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Donald Sweeney of the University of Missouri-St. Louis on how the drought is impacting the barge market.
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Had I don't know what to order for the next report -- serious business the -- of 2012 has even humbled the mighty Mississippi River dry conditions have reduced water levels so much so that barges are hitting sand bars and they're stalling traffic.
Donald Sweeney is the associate director at the center for transportation studies of university Missouri Saint Louis.
And you say you are seeing barges that are already being forced to cut back on loads because the water level is too low is that right.
Absolutely correct.
There -- loading a couple of feet -- merger right now.
It's amazing when you look at the stats a 180 billion dollars worth of goods move up and down.
On river barges 500 million -- I'm 60% of the nation's grain 22% of oil 20% of coal exports.
It's pretty amazing I mean this is that this is central to the way that our economy works in this country would you grade.
Absolutely yeah.
The Mississippi River is a fundamental artery in transportation.
So what does it mean to commerce if we see this water levels slow I mean what could it means the rest the country what's the sort of domino effect.
The domino effect is is that the transportation costs increased because -- can't -- as much product.
In -- barges and at a given time.
And so transportation costs go up and eventually those costs get passed through to consumers and producers of the goods that move -- the Mississippi River.
If you look at how it might otherwise move it would take sixty trailer trucks to carry the cargo of just one -- sixty trailer trucks.
A 14418.
-- tankers.
In order to carry the oil and gas in one petroleum -- It is it even realistic.
That -- these products can't move down the river that you can really get.
Being in you know -- and -- you -- wheeled vehicles that you would need to move written stat.
-- not at one time no but but the main alternative or competitor to barge transportation Israel.
And that -- does have some ability and consumers and producers can go to other markets and move their products to other markets so there are some things they can do.
And to just put this an even larger scale on the lower Mississippi River.
And remember imagine for football field's floating down the river -- -- twelve feet deep.
That's how big the barges and -- are down there when they can operate normally.
Wow.
Donald -- thanks so much for your time.
