Panama Canal backlog grows
An ag economist says drought conditions in Panama continue to create some challenges for agricultural shipments.
Allendale’s Rich Nelson tells Brownfield backlogs at the Panama Canal have grown in recent weeks. “They have been narrowing down the allowed number of ships which are allowed in, so we have had a little backup in ships. Anywhere from 21 days, then 25 days, now 26 days.”
But he says it isn’t a major issue for American farmers in the short term. “I think the US export situation for corn and soybeans is still kind of more focused on the US versus Brazil pricing issue. Right now we have an advantage over Brazil on corn and we still have a significant disadvantage in price though against Brazil for soybeans.”
Nelson says the U.S. is considered the Canal’s biggest user for ag shipments.