Export opportunities for Kansans through the Gulf of America
MANHATTAN (KSNT) - Earlier this month, a group of about 70 agricultural and logistics stakeholders gathered to learn about new export opportunities for Kansas through the Oklahoma Port of Catoosa.
In the meeting sponsored by the Kansas Soybean Commission on Friday, Oct. 10, representatives from the Ports of Tulsa were at the Kansas State University IGP building to discuss plans for expanding the port. We spoke to K-State Senior Economist for the International Grains Program, Guy H. Allen, about the meeting.
Tulsa Ports is working on developing its river terminal in Catoosa with plans to add rail connections, making it a hub for truck, river and rail transport. The plan could provide Kansas, Oklahoma and surrounding states direct access to the Gulf of America via the McClellan–Kerr Arkansas River Navigation System.
Tulsa Ports encompasses two 2,500-acre industrial parks and inland ports at the Tulsa Port of Catoosa and the Tulsa Port of Inola. The project is being developed in collaboration with Tulsa Ports, BNSF and Kansas agriculture stakeholders.
"The river has been fairly well developed; they're trying to hook it up to rail," Allen said. "If you have truck, rail and river, you have a logistical hub."
Allen said freight and rail rates fluctuate, influencing whether commodities move by barge or rail. He said the plan could potentially cut export and logistics costs.
"It depends on how the logistics work," Allen said. "When Kansas has a big crop like this year, it will have more grain to go to the export market."
According to Tulsa Ports' website, Tulsa Ports lacks intermodal container handling, causing companies to truck containers to Kansas City or Dallas. If a company from Tulsa is shipping outbound or inbound, it will primarily go to those two rail hubs.
The Kansas Soybean Association has been looking into alternative markets lately. Since the beginning of the Trump Administration, China has not purchased any new crop soybeans, which Allen says has frustrated Kansas farmers. China was the largest buyer of soybeans in the world, typically buying as much as half of the U.S.’s exports every year.
"You can find other markets, but they haven’t been successful in doing that," Allen said.
We have reached out to Tulsa Ports for more information and will update this article with its response.
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