Organized by the National Grain and Feed Association (NGFA), over 55 organizations have sent a letter to the White House calling on the Biden Administration to act immediately to avert potential disruption at port operations along the East and Gulf Coasts.

“As the harvest season gets underway, even the slightest delay in moving American products efficiently has a disruptive and harmful effect on our supply chain and economy. Keeping these ports open and operating at full capacity is critical to NGFA members and rural America,” said Mike Seyfert, president and chief executive officer of the National Grain and Feed Association, one of the groups that signed the letter.

Approximately 40% of U.S. containerized agricultural exports move through the ports along the East and Gulf Coasts. Operations at these ports could be affected as early as Oct. 1 unless a resolution between the International Longshoremen’s Association (ILA) and the United States Maritime Alliance (USMX) is reached. The current labor agreement expires on Sept. 30.

“If port operations are stopped,” the letter read, “the impact on the ag supply chain will quickly reverberate throughout agriculture and not only slow or shutdown operations, but also potentially lower farmgate prices. To prevent a disruption to port operations along the East and Gulf Coasts, we request for your administration to act before a lockout or strike occurs to prevent damage to U.S. agriculture and the economy.”

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The letter was signed by leading trade groups representing farmers and ranchers, food manufacturers, renewable fuels producers, and others.

Stalemate remains in Master Contract negotiations

In a Sept. 23 update, USMX said that despite additional attempts to engage with the ILA and resume bargaining, attempts to schedule a meeting have failed.

“We remain prepared to bargain at any time, but both sides must come to the table if we are going to reach a deal, and there is no indication that the ILA is interested in negotiating at this time,” USMX stated.

USMX said it has received outreach from the Department of Labor, the Federal Mediation & Conciliation Service (FMCS), and other federal agencies about the negotiations. It also said it would be open to working with the FMCS, as has successfully been done in the past, “but that is only possible if both sides agree to mediation.”

USMX added, “Our goal remains the same - we want to bargain and avoid a strike, but time is running out if the ILA is unwilling to return to the table.”

ILA refuted USMX’s claims that it has failed to negotiate, saying communication “has happened multiple times in recent weeks” but that the stalemate remains in Master Contract negotiations “because USMX continues to offer ILA longshore workers an unacceptable wage increase package.”

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“USMX knows what our bottom line with wages needs to be for our ILA rank-and-file to ratify a new Master Contract Agreement,” said Harold Daggett, the ILA’s international president and chief negotiator for the union that boasts a membership of 85,000. “They call me several times each week trying to get the ILA to accept a low-ball wage package. My ILA members are not going to accept these insulting offers that are a joke considering the work my ILA longshore workers perform, and the billion dollar profits the companies make off the backs of their labor.”

Daggett said if a coast wide strike that shuts down all ports on the Atlantic and Gulf Coasts occurs it “falls squarely on the shoulders of USMX.”