The Economic Impact of the Inland Riversand the Vessels That Serve Them

2012 National Homeland Security Conference

May 22, 2012

Dennis Wilmsmeyer, Presenter

Standard Freight Capacity

RIVERLiquid Bulk

27,500 barrels

Dry Bulk

1,750 tons

RAILLiquid Bulk

600 barrels

Dry Bulk

110 tons

ROADLiquid Bulk

190 barrels

Dry Bulk

25 tons

22,000 Tons of Cargo

Importance of the Inland River System

• Half of all U.S. soybeans are exported using barges

• The Port of Metropolitan St. Louis is the largest agricultural port in the world moving in excess of 300 million bushels of corn annually

• 60% of grain, 22% of domestic petroleum and 20% of coal are moved via barges

12,000 miles

240 Locks

The Economic Impact

• Individual Inland Port impacts exceed $150 million annually

• AAPA estimates the annual economic impact of ports as creating 13.3 million jobs which translates to $2 trillion

• IRPT to develop a comprehensive economic impact statement of the inland rivers

How Could it Affect St. Louis?Closure of the Mississippi and

Illinois Rivers

• Truck traffic in St. Louis would increase by 200%

• Traffic delays would increase by almost 500%

• Injuries and fatalities on Interstates would increase by 36% to 45%

• Maintenance costs would increase by 80% to 93%

Source: National Waterways Foundation

Lost Revenue to Barge Companies from Lock Closures ($ millions):

Lock 2 Weeks 1 Month 3 Months 1 YearLaGrange $3.6 $5.6 $4.3 $104Lock 20 $5.1 $15 $33.3 $150Lock 25 $5.1 $14.2 $32.4 $162Markland $2.2 $4.7 $7.3 $11Lock 52 $17.2 $26.1 $68 $71.5

Note: Amounts are in millions

Source: Soy Transportation Coalition

But That’s Not All…

Add in the additional cost of production to farmers, and the total annual cost for a closure of Lock 25 in

Winfield, MO is:

$208 million annually

Who pays? You do!

Dennis Wilmsmeyer

President, Inland River, Ports and Terminals

Executive Director, America’s Central Port

(618) 452-8439 | office(618) 781-6833 | mobile

dwilmsmeyer@americascentralport.com

Questions?