bushels of wheat to replace the 103 million bushels shipped on the Snake River via barge annually. That is 310 more trucks each day, making round trips to the Tri-Cities, 365 days per year. To that end, barging is the most fuel-efficient mode of transportation when compared to railroads and trucking. Each barge that must be replaced by a truck means more pollution, more traffic, increased costs and increased wear and tear on our roads – and that’s if we could even hire the drivers needed to drive these trucks in the increasingly tight labor market for drivers.

Path Forward

We strongly believe that dams and salmon can and do co-exist. With a myriad of challenges facing the salmon population, we are committed to building upon current investments and technological advancements. Currently, the Lower Snake River Dams have world-class fish passage and juvenile survival rates upwards of 95 percent. We believe any work moving forward should build off the fish passages, instead of eliminating them. We also support investments made at the federal and state level for culvert removal, fish habitat restoration, toxin reduction, and predator abatement.

Conclusion

The opportunities to ensure salmon populations continue to grow do not have to come at the cost of destroying the integrity of the Columbia Snake River System and the livelihood of farmers. The importance of the river system for the agriculture industry, and particularly for grain growers across Washington, cannot be overstated. I look forward to discussing the importance of the four Lower Snake River Dams with you today. Thank you.

To read more about this issue, see these previous “Wheat Letter” posts:

Exports Depend on Snake River Dams

USW Expresses Support for Maintaining Lower Snake River Dams

Wheat Leaders: Protect Lower Snake River Dams

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An extended closure of the Columbia Snake River System (CSRS) is scheduled from January 14 to March 29, 2024, to replace major components at the John Day and McNary dams (see above) on the Columbia River, and at the Lower Monumental, Little Goose, and Lower Granite dams on the Snake River.

Similar extended closures occurred in 2010 and 2016. This maintenance to be performed represents a forward-thinking investment by the U.S. Army Corps of Engineers to assure this critical waterway remains operational for decades to come. The additional improvements will help the U.S. wheat export supply system remain the most reliable in the world.

A Partner in USW

U.S. Wheat Associate (USW) recognizes that the river system upgrade raises questions for customers sourcing U.S. wheat off Pacific Northwest (PNW) ports. Experience during the last two closures shows the PNW supply system will use every logistical option to keep wheat flowing to export elevators. USW stands ready to partner with buyers to help manage any impact related to the extended closure.

Grain barges in a lock at one of the dams on the Columbia Snake River System in Washington state.

Lowered for Navigation. Barges loaded with U.S. soft white wheat are about to exit downstream from a lock on the Columbia Snake River System. which must be operational for the river system to function. Each of the 8 locks on the system must be operational for safe, efficient barge navigation. U.S. Wheat Associates photo.

The Supply Chain Is Ready

About 75% of annual PNW soft white (SW) and club wheat exports are barged on the CSRS and Willamette Rivers. Knowing the CSRS will be closed during the upgrade, exporters, grain originators, barge operators, railroads, and trucking lines are prepared to minimize interruptions and costs. Some options included:

  • Pre-positioning the maximum number of barges to load wheat before the extended closing.
  • Moving more rail cars and locomotives into the region to manage increased demand from rail-loading interior elevators.
  • Pre-positioning more SW and club in Columbia River District export elevators before the closure.
  • Loading SW in barges from elevators below the John Day dam during the closure.
  • Coordinating truck delivery from the Willamette Valley, south of Portland.

Consult with USW and PNW exporters to help smooth any logistical challenges.

Preparation Will Also Benefit Buyers

USW believes there will be sufficient volume of all U.S. wheat classes normally available from the PNW. Buyers can also help lower the risk of interruption and minimize potential costs by taking a longer view of their supply chain needs. USW advises its customers to consider:

  • Consulting with PNW exporters to help give exporters more time to respond to your needs and to manage logistical challenges.
  • Scheduling a meeting soon with a local USW representative to identify buying strategies that fit those specific needs and capabilities.
  • Analyzing inventory needs and logistical capabilities.
  • Increasing SW wheat and/or flour storage capacity.
  • Increasing SW purchase cadence before the closure.

Working Together

As an objective voice for U.S. wheat producers, USW values the trust customers have in our products and service. Our focus remains fixed on helping buyers, millers, and food processors learn how to grow their enterprises using our wheat. Working together, we believe we can help ease any concerns related to the 2024 extended closure and strengthen our partnership. USW looks forward to assisting you now, as always.

For more information, contact your country or regional USW office, and visit the Pacific Northwest Waterways Association online.

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The following article about the importance of the Lower Snake River lock and dam system was written by Michelle Hennings, Executive Director, Washington Association of Wheat Growers, on behalf of Northwest RiverPartners, and appeared in The Spokesman-Review, Spokane, Wash., on Aug. 30, 2023. Excerpts are reprinted here with permission. 

In the hottest year ever recorded, another wheat harvest is wrapping up. Extreme weather means it’s more important than ever to preserve the critical infrastructure we depend on to deliver goods to market. The Lower Snake River dams provide affordable, clean, and reliable energy for our farms and communities, but the benefits of these dams extend even further.

The dams enable efficient transportation of our wheat to global markets. The navigable waterways allow us to transport larger quantities of our products at lower costs, making our exports competitive in the international market. Ten percent of all wheat exported from the United States travels on barges through the lower Snake River. To replace the cheap and efficient barges, grain would need to be trucked to ports on the coast, clogging roads and generating air pollution in local communities.

Ice Harbor Dam on the Lower Snake River System in Washington state.

Four locks and dams, including the Ice Harbor Dam above, on the Lower Snake River are essential to move massive amounts of wheat from farms and river terminals in Idaho and Washington to export elevators serving Pacific Rim wheat buyers.

The dams also provide a critical water source for irrigation, enabling area farms to cultivate crops even as our summers heat up. Without them, we would lose 48,000 acres of irrigated farmland and thousands of farmers could lose their livelihoods.

[Note: The article continues with a discussion of the renewable hydropower energy generated from the Lower Snake River dams.]

Caring for Salmon

As farmers, we also care deeply about salmon preservation. The importance of responsible resource management is core to everything we do. But we strongly believe that removing the lower Snake River dams is not a responsible reaction to salmon struggles.

It is highly unlikely that salmon populations will substantially benefit from removing the dams. In fact, Chinook salmon return to the Snake River at about the same rate as undammed rivers in Alaska and Canada, possibly due to the dams’ highly effective fish passage systems.

What are scientists on the river saying? According to a recent story in the Capital Press, a regional newspaper covering agriculture issues across the Pacific Northwest, “The vast majority of salmon are getting up, over, around and through the four lower Snake River dams even as legal challenges and political battles swirl around them, according to the federal agency in charge of monitoring fish health.”

The data show that dams and salmon can coexist, and they must. According to a 2021 NOAA Fisheries study, salmon are facing an existential threat from the warming ocean. Getting rid of the dams makes us more reliant on electricity from fossil fuels, adding to the CO2 problem. Wind and solar power are great, but it will take decades before enough are built to replace existing coal and natural gas plants.

As experts in sustainable ecosystem management, farmers understand the importance of maintaining balance in systems. We know that every action can have both intended and unintended consequences.

We see plainly that losing the lower Snake River dams would have devasting unintended consequences for the farming community and the millions of other people in the Northwest who rely on the hydropower system for clean, affordable, and reliable electricity.

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According to the U.S. Department of Agriculture, approximately 31% of U.S. exported wheat is moved by barge to export points in the Gulf of Mexico and the Pacific Northwest (PNW). Barging is an extremely safe, efficient, and competitive mode of transporting grain for export, contributing to our robust grain marketing system.

As key gateways for wheat exports, this article will explore recent barge freight trends on the Mississippi River (photo above) and Colombia Snake River System (CSRS), highlighting their effectiveness and providing updates about current issues.

Map of the U.S. shows the Mississippi River system, and the Columbia Snake River System to show where barging is important for U.S. wheat export logistics.

The Mississippi and the Columbia-Snake River systems are major transportation routes facilitating exports from the Gulf of Mexico and the PNW. Source: USDA/Agricultural Marketing Service/Transportation and Marketing Program/Transportation Economics Division.

Mississippi River Update

About 8% of all U.S. wheat moves on the Mississippi River system, bringing primarily soft red winter wheat (SRW) from growing regions in the eastern U.S. to export in the Gulf of Mexico via the Mississippi, Missouri, Illinois, and Ohio rivers. The Mississippi River system spans an immense geographic area, originating grain from as far north as Minnesota and as far east as Ohio and Illinois. Barges on the Mississippi River can carry 1,750 MT of grain, and a 15 barge tow can transport over 26,000 MT, the equivalent of 2 unit trains. Exports from the Gulf of Mexico account for 33% of U.S. wheat exports. Though wheat only accounts for 3% of Mississippi River barge movements, it is still an essential and efficient mode of transportation for U.S. wheat.

In the fall of 2022, low water levels on the lower Mississippi River slowed exports at ports on the Louisiana Gulf to their lowest level in 9 years. As a result, barge rates skyrocketed, and grain flows were restricted.

Monthly Downbound Grain Barge Rates

In October 2022, Mississippi River barge rates spiked to a record high of $2,092.83, 150% above the next highest price, due to low water levels and restricted barge flows Source: USDA Monthly Downbound Grain Barge Rates.

Since last fall, Mississippi River barge tariffs have normalized. However, according to the latest Grain Transportation Report, barge movements on the Mississippi River (Lock 27- Granite City, IL) are down 46% from last year and 72% below the three-year average. This decrease is attributed primarily to lower exports for all commodities (wheat, corn, and soybeans). Looking ahead, draft reductions in the lower Mississippi River may be a recurring issue as dryness in the Midwest persists.

this chart of barge movement on the Mississippi River show the downward trend in volumes seasonally and over the past several years.

Barge movements vary by season on the Mississippi River, but are down 46% from last year and 72% from the three-year average, driven primarily by a sharp decrease in grain exports. Weekly inspections for exported grain (wheat, corn, and soybeans) are down 47% from last year and 45% below the three-year average. Source: USDA Grain Transportation Report.

Columbia Snake River System

Shifting our focus to the PNW, the Columbia Snake River System (CSRS) accounts for 60% of all U.S. wheat exports via the deep-water draft ports on the Lower Columbia River. By barge alone, over 10% of all U.S. wheat exports move on the CSRS from as far inland as Lewiston, Idaho (360 miles). From an efficiency standpoint, according to the Pacific Northwest Waterway Association, barges on the CSRS can carry 3,500 MT of grain, and a four barge tow can transport over 14,000 MT, the equivalent of 1.5 unit trains and over 580 trucks.

From January 14 to March 29, 2024, an extended closure of the CSRS is scheduled to replace components at the John Day and McNary dams on the Columbia River and at the Lower Monumental, Little Goose, and Lower Granite dams on the Snake River. Routine maintenance assures the waterway remains a reliable mode of grain transportation and helps maintain the competitiveness of U.S. wheat. Similar to the Gulf of Mexico, grain exports from the PNW are down 71% from last year and 65% below the three-year average, subsequently impacting demand for barges.

Due to low export demand, grain exports from the PNW are down 71% from last year and 65% below the three-year average. Source: USDA FGIS Export Grain Inspections Data.

A Reliable System

U.S. Wheat Associates is committed to sharing transparent and pertinent information to customers about inland logistics issues, as domestic transportation makes up a significant portion of U.S. wheat export basis. Though barges only make up a small portion of U.S. inland logistics, barging helps ensure the U.S. remains the most reliable choice for world importers by complementing the use of Class I railroads and trucks. With diverse origination options and numerous modes of transportation, regardless of the class or export point, U.S. wheat is always available.

This is the first in a series of three articles about the efficient and reliable U.S. grain export transportation system. Future articles will focus on rail and ocean freight logistics.

By USW Market Analyst Tyllor Ledford.

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Whitman County in eastern Washington State is the most productive wheat-producing county in the United States. There, near the town of St. John in “The Palouse,” the Bailey family has grown winter and spring soft white and club wheat and barley for three generations.

Erin Bailey and her father Mark Bailey working on equipment on their farm in eastern Washington state as part of the Stories of Stewardship campaign.

Erin Bailey and Mark Bailey farm with Mark’s brother Gary in eastern Washington’s Palouse country. “It is my responsibility to [farm] sustainably to provide for the next generations of our family,” Erin said.

Gary Bailey (above with a team of wheat buyers from Myanmar and Malaysia) farms with his brother Mark Bailey and Mark’s daughter Erin. He serves on the Washington Grain Commission and represents his state as a Director of U.S. Wheat Associates. He also serves on Washington State University’s Land Legacy Council.

“Whitman County has deep, fertile soils and adequate rainfall to produce a great dryland wheat crop,” Gary said. “And we want to keep it around for the next generation. So, we are doing whatever we can to maintain that soil base and, in fact, to improve it.”

Reducing Environmental Impact

According to the Washington Grain Commission, over many generations, wheat farmers in the state have embraced stewardship and successfully reduced their environmental footprint while remaining highly productive. The adoption of no-tillage and reduced tillage equipment and systems has helped them dramatically reduce soil erosion. Precision technology has helped reduce the volume of crop protection inputs needed to ensure wholesome and productive crops.

“Protecting our farmland is one of the major challenges we face,” said Mark Bailey. “So we have to continually change the ways we grow wheat and other crops and do the best job we can to keep those resources for the next generation and the next.”

Learn More

Gary, Mark, and Erin Bailey shared more about preserving their land and growing safe, wholesome wheat for their family and the world in the following video story produced in 2020.

U.S. Wheat Associates (USW) is reaching out to wheat farmers across the United States to learn how they strive to improve their land and manage resources. Each is committed to adapting to the many challenges they face and making choices that are best for the environment, their individual farms, and their customers. We are proud to share their “Stories of Stewardship.”

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In March, U.S. Representatives Dan Newhouse (R-WA) and Cathy McMorris Rodgers (R-WA) introduced the Northwest Energy Security Act to protect four lower Snake River Dams. Senators Jim Risch (ID) and Steve Daines (MT) introduced a companion bill in the Senate. While the legislation focuses mainly on the benefits of hydroelectric power, protecting the lock and dam system will also preserve efficient barge delivery of U.S. wheat to export elevators in the Pacific Northwest.

These members of Congress and Pacific Northwest wheat leaders provided the following comments about the effort to protect Snake River dams.

Region Cannot Afford to Lose Dams

“The four lower Snake River Dams are integral to flood control, navigation, irrigation, agriculture, and recreation in Central Washington and throughout the Pacific Northwest—to put it simply, we cannot afford to lose them,” said Rep. Newhouse. He also expressed concern regarding the amount of non-scientific information being used to mislead people regarding the dams.

“A comprehensive, scientific process made clear dam breaching on the lower Snake River is completely unnecessary and unwarranted,” said Senator Risch. “With the Northwest Energy Security Act, Congress will ensure the Columbia River Power System continues to provide reliable and clean energy and supports the region’s transportation, agriculture, and irrigation needs.”

River Transportation Essential for Wheat

Grain barge navigation on the Columbia Snake River System is an essential part of a logistical web that moves over half of all U.S. wheat exports to more than 20 Pacific Rim countries including some of the largest U.S. wheat buyers in the world. The Snake River moves more than 10% of all wheat that is exported from the United States. Barging is also the most environmentally sound and efficient mode of transportation in the region, benefiting farmers and overseas buyers by helping keep export basis lower.

This is why U.S. Wheat Associates (USW), state wheat commissions, the National Association of Wheat Growers and state wheat associations strongly support the sustainability and reliability of wheat transportation by barge.

Map of the Columbia Snake River System from Pacific Northwest Waterways Association

Eight Steps Down. Lock and dam systems on the Columbia Snake River System allow barges to efficiently and safely navigate the 222-meter elevation change from Lewiston, Idaho, to export elevators as far west as Longview, Wash.

“The Washington Grain Commission supports continued efforts to maintain the Snake River dams as an essential piece of the larger Columbia River System,” said WGC CEO Casey Chumrau. “Washington farmers rely on the river system to transport more than half of the state’s wheat and access overseas export markets. Barging is the most environmentally sound and economically viable mode of transportation in the region and critical to the competitiveness of Washington farmers.”

“The importance of the four lower Snake River dams to our region’s farmers and rural communities for both transportation and energy production cannot be overstated,” said Bryan Searle, president of the Idaho Farm Bureau Federation. “The science is clear that salmon and dams can co-exist, and therefore we support the Northwest Energy Security Act. The members of the Idaho Farm Bureau Federation thank the sponsors of the bill.”

“The Snake River dams are vital to Washington’s wheat growers,” said Michelle Hennings, executive director of the Washington Association of Wheat Growers. “Scientific evidence conducted by the U.S. government has proven that removing the Snake River dams goes against environmental statutes and public interests. Washington wheat growers support any efforts that ensure the dams continue to operate as an integral part of the Columbia River System.”  

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For six or seven seconds Monday afternoon, a group of wheat farmers from Idaho were able to imagine pushing 15,000 metric tons of wheat up the river. Maybe the wheat had been harvested in Idaho, or maybe it came from Washington or Oregon or Montana or even the Dakotas. Regardless, the imaginary barges under their control – the tugboat they each got to pilot was real, the barges not so much – were filled with U.S. wheat destined to be loaded on a ship headed for an export market.

The tugboat “driving lesson” was part of the Wheat Export and Marketing Workshop, an annual educational seminar and tour sponsored by the Idaho Wheat Commission and anchored at the Wheat Marketing Center in Portland, Oregon.

Here’s a brief video from the first day of the 3-day workshop:

 

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It was an unusually calm morning at Blown Away Ranch outside Ione, Oregon. Dozens of wind turbines surrounding Deacon and Erin Heideman’s farm operation were still as we pulled up to their tidy, welcoming homestead. A mastiff dog named Duke greeted us first. He was as big as a calf, but quickly let us know we were welcome.

I was travelling in the Pacific Northwest (PNW) with two Korean journalists doing research for an article on how U.S. wheat is developed, grown and transported to flour mills, bakeries and consumers in South Korea. U.S. Wheat Associates (USW) and the wheat commissions in Washington, Idaho and Oregon welcomed the opportunity to show these reporters the wholesome, reliable nature of our export supply system.

South Korean flour millers have imported U.S. wheat for more than 50 years. Over the past 10 years, the average import volume is almost 1.3 million metric tons (MMT) per year including soft white (SW) and Western White, hard red spring (HRS), and hard red winter (HRW).

In Washington’s Palouse Country

I met Mr. Changsup Song and Mr. Haewook Kim on a Monday afternoon at the Washington Grain Commission (WGC) office in Spokane, Wash. They had spent the morning learning about the Washington wheat industry with WGC CEO Glen Squires and Vice President Mary Palmer Sullivan. They also saw how up-country elevators like High Line Grain Growers near Cheney, Wash., load train cars with SW wheat bound for river terminals and export elevators.

Wheat and fallow fields in eastern Washington's Palouse Country seen from the peak of Steptoe Butte

Eastern Washington’s Palouse Country (here from atop Steptoe Butte near Colfax, Wash., in October 2022) boasts one of the world’s most ideal places to grow wheat.

On the drive from Spokane to Pullman, Wash., we braved the tight curves on the drive up Steptoe Butte to take in the panoramic view of Washington’s iconic Palouse Country. Here and there we could see the dust from a few farmers still planting winter SW in mid-October. Away from irrigated land around rivers, dry land farmers in the region plant into fields that have lain fallow for a full year to increase available moisture and improve organic matter in the soil.

On the Washington State University (WSU) campus in Pullman, the journalists saw how WGC invests money from wheat farm families in new variety research and development. At the recently expanded breeding lab, Dr. Aaron Carter, Professor, O.A. Vogel Endowed Chair in Winter Wheat Breeding and Genetics, WSU, and Dr. Kim Garland-Campbell, Research Geneticist, USDA-ARS, explained how their work serves both farmers and end-users. Field testing proves the yield potential of each new line. The functional quality of flour from the varieties is first tested in cooperation with the USDA’s Agricultural Research Service Western Wheat Quality Laboratory on the WSU campus where Research Biologist Dr. Alecia Kiszonas hosted our tour.

Conventional Cross-Breeding is the mainstay of work done by Washington State University and the USDA-ARS. USDA geneticist Dr. Kim Garland-Campbell showed Korean journalist Haewook Kim (above) research on new Club wheat varieties. Breeding efforts focus on developing cultivars with high yield potential, excellent end-use quality, and resistance to biotic and abiotic stress.

How the Wheat is Moved

Our little team moved on to Lewiston, Idaho, where Song and Kim interviewed Genesee wheat farmer and Idaho Wheat Commissioner Joe Anderson. Their questions focused on the varieties Anderson plants and about the risk management tools available to PNW farmers. A stop at the Lewis and Clark Terminal showed how farmers deliver truckloads of grain that is segregated by protein level, stored and then loaded onto barges for the journey down the Snake River to the Columbia River and export elevators in the Portland, Ore., area. The Port of Lewiston is the most inland port on the U.S. west coast.

Korean journalist Changsup Song photographs soft white wheat being unloaded from a trailer at the Lewis and Clark Terminal in Lewiston, Idaho.

Korean Journalist Changsup Song photographs soft white wheat being unloaded from a pup trailer at the Lewis and Clark Terminal in Lewiston, Idaho.

Our long drive from Lewiston, through Washington State’s Tri-Cities, to Portland featured the truly unique vistas along the Columbia River and the wheat country of northern Oregon.

Korean journalist Kim in front of the Heideman family's wheat seeding rig

Ready to Ride. Journalist Haewook Kim rode with Deacon Heideman as he planted soft white wheat at Blown Away Ranch.

Our visit with the Heideman family gave Song and Kim additional insight into dry-land wheat farming, while enjoying fresh, homemade cake baked with flour from the family’s operation. The chance to ride and talk with Deacon Heideman as he planted soft white wheat was a highlight for the journalists. The photo at the top of this page is from the ranch’s website.

We are a family farm raising wheat for a global market, working diligently to be sustainable. Our desire is to share our slice of heaven with others while maintaining our farming heritage so that we can pass it to the next generation in a better state.” – The Heideman Family, Blown Away Ranch, Ione, Oregon

Outside of Grass Valley, Ore., USW Past Chairman Darren Padget discussed how PNW farmers help ensure they produce the best quality wheat possible by publishing a Preferred Variety List based on yield potential and functional quality. His family had completed harvest and winter wheat planting by the time our team arrived, but Darren was able to show Song and Kim the operation’s seeding, application and harvesting equipment.

Assuring Quality and Supply

In Portland, Ore., after a briefing with the USW West Coast Office team and the Oregon Wheat Commission, the journalists visited the Wheat Marketing Center, offering an impressive look at how farmers invest a part of their own incomes into demonstrating the diversity and quality of U.S. wheat to domestic and overseas customers.

At the regional USDA Federal Grain Inspection Service (FGIS) office, experienced inspector Jimmy Pan offered a complete demonstration of how the agency independently inspects wheat at vessel loading to certify that the quality of the wheat loaded matches the quality stated in the customer’s import contract.

FGIS inspector Jimmy Pan demonstrates the wheat inspection process to Korean journalists.

Standardized Wheat Inspection. At the FGIS regional office in Portland, inspector Jimmy Pan demonstrated to journalists Kim and Song the process inspectors must follow to certify that wheat bound for overseas customers is the same as what the customers asked for.

Even as the world’s wheat buyers face a lot of uncertainty in today’s market, USW, the farmers we represent and our state wheat commission members were happy to open up our system, processes and quality to these Korean journalists. We believe that transparency contributes to world food security and economic stability.

We also believe Mr. Song and Mr. Kim left the United States with assurance that the U.S. industry will remain an open, dependable supplier of the highest quality wheat in the years ahead.

USW thanks every organization that helped make arrangements for this important team event.

A Korean journalist photographs a wheat export elevator and loading ship on the Willamette River in Portland, Oregon.

Loading SW Wheat. Through the foggy conditions, Korean journalist Changsup Song photographs a vessel being loaded across the Willamette River at the TEMCO LLC export elevator in Portland.

By USW Vice President of Communications Steve Mercer.

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Washington Senator Patti Murray and Washington Governor Jay Inslee recently announced their recommendations concerning a final Lower Snake River Dams (LSRD) Benefit Replacement Report. Basically, they state their belief that while breaching the dams would help salmon populations, breaching should not occur until economic impacts, including substantial negative effects on the U.S. wheat export system, are mitigated.

The National Association of Wheat Growers (NAWG) responded to the recommendations August 26, reflecting the position of U.S. Wheat Associates (USW) and local organizations representing U.S. wheat growers.

“The dams play a vital role in providing a safe, efficient and affordable way for wheat farmers to get their product to market,” said NAWG CEO Chandler Goule. “We are glad the recommendations released by Senator Murray and Governor Inslee recognize the role these dams play in agriculture and acknowledge dam breaching is not feasible at present.

“However, we remain concerned and opposed to breaching as it would be detrimental to wheat growers across the region. Last month, NAWG filed public comments outlining our concerns, whereby other modes of transportation cannot simply replace barging. Wheat farmers move grain most efficiently by using the waterway instead of rail or truck while reducing greenhouse gas emissions. NAWG remains committed to working with our federal partners and stakeholders to meet the challenge of helping facilitate a healthy river ecosystem while supporting wheat growers.”

 

The Idaho Wheat Commission produced the video story above about the Columbia Snake River System and its irreplaceable role in the Pacific Northwest U.S. wheat production and export system.

USW has also shared the following information about  the Lower Snake River dams:

Facts About U.S. Wheat Exports And The Columbia Snake River System

USW Expresses Support For Maintaining Lower Snake River Dams

Report On Replacing The Benefits Of The Lower Snake River Dams Generates Concern

Capital Press Reports On Proposal To Remove Snake River Dams

 

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On behalf of the U.S. Wheat Associates (USW) Transportation Working Group, we* appreciate the opportunity to provide comments on the draft Lower Snake River Dams Benefit Replacement Report.

The draft report raises serious concerns among U.S. Wheat Associates (USW) and its member states. The USW Transportation Working Group (TWG) questions many of the baseline assumptions argued in the draft report. The draft is incomplete because many of the key variables cannot be quantified. The Lower Snake River Dams (LSRD) provide a critical need that moves U.S.-grown wheat to high-value markets around the world. Breaching the dams would have serious economic consequences for producers and grain handlers. Removing the dams also runs counter to achieving climate-friendly goals.

Barging Benefits

USW strongly supports the sustainability and reliability of wheat transportation by barge. The Columbia Snake River System is an essential part of a logistical web that moves over half of all U.S. wheat exports to more than 20 Pacific Rim countries and encompasses some of the largest U.S. wheat buyers in the world. The Snake River moves more than 10% of all wheat that is exported from the United States. Because of the cost savings conveyed by barging grain and examples used in the draft report, we can conclude that farmers save considerably by using the waterway in place of rail or truck and are able to pass on savings to consumers.

Barge loading wheat to move through Lower Snake River Dams and down the Columbia River to export elevators.

The Lower Snake River Dams provide critical needs for wheat farmers, grain handlers, merchandisers, and millers. The draft report clearly outlines the benefits enjoyed by grain handlers, “barging is the lowest-cost option (per ton-mile) for wheat shipping, an additional benefit for Pacific Northwest producers, as they operate on narrow cost margins and use barging to maximize their profit per bushel.” Shifting the current volume of wheat and other grains moving via barge on the LSRD over to rail or truck is not a viable and straightforward solution as portions of the draft study imply. Rail and truck cost significantly more on a per bushel basis, and trucks have distance limitations.

Breaching Increases Transportation Costs

An excerpt from the draft report outlines the literal costs to farmers: “One of the most significant transportation impacts connected with LSRD breaching is shipping costs. Several studies cite shipping prices during scheduled lock outages for maintenance between December 2010 and March 2011 and found that during the outage, over 90% of the grain by volume was shipped by rail and that shippers experienced a nearly 40% increase in shipping and storage costs.” This example shows that railroads will use their power to raise rates when other alternatives, like the river system, are unavailable.

The Port of Lewiston is the most inland port in the U.S, Pacific Northwest. Its placement on the Snake River allows farmers in Idaho and other states to barge their wheat efficiently and affordably. The U.S. competes with six other primary wheat-exporting countries. According to the Foreign Agricultural Service (FAS), the United States is the third-largest wheat exporter in the world. However, for the U.S. to remain competitive with other wheat exporting nations, export prices must remain competitive. Inland transportation costs are a primary factor in determining the competitiveness of U.S. wheat. Using barges to ship grain is one of the most efficient and cost-effective ways that U.S. wheat farmers stay competitive.

Rail Cannot Make Up Difference

All wheat production zones in the U.S. would be impacted, not just those in close proximity to the Lower Snake River Dams system. The U.S. rail system has some severe issues with service and reliability, and in recent years, tariff costs to move wheat have steadily increased. Adding more volume to the system would raise costs for all farmers and lead to a decline in service for a significant portion of all U.S. wheat producers. This would directly impact U.S. wheat’s global competitiveness as an export market.

Transporting wheat by barge is an environmentally friendly alternative to rail and truck hauling. One four-barge tow can move as much grain as 144 rail cars or 538 semi-trucks. Removing the dams would not only remove clean hydroelectricity but would mandate more significant carbon emissions as grain handlers are forced to rely on railroads and semi-trucks for long-haul delivery to export facilities in Portland and elsewhere.

Map of the Columbia Snake River System from Pacific Northwest Waterways Association

Eight Steps Down. Lock and dam systems on the Columbia Snake River System allow barges to efficiently and safely navigate the 222-meter elevation change from Lewiston, Idaho, to export elevators as far west as Longview, Wash.

More Competition Not Less

The draft report provides no sincere considerations for alternative freight, and what suggestions it does make are unrealistic. While railroads and trucks compete with barge companies to move grain, farmers and grain handlers would be held captive without barges as an alternative.

USW supports the Columbia Snake River System and will continue to emphasize its importance in serving wheat buyers worldwide. Breaching of the dams on the Lower Snake River would have a devastating economic impact on wheat production and market competitiveness, not just in the Pacific Northwest Region, but nationally.

*This article represents public comments by the USW Transportation Working Group to the Lower Snake River Dams Benefit Replacement Report submitted July 11, 2022, by working group co-chairs Jim Peterson, Policy and Marketing Director, North Dakota Wheat Commission, and Charlie Vogel, Executive Director, Minnesota Wheat Research & Promotion Council.