USDA announces plans to reduce port congestion
Published: June 23, 2022
The United States Department of Agriculture (USDA) has announced several initiatives aimed at reducing congestion at major ports across the country.
First, Agriculture Secretary Tom Vilsack announced a plan to increase production capacity for chilled and frozen agricultural products at the Port of Houston.
This will involve the rental of additional chassis for the positioning and storage of containers waiting at the port, allowing the port to make the most of its reefer container capacity.
Using funds from the Commodity Credit Corporation, which were allocated to deal with market disruptions, the Agricultural Marketing Service (AMS) will cover 50% of the cost of leasing chassis to the Port of Houston during the first year of its five-year lease for 1,060 additional chassis. .
The USDA is also expanding its partnership with the Northwest Seaport Alliance (NWSA) with improved access to a 16-acre temporary temporary storage site for refrigerated containers at the NWSA site in Tacoma.
The Farm Service Agency (FSA) will also pay $200 per dry container and $400 per reefer container to help with the logistical costs of moving containers and temporary storage.
Vilsack said, “America’s farmers and ranchers depend on a reliable and efficient transportation system to get their products to market.
“As part of the Biden-Harris administration’s creative approaches to making the port work better, we are working with supply chain partners to adapt and overcome the challenges facing agriculture. Through these investments, we continue to deliver on our promise to strengthen the supply chain and support American-grown foods and fiber.