USA: Economic Impacts Revised for Potential Mississippi River Closure

The American Waterways Operators (AWO) and Waterways Council, Inc. (WCI) have released revised data on the economic impact of an effective shutdown of the Mississippi River to barge traffic in the month of January. Earlier data had examined the impacts between December and January.

The U.S. Army Corps of Engineers’ latest weather and water forecast for the Mississippi River near Thebes, Illinois, south of St. Louis, where rock pinnacle removal work is taking place, suggests that commerce on the Mississippi River could come to an effective halt between January 5 and 15 when the required 9-foot draft will fall to an 8-foot draft.

The majority of towboats require a 9-foot draft to operate and only a very small number of towing vessels can operate at 8- or 7-foot drafts.

Stakeholders continue to urge the Administration to release a minimal amount of water from Missouri River reservoirs (an additional 4,000 cfs or 1% of current storage in the reservoir system) to avert this effective shutdown of the Mississippi River to barge transportation. While the Corps and the U.S. Coast Guard have said that they will not officially close the river, falling water levels and a lack of sustained water will preclude navigation because towboats will be physically unable to transit the area between St. Louis and Cairo, Illinois.

The economic data indicates that in January alone (January 7-31), the potential supply-chain disruption in Mississippi River states could affect more than 8,000 jobs, more than $54 million in wages and benefits, as well as 7.2 million tons of commodities valued at $2.8 billion. This does not take into account the uncertainty in the supply chain that affected operations during the month of December or any potential economic impacts that will extend into February if the nation’s waterborne superhighway effectively comes to a halt.

“The uncertainty of this deteriorating situation for the nation’s shippers is having as much of an impact as the lack of water itself,” said Michael J. Toohey, WCI’s President & CEO. “The Administration must direct the Corps to release enough water to sustain navigation on the Mississippi River now or time will have run out and an effective shutdown could remain in place for weeks,” he continued.

As these new economic numbers clearly indicate, our nation’s shippers, farmers, manufacturers, operators, and consumers, and working Americans with jobs now at risk, will be hard hit in the first month of the New Year unless water is provided now to avert a shutdown,” said Tom Allegretti, AWO’s President & CEO. “Halting waterborne commerce and exports during the busiest period for agriculture shipping will have impacts on the entire nation. We continue to urge the White House to authorize the release of additional water immediately to maintain navigation on the country’s most important waterway.”

Press Release, January 3, 2013

Share this article

Follow Dredging Today

Events>

<< Feb 2020 >>
MTWTFSS
27 28 29 30 31 1 2
3 4 5 6 7 8 9
10 11 12 13 14 15 16
17 18 19 20 21 22 23
24 25 26 27 28 29 1

3rd International Congress Hydraulic Engineering Structures and Dredging

Russia’s leading maritime industry Media Group PortNews (www.portnews.ru) holds a traditional annual Congress “Hydraulic Engineering Structures and Dredging” in Moscow. 

The two-day Congress includes the 7th International Forum of Dredging Companies and the 3rd Technical Conference “Modern Solutions for Hydraulic Engineering”.

Infrastructure development is among the real sources of Russia’s economy growth. Construction of port facilities and new hydraulic engineering structures on the country’s inland waterways constitute an essential part of all infrastructure projects. It is important to take into account the best international practices to implement these projects effectively.

The program of the Congress will be devoted to the latest technologies for dredging and hydraulic engineering works. Speakers and delegates will refer to real projects to discuss specifics features of dredging works, as well as dedicated fleet and equipment involved.

To learn more about event, please, contact the organizing committee: snitko@portnews.ru

read more >

Jobs>

Dredging jobs in Abu Dhabi at NMDC

National Marine Dredging Company “NMDC” aims to be the largest dredging player in the Arab’s Gulf region...

apply

Looking to fill a job opening?

By advertising your job here, on the homepage of DredgingToday.com, you'll reach countless professionals in the sector. For more information, click below...

apply

Looking to fill a job opening?

By advertising your job here, on the homepage of DredgingToday.com, you'll reach countless professionals in the sector. For more information, click below....

apply