Economic Impacts Revised for Potential Mississippi River Closure to Barge Traffic in January

Waterways Council Release
2 January 2013

Economic Impacts Revised for Potential Mississippi River Closure to Barge Traffic in January; Effective Shutdown of Nation’s Busiest Water Transportation Artery Looms Between Early- to Mid-January

WCI has 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 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.

WCI and AWO 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.