Cost and dependability of moving grain to the southeast

The Jones Act and other United States' cabotage laws are a complex support system for the domestic maritime industry. As the maritime industry expands and changes, the Jones Act is repeatedly challenged. One such change may be the opening of a new grain receiving facility at the Port of Wilmington, North Carolina. With it, N.C. hog and poultry producers will expand their transportation options for feed grains. This study illustrates that during some months of the year grain can be imported from South America at a lower cost than domestic grain, which is presently moved by rail. It also shows that U.S. grain interest may be protected by loosening Jones Act legislation under certain market conditions to allow foreign ships to move grain from U.S. port to U.S. port.