Drought Conditions, Water Levels May Impact Remainder of 2023

An ongoing lack of rain may cause issues with agricultural trade for the rest of 2023. Many waterways used to transport goods are experiencing low water levels, especially compared to earlier in 2023. A significant portion of the Mississippi River is measuring up to 20 feet lower than this time in 2022. When river levels are low, it takes more time to move barges, which are used to transport many agricultural goods from commodity crops to dairy products. Insufficient water levels also mean loads have to be lighter. Farmers are feeling the financial impact through higher rates both to ship their products and the inputs they need for their work.

Similar issues are happening with the Panama Canal, which sees more than a third of all global trade by water. As a result, the number of ships allowed through each day is temporarily lower than usual. If dry conditions continue, experts say it could impact U.S. exports.

Read more about low water levels.