Infrastructure | United Soybean Board

Infrastructure: The Foundation for Competitive U.S. Soy

Why Infrastructure Matters: Connecting Farms to Markets, Data to Decisions

Modern agriculture depends on two critical types of infrastructure working together. The extensive physical transportation infrastructure to move their harvest from field to customer. This network includes rural roads and bridges, the national highway system, freight railroads, inland waterways, and ports. Then there’s digital connectivity that enables precision agriculture, real-time market access, and data-driven decisions that protect yields and reduce costs.

Both face significant challenges. Aging infrastructure systems like locks and dams threaten the river system that carries nearly 60% of exported U.S. soybeans[i]. Rural broadband gaps leave farmers operating with technology from a generation ago. When any system fails (either physical infrastructure or digital connectivity), farmers pay the price in lost efficiency, missed markets, and competitive disadvantage.

The Soy Checkoff invests in both funding research that drives solutions and partnerships that strengthen the systems farmers depend on daily.

Physical Infrastructure: Moving Soybeans to Global Markets

For U.S. soybean farmers, transportation infrastructure means the complex system of tributaries, barges, locks, dams, ports, and grain terminals that delivers America’s soybean harvest to market. River transportation is the backbone and protecting that advantage is critical.

Why Rivers Matter

Nearly 60% of exported U.S. soybeans head to market via the Mississippi River and Gulf ports[ii]. Every major Midwestern state connects to this river system, making it a soybean highway after harvest.

River transportation via barge provides several advantages:

Lower cost than rail or truck alternatives
Greater efficiency moving large volumes
More reliable during peak harvest periods
More sustainable with lower carbon emissions per ton-mile

These advantages mean international buyers can access U.S. soybeans at competitive prices with reliable delivery, two factors that matter enormously when they’re choosing between U.S. and South American soybeans.

But competitors are investing heavily in their own infrastructure. Brazil exported a record number of soybeans in 2025 and kept up modernizing its transportation systems.[iii] Maintaining America’s competitive edge requires continuous investment in our own infrastructure.

Checkoff-Funded Infrastructure Projects Delivering Results

The Soy Checkoff plays a critical role funding feasibility studies, engineering analysis, and economic research that demonstrates clear benefits – laying groundwork for federal and state funding to follow. Recent checkoff-supported investments include:

Dredging the Lower Mississippi River

Checkoff-funded research proved that deepening the river channel from 45 feet to 50 feet would allow barges to deliver an additional 500,000 bushels per ocean vessel[iv] . The dredging project was completed in 2023, and the river now operates at the full 50-foot depth—delivering the projected $461 million in annual realized value for U.S. soybean farmers[v]. More efficient shipping builds value throughout the supply chain and expands opportunities for U.S. soybeans to reach customers globally. More here.

Lock & Dam 25 Modernization

Located an hour north of St. Louis, Lock & Dam 25 accommodates 200 million bushels of soybeans annually[vi]. Federal funding was allocated to double its size (from 600 feet to 1,200 feet) and modernize operations[vii]. Work began in May 2024 with Phase 1 completing ahead of schedule in March 2024[viii]. Major construction contracts will be let in 2027, with full completion expected approximately eight years later. When finished, the expanded capacity will substantially reduce transit time and improve reliability. More here.

Port of Grays Harbor Terminal 4 Expansion

Groundbreaking occurred in November 2024 for this project that will enable increased soybean meal exports from 3 million to 6 million metric tons with expanded infrastructure[ix]. Expected to be operational by mid-2026, the port provides a direct route into Southeast Asia and other Pacific Rim markets. The Soy Checkoff and soybean farmer organizations committed $1.3 million to support pre-engineering, design, and site development costs[x]. More here.

Port of Houston Soybean Meal Export Expansion

As domestic crush capacity expands to meet renewable fuel demand, additional soybean meal needs outlets to international markets. The Soy Transportation Coalition invested $275,000 in pre-engineering and design costs for The Andersons’ expansion at Port Houston[xi], which will enable soybean meal exports from a facility that already moves more than 2 million metric tons of grain annually[xii]. The expansion adds 22,000 metric tons of meal storage and opens access to markets in the Middle East, North Africa, the Caribbean, Latin America, and Asia[xiii]. Expected to be operational Q1 2026, the facility receives meal via rail from Iowa, Kansas, Minnesota, Missouri, and Nebraska—diversifying export options beyond the inland waterway system[xiv].

Soy Checkoff investment in the Port of Houston expands soybean meal export capacity opening up more markets using rail transportation and offers resilience to the supply chain, amid low water conditions on the Mississippi River.

St. Lawrence Seaway Toll Reduction

Through checkoff investment, an agreement was reached to reduce freight tolls by 50% to incentivize greater use by soybean exporters and diversify the transportation system beyond Gulf Coast routes[xv]. More here.

Rail: A Critical Link in the Soybean Supply Chain

Freight rail is essential for transporting soybeans and soy products to domestic processors and export terminals. Railroads handle 24% of domestic grain movements and 39% of grain export movements, moving approximately 1.6 million carloads of grain and 764,000 carloads of grain-related products (including soybean meal and oil) annually.[xvi]

For soybean farmers, rail provides:

Cost-effective long-distance transport: Rail is a budget-friendly option for heavy cargo at an estimated $0.61 per ton-mile cost difference between truck and rail, according to one state rail analysis[xvii]. The average mileage haul of a rail car loaded with soybeans is approximately 900 miles. Whether for livestock production in the southwest United States or for export via the Pacific Northwest, railroads often provide the long-haul movement that allows the soybean industry to be profitable[xviii].
Export market access: Rail connects Midwestern production regions to Pacific Northwest ports for Asian markets and to Gulf Coast terminals. About 55-60% of whole soybeans shipped to Mexico travel via rail, and nearly all U.S. soybean meal and oil exports to Mexico move by rail.[xix]
Support for crush capacity expansion: As renewable fuel demand drives new soybean processing facilities, rail infrastructure enables these plants to receive soybeans and ship meal and oil to domestic and international customers.

The Proposed Coast-to-Coast Railroad Merger

In July 2025, Union Pacific announced an $85 billion proposal to acquire Norfolk Southern, which would create the first coast-to-coast freight railroad spanning 50,000 miles of track. The deal faces regulatory review by the Surface Transportation Board and has drawn significant attention from agricultural shippers. The approval process is expected to be completed by early 2027.

Railroads Embrace Soy-Based Clean Fuels

All six Class I railroads scaled up biofuel use in FY25, creating both a new market for soybean oil and a sustainability story for the rail industry. The Class I railroads—Union Pacific, BNSF, Norfolk Southern, Canadian Pacific Kansas City, CSX Transportation and CN (Canadian National Railway)—joined Clean Fuels Alliance America in 2024 to advance their decarbonization strategies. Union Pacific is testing locomotive fuel blends containing up to 80% renewable diesel and 20% biodiesel, with plans to increase biofuel usage from 6% of total fuel consumption in 2023 to 20% by 2030.

Digital Connectivity: Precision Agriculture Needs Reliable Internet

Precision agriculture promises significant gains: variable-rate application, yield monitoring, automated equipment, and real-time market data. But these technologies require reliable, high-speed internet, something many rural areas still lack.

The Connectivity Gap Costs Farmers Money

A 2019 USB-commissioned survey) found[xx]:

60% of farmers lack adequate connectivity to run their operations effectively
Only 32% consider their office internet access reliable
78% cannot switch providers even if dissatisfied with service

Without reliable connectivity, farmers lag competitors by nearly a generation. They can’t upload field data, access real-time commodity prices, or run precision tools that reduce input costs and environmental impact.

What the Checkoff Is Doing

The Soy Checkoff partnered with the Benton Institute for Broadband & Society to commission a comprehensive report examining the connectivity gap and recommending solutions[xxi]. The report delivers 15 clear recommendations for agricultural and communications decision makers, including:

Adoption of 100/100 Mbps symmetrical service standards (equal upload and download speeds that are critical for farmers who need to upload large data files)
Building deep fiber networks in rural America for long-term reliability
Improving clarity on easements and right-of-way access to speed deployment
Establishing public, open-access middle-mile networks to help private providers improve service and reduce costs

Current efforts are underway offering incentives to expand fiber-based broadband, widely considered the best solution for meeting farmers’ needs. Cooperatives are carrying significant weight in supplying fiber service, but meeting the needs of all farmers requires industry-wide adoption of higher performance standards.

Key Messages

Physical Infrastructure:

The Soy Checkoff played a critical role in the projects mentioned above. USB and partner organizations funded feasibility and engineering studies that showed clear benefits, laying groundwork for federal and state funding to follow.
International buyers prioritize predictable delivery and competitive pricing—both directly impacted by transportation infrastructure efficiency.
Barge transportation delivers advantages on price, efficiency, and sustainability for U.S. soybean farmers.
USB prioritizes investments in infrastructure to keep U.S. soybean growers in a global leadership position while also benefiting transport of other commodities and agricultural inputs.
The checkoff’s investments to fund research, analysis, and planning of infrastructure improvements provide substantial returns for U.S. soybean farmers.

Digital Infrastructure:

Sixty percent of farmers lack adequate connectivity to run their operations. Only 32% consider their office access reliable, and 78% can’t switch providers if dissatisfied[xxii].
Improvements in rural broadband connectivity have the potential to greatly benefit the $1 trillion agriculture and food industry.
100/100 Mbps symmetrical service (equal upload/download speeds) should be the standard for farm operations and rural communities[xxiii][1].
Connectivity means sustainability. Internet access, data analytics, and precision agriculture reduce inputs and environmental impact.