Agriculture Organizations Continue To Push Congress For Ocean Shipping Reforms

By Jamison Cruce

USA Rice

WASHINGTON, DC -- Last week, USA Rice joined more than 100 agriculture organizations in a letter to Senate Majority Leader Chuck Schumer (D-NY) and Minority Leader Mitch McConnell (R-KY) urging action on ocean shipping reform legislation for agriculture.

“On average, 22 percent of U.S. agriculture foreign sales could not be completed due to ocean carrier practices including exorbitant freight rates, declined booking requests, unreasonable freight and demurrage/detention charge, and failure to communicate schedules in a timely manner,” says the letter. “The damage to our farmers and processors is getting worse; we are losing customers in foreign markets.”

The House overwhelmingly passed the Ocean Shipping Reform Act of 2021 (H.R. 4996), on December 8, 2021, by a vote of 364 to 60 (see USA Rice Daily, December 9, 2021).

The Senate is said to be working on legislation of its own, led by Senators Amy Klobuchar (D-MN) and John Thune (R-SD).

The letter continues: “We request that the Senate advance this legislation, so that following a conference with the House, a final bill can be sent to the President’s desk as soon as possible. U.S. agriculture is depending upon it.”

“U.S. rice exporters need workable solutions given these prolonged disruptions and the threats they pose on critical markets around the globe,” said Bobby Hanks, a Louisiana rice miller and chair of USA Rice. “We’re encouraged by the attention supply chain and transportation and logistics issues have gotten with our government but now we need action.”

USA Rice Vice President of Government Affairs Ben Mosley said, “USA Rice has been engaged on this issue going on three years now, and for the past several months, has been advocating alongside other agriculture organizations for ocean shipping reform legislation, as well as other improvements, for agricultural exporters. As this situation worsens, we’re hopeful this legislation will soon be considered and we urge passage by the Senate.”