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Grain Gateway Takes Shape

Grain Gateway Takes Shape

By Brock Johnston, bjohnston@iasoybeans.com

East Coast facility to boost ag exports by 2026

Beneath the hum of construction on the East Coast, a bold vision is taking shape — one driven in part by the determination of U.S. soybean farmers to put more American agriculture on the global map.

It's a vision quickly turning into reality for the Port of Virginia, already the second-largest commercial port on the East Coast by tonnage and third largest by container volume. With its strategic mid-Atlantic location, deep water access to the open sea, and ability to handle a diverse mix of vessels and cargoes, including containerized and bulk soybean products, the region is primed to meet agriculture's desire to boost exports around the world.

Built for global ag

Enter The DeLong Co., Inc., who celebrated the groundbreaking of the brand new, state-of-the-art Portsmouth Agricultural Intermodal Export Facility on May 29. Located in Portsmouth, Va., the facility is being constructed in partnership with the Port of Virginia, the Virginia Department of Rail and Public Transportation, the CSX Railyard, and the City of Portsmouth.

Phase one of the facility is slated for completion in early 2026 and will be the first on the East Coast capable of receiving unit trains and transloading agricultural products directly into export containers.

This innovative facility will offer 15,000 metric tons of storage and will handle 15,000–20,000 containers annually, significantly boosting the region's ag export capabilities. Whole grains and feedstuffs — including soybeans, corn, wheat, distillers grains and soybean meal — sourced from local producers and the Midwest will be received by truck and rail, then shipped overseas via the Port of Virginia.

"This project represents a major step in strengthening the economic, agricultural, and logistical landscape of Virginia and the greater East Coast to Midwest corridor," says Brandon Bickham, vice president of exports at The DeLong Co., Inc. "We're proud to bring this facility to Portsmouth in collaboration with CSX and the Port of Virginia."

In total, the facility is expected to have an annual export capacity of 500,000 metric tons, with primary export markets including Vietnam, Indonesia, Thailand, Taiwan and China.

Leading the charge

Soybean farmers and industry leaders are working diligently to ensure their ability to meet the growing global demand for high-quality protein from this region is as reliable, competitive, and cost-effective as possible.

Through the Soy Transportation Coalition (STC), they are doing just that — committing $50,000 toward The DeLong Co.'s latest project. Other soybean farmer-led organizations are also planning to contribute additional funding in the future.

The $26 million project is also supported in part by a $750,000 Rail Infrastructure Access (RIA) grant from the Virginia Department of Rail and Public Transportation. The site is leased from CSX and operated solely by The DeLong Co., Inc.

Construction of the new export facility is ongoing, amid a backdrop of global trade uncertainty and changing needs for the future of U.S. soybean exports. Growing demand for domestically produced renewable fuels continues to require new or enhanced export capacity for quality U.S. soybean meal, a factor that the facility will help to alleviate.

Despite the challenges facing American farmers, working with DeLong shows how the collaboration with others is helping to grow opportunities for U.S. soy, says Mike Steenhoek, executive director of the Soy Transportation Coalition (STC).

"You can't get comfortable putting all of your eggs in one basket," says Steenhoek. "This project is a great example of that. The more we can diversify our transportation options for our commodities, the more it helps our industry stay competitive, reliable and cost effective."

Warren Bachman, former district 8 director for the Iowa Soybean Association (ISA), agrees. That's why he joined fellow U.S. soybean farmers in Norfolk, Va., for STC's board meeting and tour of the facility held just prior to the start of harvest season across much of the Midwest. Participants, which also included ISA farmer-members participating in the association's Grassroots Fellowship program, visited the site of the new facility and heard directly from other stakeholders involved in bringing the vision to reality.

"This region is very important to our success and reaching buyers internationally," says Bachman. "Several of the United States' largest Class One railroads are connected to this area and can get to and from two-thirds of the country in under 24 hours."

That's a big reason why investing in the region, along with our other major export regions like the Gulf Coast and Pacific Northwest, is key, adds Bachman.

Looking ahead

Phase 2 of the Portsmouth facility is already underway, with plans that will further expand storage and throughput capacity.

"Soybean farmers are very appreciative of DeLong for the significant investment they are making to expand U.S. soybean exports," says Bachman. "They are ultimately the ones making this project happen, and it's a great feeling to know that farmers have been able to collaborate with DeLong on bringing this project to life."

STC previously collaborated with DeLong Co. in 2023, contributing $200,000 toward the company's agricultural maritime export facility at Port Milwaukee, near Milwaukee, Wis. This project will ultimately help strengthen a supply chain for U.S. soybean exports in the Great Lakes/St. Lawrence Seaway.

Established in 2007, the Soy Transportation Coalition is comprised of 14 state soybean boards (including the Iowa Soybean Association), the American Soybean Association and the United Soybean Board. The goal of the organization is to position the soybean industry to benefit from a transportation system that delivers cost effective, reliable and competitive service.

The DeLong Co., Inc., headquartered in Clinton, Wis., is the largest U.S. exporter of containerized agricultural products with 39 U.S. locations and was named the Port of Virginia's 2024 Shipper of the Year.

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