Commentary: Freight rail merger can expand SC agribusiness

South Carolina’s agricultural economy relies on more than hard work and good weather. It also depends on reliable, efficient transportation that allows farmers and agricultural manufacturers to move crops and finished goods to the market on time. For our rural communities, dependable freight rail plays an essential role in keeping our agricultural sector competitive and ensuring supply chains run smoothly.

According to the S.C. Department of Commerce, agriculture and agribusiness contribute more than $51.8 billion to our state’s economy and support more than 259,000 jobs throughout the state. This industry spans every county, including family owned farms, livestock producers, timber manufacturers and food processors. With a temperate climate and an increasing network of suppliers, South Carolina is poised for sustained agricultural and economic growth, as long as the right infrastructure is in place to support it.

Across our state, there are more than 22,600 farms, with an average size of 200 acres each. Many of these operations have tight margins and rely on consistent transportation to receive necessary supplies during planting season and ship finished products after harvest. Delays and bottlenecks caused by rail line trade-offs can quickly translate to higher costs and fewer opportunities for farmers, hindering one of the state’s most essential industries.

Freight rail shipping is already well-established in South Carolina. The S.C. Department of Transportation found that in 2022 the state moved roughly 60 million tons of goods by rail, valued at an estimated $97 billion, connecting farms and agribusiness to ports and markets across the country. Freight rail is especially well-suited for agricultural transportation because it can move large volumes efficiently, helping producers ship more products while still meeting delivery deadlines. In a state that exports such a significant value of goods, strong freight rail connectivity is crucial to maintaining access to national and international markets.

The proposed merger between Union Pacific and Norfolk Southern presents an opportunity to strengthen this connectivity. By establishing a more integrated rail network, this merger would reduce unnecessary handoffs between carriers and improve overall reliability across routes. For agricultural stakeholders in South Carolina, this means more predictable service during planting and harvest seasons and improved access to customers beyond the state borders.

Increases in efficiency from an integrated rail system also matter when it comes to cost. Transportation is one of the largest expenses faced by agricultural producers. Improved coordination and streamlined routes can help lower shipping costs, reduce delays and improve overall supply chain performance. These benefits allow S.C. farmers to remain competitive with producers in other regions while still meeting the demands of a growing market.

The benefits of this merger extend well beyond agriculture. Shifting freight shipping to rail instead of highways and local roads reduces traffic congestion, limits wear-and-tear on roads and improves safety for our state’s taxpayers.

More broadly, a stronger rail network supports rural economic growth and long-term private investment. Reliable transportation encourages agricultural expansion, attracts new processing facilities and creates jobs in rural communities that depend on the industry. For a state built on farming and production, these investments provide opportunities and long-term stability.

As a farmer and longtime advocate for our agricultural community, I understand the importance of practical infrastructure solutions — especially when it comes to moving crops and other agricultural exports. Strengthening freight rail connectivity through smart investments and integration will help ensure South Carolina’s farmers, agribusinesses and rural communities continue to thrive for generations to come.

Randy Ligon is a farmer, Realtor and auctioneer who represents Chester and York counties in the S.C. House.