Farms.com Home   Ag Industry News

Red meat exports at risk amid port labor negotiation delays

Red meat exports at risk amid port labor negotiation delays
Dec 31, 2024
By Jean-Paul McDonald
Assistant Editor, North American Content, Farms.com

Port labor talks threaten U.S. agriculture and meat exports

The U.S. agriculture sector is preparing for possible disruptions as labor negotiations at East and Gulf Coast ports remain unresolved.

Talks between the International Longshoremen’s Association (ILA) and the U.S. Maritime Alliance (USMX) stalled in mid-November due to disagreements over automation, showing minimal progress since.

Although a tentative wage agreement was reached in October, followed by a temporary contract extension after a brief three-day work stoppage, that extension expires on January 15.

Concerns about a strike are already impacting U.S. red meat exports, according to Dan Halstrom, President and CEO of the U.S. Meat Export Federation. Dan Halstrom noted that ocean carriers have started applying surcharges in anticipation of disruptions, while exporters are seeking alternative shipping routes where possible.

East and Gulf Coast ports handle 45% of U.S. pork exports and 30% of beef exports, totaling approximately $100 million in red meat shipments weekly.

Another strike could severely impact chilled product shipments and damage the U.S.'s reputation as a reliable supplier.

“A new Master Contract is essential to keeping our ports open and our supply chains strong. That is why USMX has tentatively agreed to a 62% wage increase for ILA members over the next six years, contingent upon finalizing all outstanding issues a historic leading wage increase that showcases our commitment to American workers,” states a release from the United States Maritime Alliance.

In addition to wage increases, the USMX emphasized the need for investments in technology and infrastructure to improve safety, productivity, and efficiency. These upgrades are expected to benefit ILA members and businesses nationwide.

“We have been clear that this can, and will, be done in a way that not only protects jobs, but adds new jobs as our operations expand,” says the United States Maritime Alliance, Ltd.  “Evolving port operations and increasing wages and jobs for the ILA are not mutually exclusive. Modern technology is proven to dramatically increase the amount of cargo that can be moved through a port annually. ILA members make more money when they move more cargo, and ports need to hire more workers to manage that growth. Ultimately, these improvements serve to bolster U.S. industries by creating supply chains that are more resilient and efficient, which keeps cargo moving and helps manage costs and improves reliability for American companies that depend upon our operations every minute of every day.”

Photo Credit: gettyimages-sstajic


Trending Video

Five Confirmed New World Screwworm Cases Raise Alarm for Livestock and Pet Owners

Video: Five Confirmed New World Screwworm Cases Raise Alarm for Livestock and Pet Owners


Pat Hoffmann, Swine Technical Consultant at Elanco Animal Health tells us about the impact of New World Screwworm. The emergence of New World screwworm in the U.S. creates a threat for veterinarians, livestock producers and pet owners that has not been seen north of the Florida Keys since the fly was eradicated from the United States more than 50 years ago. New World screwworm (Cochliomyia hominivorax) larvae feed on living tissue and can affect a wide range of warm-blooded animals, including livestock, companion animals, wildlife, and even humans.
“New World screwworm could have a devastating impact on animal health, welfare, and producer livelihoods,” said Jeff Simmons, President and CEO, Elanco Animal Health. “We want to thank the FDA, EPA and USDA, for all their work to prepare for this threat. We’re committed to supporting our customers during this challenging time by delivering innovation, scientific expertise, and available resources to help treat New World screwworm and support the health and well-being of animals.”
Elanco is working alongside the U.S. animal health industry to help them fight against this parasite, offering a portfolio of options for pets and livestock that can help treat New World screwworm larvae infestations.