The Incredible Logistics Behind Corn Farming

Summary

This script explores the agricultural heartland of Iowa, focusing on the town of Bancroft and the surrounding farm towns. It delves into the decision-making process of farmers as they choose between planting corn or soybeans, selecting seed hybrids based on yield potential and weather conditions. The video also covers the importance of drainage systems, fertilizers, and pesticides in maximizing crop yields. It further explains the harvesting process, the role of grain elevators, and how Iowa's corn reaches global markets through the Mississippi River and ocean-going ships.

Takeaways

• 🏠 Bancroft is a small Iowa town with a population of 699 people and various amenities like a grocery store, bank, and medical clinic.
• 🌾 The town is surrounded by agricultural fields, primarily growing corn and soybean, which are the economic backbone of the region.
• 📈 Kossuth County, where Bancroft is located, dedicates 85% of its area to corn and soybean cultivation, reflecting its importance in global agriculture.
• 🌱 Farmers in Iowa start their planting process every spring, deciding on the crop and seed hybrids based on various factors including past yields and weather predictions.
• 🔑 Seed selection is crucial for Iowa farmers, with a focus on yield potential, disease resistance, and environmental adaptability.
• 🌱 The Iowa Crop Improvement Association’s corn performance test helps farmers choose the best-performing seed varieties for their region.
• 💧 Proper drainage systems like Mud Creek are essential for Iowa farmers to manage excess water and prevent crop damage.
• 🌱 Farmers apply fertilizers and monitor for weeds and pests to ensure the health and yield of their crops.
• 🌪 Weather conditions play a significant role in the success of the harvest, with events like La Niña influencing planting decisions and harvest timing.
• 🚜 The combine harvester is a key piece of machinery that revolutionized the harvesting process, making it faster and more efficient.
• 📉 Market conditions, such as supply and demand, affect the price at which farmers sell their crops, influencing whether they choose to sell immediately or store for later sale.

Q & A

What are the main features of the town of Bancroft, Iowa?

Bancroft is a small Iowa town consisting of a grocery store, a bank, a liquor store, hardware store, office supply store, flower shop, hair salon, medical clinic, bed and breakfast, funeral home, trailer manufacturer, whisky distillery, gym, baseball field, city pool, 9-hole golf course, two gas stations, two restaurants, two feed suppliers, two car dealerships, 346 homes, and a population of 699 people.

How does the layout of farm towns in Iowa reflect their economic purpose?

The consistent human distribution in Iowa's farm towns, such as Bancroft, Burt, and Lone Rock, reflects their common cause as farm towns. Their economy is based on the fields that envelop them, growing crops like corn and soybean. The spacing of these towns is dictated by the amount of people that the fields, which separate them, can reasonably provide for financially.

What is the significance of Kossuth County in terms of agricultural production?

Kossuth County, which includes towns like Bancroft, is significant in agricultural production. It uses about 85% of its area for growing corn and soybean, with 355 squares dedicated to soybean cultivation and 475 to corn. The county, as large as the country of Luxembourg, is a powerhouse in global agriculture, providing crucial food-production resources for Iowa, the United States, North America, and the entire world.

How does a farmer in Iowa decide what to plant and when to plant it?

A farmer in Iowa decides what to plant based on factors like past crop performance, seed hybrid options, and weather outlook. They consider the potential yield, the use of the crop, seed prices, and their past experiences. The timing of planting is influenced by the weather, with the aim to avoid late frosts that could damage the young plants, typically done in late April and early May.

Why is seed selection crucial for an Iowa farmer's success?

Seed selection is crucial for an Iowa farmer's success because it directly affects the yield and profitability of their crop. Factors such as disease resistance, drought tolerance, and bushel per acre yields are critical in determining the best seed hybrid for the specific conditions of their farm.

What role does the Iowa Crop Improvement Association's corn performance test play in a farmer's seed selection?

The Iowa Crop Improvement Association's corn performance test plays a significant role in a farmer's seed selection by providing data on which seed hybrids perform well in similar environmental conditions. This helps farmers choose seeds that are likely to yield well in their region.

How does weather affect the planting and harvesting decisions of Iowa farmers?

Weather plays a critical role in Iowa farmers' decisions regarding planting and harvesting. They must consider the weather outlook to choose seeds suited to expected conditions, such as potential rainfall or frost. Harvesting decisions are also heavily influenced by weather, as they require a stretch of dry days to ensure the crop reaches the necessary dryness and to prevent equipment from getting stuck in muddy fields.

What is the importance of drainage systems like Mud Creek for Iowa farmers?

Drainage systems like Mud Creek are essential for Iowa farmers as they prevent excess water from damaging crops. They help manage water levels, preventing issues like seed drowning, topsoil erosion, and stagnant water that can kill crops. Proper drainage ensures optimal growing conditions and protects the farmer's yield.

How do farmers manage the application of fertilizers and pesticides in Iowa?

Farmers in Iowa manage the application of fertilizers and pesticides by starting with a starter fertilizer at planting and reapplying throughout the summer based on seed and soil conditions. They monitor the spread of weeds and pests and use a mix of nitrogen, phosphorus, and potassium to maximize plant growth. Despite the costs, farmers invest in these products to ensure quality yields and protect their crops from damage.

What is the role of a combine harvester in the harvesting process, and how does it work?

A combine harvester plays a central role in the harvesting process by efficiently processing the crop into grain. It uses a series of mechanical processes to separate the grain from the chaff. The machine auto-steers and uses sensors to orient its head and feed the crop through rollers and augers, which then separate the grain and deposit it into the combine's tank.

How do grain elevators function in the context of Iowa's agricultural economy?

Grain elevators are critical infrastructure in Iowa's agricultural economy. They store the harvested grain and facilitate its sale to cooperatives or for future sale when market rates are more favorable. They also ensure the grain meets quality standards, such as moisture content, before it is stored or sold.

Outlines

00:00

🌾 Overview of Bancroft and Agricultural Significance

This paragraph introduces Bancroft, a small town in Iowa, characterized by a variety of local businesses and facilities, including a grocery store, bank, and various agriculturally related establishments. It highlights the town's size and population, and its location within a larger agricultural landscape dominated by corn and soybean fields. The paragraph also discusses the economic importance of these farm towns, emphasizing their role in global food production. It explains how the distribution of these towns is influenced by the need to support a population with the agricultural output from the surrounding fields. The focus then shifts to Kossuth County, detailing the extent of its agricultural land use, primarily for corn and soybean cultivation, and its importance in the global agricultural market.

05:04

🌱 The Decision-Making Process for Iowa Farmers

This section delves into the complexities of decision-making for Iowa farmers, particularly regarding what and when to plant. It outlines the process of selecting seed hybrids, influenced by factors such as past plantings, global market conditions, and the potential yield per acre. The paragraph discusses the evolution of corn as a crop, the impact of selective breeding and genetic modification on yield, and the importance of choosing the right seed for maximizing profit. It also touches on the role of the Iowa Crop Improvement Association's performance tests in guiding farmers' decisions and the various factors, including weather forecasts, that can influence the choice of seed hybrids.

10:05

🌧️ Weather Impacts and Farming Strategies

The paragraph discusses the critical role of weather in farming, especially in the context of Iowa's climate and its effects on planting decisions. It mentions the financial risks associated with planting, such as the potential loss due to late frosts, and the importance of planting at the right time to maximize yield. The narrative continues with the farmer's preparations for planting, including the setup of machinery and the considerations for seed depth and fertilizer application. It also covers the challenges faced during the growing season, such as the need for drainage to prevent crop damage from excess water, and the application of fertilizers and pesticides to ensure healthy crop growth.

15:07

🌄 Harvest Season and Post-Harvest Logistics

This paragraph focuses on the harvest season in Iowa, detailing the challenges posed by weather conditions and their impact on crop yield. It describes the adaptations farmers make to their harvesting techniques in response to weather-related crop damage, such as the use of special attachments for combine harvesters. The paragraph also covers the post-harvest process, including the transportation of grain to local elevators, the storage and eventual sale of the crop, and the economic considerations that influence these decisions. It concludes with a description of the broader logistics involved in moving grain from Iowa to global markets, highlighting the importance of the Mississippi River and its role in facilitating cost-effective grain transport.

Keywords

💡Agriculture

Agriculture refers to the practice of cultivating plants and livestock for food, fiber, and other products. In the context of the video, agriculture is central to the economy and lifestyle of the towns in Iowa, with a focus on corn and soybean production. The video emphasizes the importance of agriculture to the global food supply and the local economy, as seen in the detailed description of farming practices in Kossuth County.

💡Corn Belt

The Corn Belt is a region of the United States, primarily in the Midwest, known for its high productivity in corn farming. The video script mentions the Iowa landscape, which is part of the Corn Belt, highlighting the vast cornfields that are a defining feature of the area and a key contributor to the U.S.'s agricultural output.

💡Soybean

Soybean is a major crop, widely cultivated for its high-protein beans and oil. The script discusses soybean cultivation in Kossuth County, where a significant portion of the land is dedicated to growing this crop. Soybeans are one of the two primary cash crops in the region, alongside corn, and are crucial for the agricultural economy.

💡Yield

Yield in agriculture refers to the amount of a crop produced per unit area. The video script emphasizes the importance of yield as a key metric for farmers when selecting corn seed hybrids. High yield is indicative of a successful harvest and is directly linked to the profitability of the farm, as seen in the discussion of corn performance tests and seed selection.

💡Hybrid Seeds

Hybrid seeds are created by crossbreeding two different varieties of a plant to produce offspring with desirable traits. The video mentions the selection process for corn seeds, where farmers choose from hundreds of hybrid options, each with specific characteristics like disease resistance, drought tolerance, and high yield potential, reflecting the impact of selective breeding and genetic modification on modern agriculture.

💡Drainage Ditch

A drainage ditch is a trench dug to remove excess water from an area, preventing flooding and maintaining soil quality. The script describes the importance of drainage ditches in Iowa, where the abundance of rain can be a challenge for farming. These ditches, along with underground tiles, are crucial for managing water levels and ensuring optimal growing conditions for crops.

💡Fertilizer

Fertilizer is a substance containing nutrients that are essential for plant growth. The video script discusses the application of starter fertilizer at planting and subsequent applications throughout the growing season to provide corn with necessary nutrients like nitrogen, phosphorus, and potassium. This practice is highlighted as a key component of modern agricultural techniques aimed at maximizing crop yields.

💡Combine Harvester

A combine harvester is a large agricultural machine that harvests grain crops. The video script describes the combine's role in the harvesting process, where it efficiently processes the corn crop into grain. The combine's advanced technology and automation are emphasized, showcasing the evolution of agricultural machinery and its contribution to increased productivity.

💡Grain Elevator

A grain elevator is a structure for storing grain, often seen in farming communities. The script mentions the grain elevator in Bancroft, operated by a local cooperative, which is a critical piece of infrastructure for the region's economy. It is where farmers bring their harvested corn to be stored, tested for quality, and eventually sold or transported for further processing.

💡Mississippi River

The Mississippi River is a major waterway in the United States, used for transportation and trade. The video script discusses the river's role in the transportation of grain from the Midwest to export hubs like New Orleans. The Mississippi River's extensive barge system is highlighted as a cost-effective method for moving large quantities of grain, contributing to the competitiveness of the U.S. agricultural industry.

💡La Niña

La Niña is a climate phenomenon characterized by cooler-than-average sea surface temperatures in the eastern Pacific Ocean, which can influence global weather patterns. The video script references La Niña as an example of how weather conditions can affect farming decisions, such as choosing corn seed hybrids that are better suited for damp conditions expected during a La Niña year.

Highlights

Bancroft is a small Iowa town with a population of 699 people and various facilities like a grocery store, bank, and more.

The town is part of a larger agricultural landscape, surrounded by fields of corn and soybean.

Kossuth County, where Bancroft is located, is composed of 974 squares, with 355 dedicated to soybean and 475 to corn cultivation.

The county's agricultural output is significant on a global scale, contributing to food production worldwide.

Farmers in Bancroft begin their planting process in spring, deciding on what and when to plant based on various factors.

In 2021, Iowa had 23 million acres of soybean or corn, indicating the prevalence of these crops in the state.

Farmers face a complex decision-making process when choosing seed hybrids, considering yield, disease resistance, and other factors.

The Iowa Crop Improvement Association’s corn performance test helps farmers make informed decisions on seed selection.

Weather conditions, such as La Niña, influence farmers' decisions on seed selection and planting times.

The cost of seeds and planting machinery is significant, with potential losses if planting decisions are incorrect.

Drainage systems like Mud Creek are crucial for managing excess water and preventing crop damage.

Farmers apply fertilizers and monitor for weeds and pests to ensure optimal crop growth and yield.

Harvest timing is dependent on weather conditions, with delays potentially impacting crop quality and yield.

The combine harvester is a key piece of machinery that has revolutionized the efficiency of crop harvesting.

Grain elevators are essential infrastructure for storing and preparing crops for sale or further processing.

Farmers have the option to sell their crop immediately or store it for potential higher market prices later.

The Mississippi River serves as a low-cost transportation route for grain, giving American agriculture a competitive edge.

The journey of corn from Iowa to international markets involves a complex logistics chain, including barges and ocean-going ships.

Transcripts

This is Bancroft.

It’s a small Iowa town composed of a grocery store, a bank, a liquor store, hardware store,

office supply store, flower shop, hair salon, medical clinic, bed and breakfast, funeral

home, trailer manufacturer, whisky distillery, gym, baseball field, city pool, 9-hole golf

course, two gas stations, two restaurants, two feed suppliers, two car dealerships, 346

homes, 699 people, and that’s about it.

Bancroft more-or-less nestles into a single, one-by-one mile square, and it’s surrounded

by eight other one-by-one mile squares—fields full of corn and soybean.

Six squares down, there’s another town—Burt.

Six to the west, it’s Lone Rock, then six more and there’s Fenton.

This consistent human distribution is reflective of these towns’ common cause.

They’re farm towns—their economy is the fields that envelop them, it’s the crops

they grow, and so their spacing is dictated by the amount of people that these fields

that separate them can reasonably provide for financially.

974 of these squares combined represent Kossuth County.

Of those, a full 355 are dedicated to the cultivation of soybean, while even more, 475,

are used to grow corn.

Therefore, this county, as large as the country of Luxembourg, uses some 85% of its area for

the singular purpose of growing these two crops.

The reason why is because Kossuth County, and its neighbors, are powerhouses in the

world of agriculture–crucial food-production resources not only for Iowa, not only for

the United States, not only even just for North America, but for the entire world. 

For a farmer living and working, say, here, a four mile drive outside of Bancroft on an

average-sized farm, the process of feeding the globe, supporting the American economy,

powering the local community, and providing for their own family starts anew every spring, 

when they sit down at the kitchen table, flip to April in their calendar, and decide exactly

when, and exactly what they’re going to plant. 

Now, of the 23,195,000 acres planted in Iowa in 2021, 23,000,000 acres were filled with

soybean or corn.

It’s a safe bet, in other words, that, come April, this farmer will be planting one of

these two major cash crops.

Deciding what to plant, however, is not simply an either/or proposition.

Considering that all this land has been planted with corn in years prior, and that events

in other corn producing regions of the world has this farmer feeling bullish on its immediate

prospects, it’s likely that they’ll pass on soybean and go with corn.

But that’s only the start: now the farmer has hundreds of viable seed hybrids to choose

from. 

Selective breeding over millennia and genetic modification in recent decades, afterall,

are what transformed corn from this, to this–a crop packing enough energy to power combustion

engines and America’s meat industry alike.

They’re also what have allowed per-acre corn production to skyrocket over the past

century, as breeding for increased yield, disease resistance, and drought tolerance

have pushed bushel per acre yields to levels pre-war Americans could never have even imagined.

For this average Iowa farmer on this average Iowa farm, though, it’s not the past that

matters, but the future—and to ensure they’re making the most of the growing season, they

need to nail their seed selection.   

Ninety-nine percent of corn grown in Iowa isn’t the type you eat fresh off the cob–it’s

field corn, or the type that goes on to make ethanol in other parts of Iowa, or feed livestock

in Wyoming, or sweeten drinks in Georgia.

And still, the options are endless when it comes to field corn seeds–some hold up better

in dry years, others in wet years; some produce stronger stalks, others produce larger ears;

some fare better when planted in untilled soils, others require only minimal fertilizer.

Ultimately though, informing which seed a farmer chooses largely comes down to one all-important

metric–average yield: the number of bushels each acre can produce.

So, to figure out what will make the farmer the most bushels, and therefore the most money,

they start here, with the Iowa Crop Improvement Association’s corn performance test.

Now, considering Bancroft’s less than 30 miles or 50 kilometers from the test site

in Corwith, that the towns sit in the same ICIA north district, and that they both occupy

the same soil region made up of “loamy Wisconsin glacial till,” it stands to reason that

what works in one spot will work in the other.

Grabbing the farmer’s eyes first then, are likely these Legacy and Dekalb seeds, which

in 2021—a record-setting year for statewide yields—performed well above the state average

of 205 bushels per acre.

Yield is the most important metric, but it’s not the only factor influencing our farmer’s

choice–the corn’s use, the seed’s price, the farmer’s past experiences, and brand

loyalty all inform that final decision.

Given that Dekalb’s hybrid performed so well in an environment so similar to Bancroft’s,

and given that Arndorfer Bros Seed, conveniently located right here in Bancroft, just so happens

to sell Dekalb seeds, all things being equal, it makes sense that this farmer bought the

Dekalb 52-99RIB, or something like it.

Or perhaps not, perhaps the farmer considered the weather outlook for the coming year and

went a different route. 

You see, while billions of dollars a year are invested in the creation of these hybrid

seeds, and, in turn, billions a year are brought in by the crops these seeds produce, critical

junctures of the process revolve entirely around the farmers’ informed and fine-tuned

intuition.

2022, for example, is a La Niña year–a year where the winter’s been cold and damp,

and a year where cold snaps, above average moisture, and extreme weather events are bound

to continue through spring and summer.

Perhaps then, our farmer, considering the higher likelihood of above-average rainfall

and potential flooding, went with a hybrid seed better suited for damp conditions.

Such weather not only informs what is planted, but when it’s planted, too.

Using Iowa State extension estimations, and assuming our farmer is aiming for maximum

yield on their land, seeds for 395 acres will cost $49,000, while running planting machinery

another $4,500.

If the farmer plants too early and loses the crop to a late frost they’re effectively

out $55,000. 

Seeds selected, weather considered, and risk accounted for, sometime during the last week

of April and the first of May our farmer attaches their 16-row planter onto a tractor, sets

the attachment’s row width and seed depth, fills the fertilizer hopper, and sets out

onto the field.

For a few days, machinery that’s valued in the mid six figures will get its only use

of the year.

In the coming weeks, as spring gives way to summer, the corn stalks will begin to bolt

skyward, and the work will continue. 


 A poor planting strategy can ruin a farmer's season, but that doesn’t mean a perfect

strategy will result in maximum yield, either.

Throughout the growing season–from the end of spring to the beginning of fall–much

can go wrong, and much hangs on the farmer’s ability to adapt.

While no farmer, Iowan or otherwise, can control the weather, generations of agricultural Americans

have done their best to exert at least some agency over the environment–in Iowa, the

most obvious sign of this pursuit is the ever-present but easy-to-overlook drainage ditch.

While humble in form, these cuts into the countryside are critical, and our farmer just

northwest of Bancroft knows it. 

Take Mud Creek, for example.

For Bancroft golfers on hole two, it’s a likely landing spot for an errant drive.

For travelers leaving Bancroft on highway 169, it offers a brief change of scenery.

For our farmer though, Mud Creek serves as insurance.

You see, while the Western US cut ditches and built dams to grow crops in the desert,

Iowans cut ditches to grow crops in wetlands.

In Iowa it’s not the lack of rain that makes farming hard, but its abundance.

For our farmer, Mud Creek is the lowest point on the property, and while it may cut slightly

into their acreage, the creek, along with subterranean tiles and pipes, drain excess

rainfall from the field and insulates the property from crop-killing stagnant water. 

Without proper drainage, in a worst case scenario, sprouting seeds drown, topsoil runs off, and

mud keeps the farmer from even inspecting the damage.

In the best case scenario, without drainage tiles running below their field, a farmer’s

yields will be hampered when the first rainstorm washes away the crop’s fertilizer and along

with it, the farmer’s yield. 

Beyond keeping excess water away from the growing crop, the farmer must also make sure

that the plant has easy access to needed nutrients to ensure quality yields.

Beginning when planted with a starter fertilizer, then reapplied throughout the summer depending

on the seed and soil conditions, a mix of nitrogen, phosphorus, and potassium are applied

to maximize the plant’s growth. 

In such ideal growing conditions though, corn stalks aren’t the only thing growing on

the farmer’s field.

Along with proactively applying nutrients as the crop matures, the farmer also monitors

the arrival and spread of weeds and pests.

Neither fertilizers nor pesticides are cheap.

According to Iowa State’s estimated costs, at a per acre rate, nitrogen is more expensive

than the seeds it supports, while applying pesticides requires additional machine hours

or employing a pilot to spread the product from above.

And yet, the farmer wouldn’t dare cut corners at this stage—as these products are some

of modern science’s most successful forays into standardizing, overriding, and protecting

against nature’s inherent chaos.

And so, our farmer further extends themself financially as the corn stalks extend themselves

vertically.


With the summer behind it and fall weather setting in, it’s finally time for our farm,

and all the farms of Iowa, to begin capitalizing on all their work.

But exactly when this happens is not down to the farmers, it’s down to the weather.

This massive industry collectively waits in the wings for the world to deliver a long

enough stretch of dry days to allow the harvest to begin.

And this doesn’t always come easy. 

In 2018, for example, Kossuth County received more than double its average precipitation

at the start of fall which made it difficult to get the crop to its necessary level of

dryness, and impossible to get large farm equipment into the fields without getting

stuck in the mud.

This slowed down the harvest considerably and the county saw its worst corn yields since

2014. 

Even a day of weather months before can sway the success of the harvest.

In 2020, Iowa suffered an extremely severe August derecho storm.

The high winds it brought damaged the crop, pushing stalks of corn into a severe lean.

This leaning crop condition, referred to as lodged corn, makes it difficult for combine

harvesters to capture and process all of the plant, leading to lower yields.

Therefore, immediately after the storm, local and regional agriculture organizations started

publishing information on how to adapt standard operating procedures to this widespread damage.

Many farmers took their advice to buy a special attachment for their combine heads which helps

prop up lodged corn.

Iowa State’s Integrated Crop Management Program also recommended harvesting from the

direction to which the crop is leaning, lowering the combine head more than typical, and operating

at a lower speed.

They even added a suggestion that farmers call a dedicated, 24/7 stress hotline if needed—acknowledging

the degree of mental and emotional impact a less-than-stellar harvest can have on farmers.

Given the tiny margins in the farming industry, the difference between an upright and leaning

crop can mean the difference between a profitable and unprofitable year given its impact on

yields. 

But regardless of field conditions, the combine harvester’s job is the same—it's to take

in the crop and process it down into the grain by itself.

Now, the combine harvester is an incredibly influential piece of machinery.

It is single-handedly responsible for much of the progress made in food supply and cost

over the past century.

What was once an exceedingly manual process, involving a huge swath of laborers picking

and processing the crop primarily by hand, now occurs in a matter of seconds with a single

human operator. 

The combine’s head orients to a certain height above the ground using a sensor, and

the entire machine auto-steers using another sensor that follows the line of corn.

Meanwhile, the snouts feed the crop to a pair of downward spinning rollers that pull the

plant through a narrow gap where the ears of corn, given their wider shape, get caught

and pulled inwards by gathering chains.

Then, the ears are pulled in further by augers to the feed house, and fed through a cylinder

that throws the plant back into a series of mechanical processes that separate the grain

from the chuff—the unusable part—and by the end a series of augers and paddles pull

the corn kernels themselves up into the combine’s tank.

As the combine harvests, a tractor with a grain cart pulls alongside it and the combine

lets out its arm and delivers grain into the cart.

Once full, the tractor drives away, while the combine continues harvesting, and heads

to a waiting semi-truck pulling a far larger grain trailer, in which it deposits its load.

This process repeats itself until the trailer is full, at which point the semi drives the

couple miles into Bancroft.

Now, a common landmark across nearly all of Iowa’s small farming towns is each community’s

grain elevator.

These are absolutely critical pieces of infrastructure for the region’s economy.

Bancroft’s, indicatively, is operated by the regional farmers coop, State-Line Cooperative.

Upon arrival, a probe is placed into the grain trailer to take a sample of the corn.

That sample is inspected and tested for its moisture content—it has to be below 15%

to assure mold won’t grow during storage, which is especially important since it’ll

be mixed in with other farmers’ crop.

Simultaneously, the truck is weighed to determine how much corn is being delivered.

Then, it pulls forward and a door beneath the trailer opens to pour the grain through

a grate below.

Finally, a bucket belt carries the grain to the very top of the elevator where it gets

deposited into the storage bin. 

Now, the farmers have two primary choices for what happens next.

They could sell their crop immediately to the coop, in which case they get paid based

on corn’s current market rate. 

However, during the harvest season, market rates for the crop often dip as it gets flooded

with supply, especially recently given a widespread shortage of grain storage capacity.

Therefore, if farmers can store the corn, they often do.

Bancroft’s grain elevator charges 5 cents per month per bushel for the first three months,

then 4 cents per bushel per month after that, but this cost is typically well worth it.

During 2021’s harvest season, for example, market prices were about $5.50 per bushel,

but by Spring 2022 they were up to $7.50. 

This grain market is a global one, and so ebbs and flows in supply and demand around

the world influence how many trucks roll through Bancroft’s streets to pick up a load from

their grain elevator on a given day.

Once that day does come, though, if it's not going to a nearby processing facility to be

turned into livestock feed or ethanol, chances are good that a truck in Bancroft is starting

a trip three-hours east to La Crosse, Wisconsin.

There, it unloads at a small grain elevator on the banks of the Mississippi River run

by Cargill—one of the largest companies in the world which, among other food-related

functions, holds about 25% of the US’ grain export market.

Once enough product is aggregated, it’s loaded into a series of barges which are then

lashed together and propelled forward by a tug boat.

The tug orients the barges south and then begins a massive, 15-day journey through 19

locks and 1,500 miles or 2,400 kilometers of river.

This transportation method is propped up by the fact that grain is not a very time-sensitive

product—in its dry form it's hardly perishable and given the huge quantities shipped simultaneously,

few ever have a pressing need for it.

Therefore, this exceptionally slow system of barge transport works fine, and it's certainly

the most competitive in terms of cost.

Shipping a ton of grain all the way from St Louis to New Orleans typically costs less

than $20 on a Mississippi River barge—far less than by truck or rail.

In fact, a major reason why America’s corn belt is such a competitive agricultural region

is its access to this low-cost means of transportation via the Mississippi River.

Other growing areas of the world, confined to high-cost truck or rail transport, just

can’t compete against America’s industry.

The destination for all these barges is New Orleans.

Its prominence as a city has always been and still is linked to its position at the end

of America’s most important navigable river.

There, the barge from La Crosse arrives at Cargill’s massive New Orleans facility,

where the grain enters yet another elevator.

Aggregated with the annual output of countless other farms, the corn is next loaded onto

a large, ocean-going bulk-carrier ship.

And then finally, the bulk-carrier navigates through the final twists and turns of the

Mississippi River, enters the Gulf of Mexico, and begins a weeks-long journey to wherever

the corn market’s demand dictates. 

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to them.

So, click the button on screen or head to storyblocks.com/wendover to sign up, and you’ll

be supporting the channel while you’re at it.