(Reuters) – Hurricane Ida damaged a Louisiana grain export elevator owned by global grain trader Cargill Inc. and disrupted export operations at the busiest bulk grain export facilities in the United States on Monday.
Cargill said its reserve, Louisiana Terminal, one of two companies operating along the Mississippi River near the Gulf of Mexico, "suffered significant damage" from the storm, which roared ashore as a powerful Category 4 hurricane.
Rival crop trader Bunge Ltd. and Archer- Daniels-Midland Co. said they were working to assess damage to their export facilities in the area.
The storm has disrupted grain and soybean shipments from the Mississippi Gulf Coast, which accounts for about 60% of U.S. exports, at a time when global supply is tight and demand is strong from China.
Images of the damaged Cargill terminal, with a twisted and partially collapsed grain transport system, circulated on Twitter and were shared among grain transporters and barge transporters.
“This area of SE Louisiana is still facing significant personal safety issues and power outages, so we can only begin to assess the impact of the storm on the river system. We currently have no time frame to resume operations, Cargill said in a statement.
Cash premiums for grain delivered by barge to the Gulf terminals for export fell sharply on Monday when traders feared a prolonged recovery from the storm. [1
Destrehan is one of Bange's busiest port facilities handling soybeans, corn, wheat and sorghum from over 50 grain elevators along the Mississippi River, according to the company's website.
The power went out over Louisiana and Mississippi after Ida crashed ashore. .
Archer-Daniels-Midland will assess the damage to four New Orleans grain elevators and port operations it closed over the weekend in preparation for the hurricane, spokeswoman Jackie Anderson said.
"ADM has a large transport network and we make alternative shipping arrangements that are necessary to meet customers' needs when we get through this difficult situation," she says in an email.