U.S. farmers win with PNW port expansions

The Federal Railroad Administration announced October 25 that the Port of Kalama in Washington received over $26 million from the U.S. Department of Transportation for a rail expansion project at the Tacoma Export Marketing Company soybean and grain export terminal.

The Port of Kalama and TEMCO, a joint venture by Cargill and CHS, are working to expand the rail unloading and staging infrastructure at the terminal. According to the Soy Transportation Coalition, the facility routinely experiences significant delays due to its limited trackage.

The grant adds 25,000 linear feet of rail track that can be used to stage loaded or unloaded trains and free up actual unloading infrastructure for operation. The port estimates that this investment to increase efficiency by 25-30%, especially during winter months when soybean exports peak.

The Kansas Soybean Commission’s investment of $25,000 contributed to the larger $200,000 sum invested by soybean checkoff boards and the STC. The initial investment covered engineering, design, analysis and research costs. This investment was then leveraged to earn the $26 million grant.

“The soybean industry is currently experiencing a number of challenges,” explains Mike Steenhoek, Executive Director of the Soy Transportation Coalition. “During periods of stress and uncertainty, the natural temptation is to retreat from investing in our future. I am proud to work for farmer leaders who think differently. Increasing the efficiency of one of the nation’s leading soybean export facilities is certainly an example of moving the needle.”

The Port of Kalama achievement marked a successful joint effort from checkoffs and state soybean associations. Associations garnered support from elected officials to bolster the project’s viability.

Just up the coast from the Port of Kalama, another Pacific Northwest port celebrated an investment from soybean farmer-leaders. Farmer-leaders gathered July 30 to present the Port of Grays Harbor a ceremonial check in the amount of $1.3 million for the port’s Terminal 4 Expansion and Redevelopment Project. That investment, scheduled to be operational in late 2025 to early 2026, would allow the AGP terminal to increase annual soybean meal exports from 3 million to over 6 million metric tons. To accommodate this growth, the port plans to add 40,000 ft. of railroad track and make other infrastructure upgrades. KSC contributed $100,000 to the project in a previous fiscal year.

The greater Pacific Northwest region accounts for 25% of U.S. soybean exports.

Kansas Soybean Commission also contributed $25,000 to a port expansion in Houston, Texas, led by The Andersons, Inc. This project is expected to result in capacity for one million metric tons of soybean meal to be exported through the facility. Kansas is one of the key states feeding the port with products.

International market development is a pillar of the soybean checkoff’s role in promoting farmer profitability.

Above: Representatives of the organizations contributing to the Port of Grays Harbor expansion pose with the $1.3 million dollar check presented in August. Commissioners Dennis Gruenbacher, Andover; Raylen Phelon, Melvern; Gary Robbins, Emmett; and USB Director Kurt Maurath, Oakley were present.

A vessel is loaded at the Tacoma Export Marketing Company at the Port of Kalama.