US-Mexico Rail Backlogs Threaten Agricultural Exports as Harvest Begins

U.S. agricultural groups are raising concerns about rail backlogs hindering exports to Mexico, a crucial market that has grown even more important due to reduced Chinese buying. The congestion, attributed to increased demand and limited rail capacity, has led major rail companies like Union Pacific and BNSF to halt new permits for grain shipments to Mexico. This disruption impacts agricultural supply chains and forces sellers to find alternative buyers or face difficulties fulfilling existing orders. The situation is further compounded by an impending potential port strike on the East and Gulf Coasts, which could worsen the existing bottlenecks.