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THE Kansas City Southern (KCS) railway shut its main line in Louisiana and stopped exchanges with other railways in New Orleans after being struck by Hurricane Ida, reports Bloomberg.
Hurricane Ida caused major flooding and structural damage after making landfall Sunday as a Category 4 hurricane about 60 miles south of New Orleans. More flooding is expected as the storm moves north.
The Union Pacific, CSX and Burlington Northern Santa Fe have lines through New Orleans. The service disruption could spread across the US rail network as freight cars have to be re-routed.
It typically takes weeks and even months for railways to fully recover from an extended shutdown of main lines.
KCS crews must also wait for flood water to recede before beginning repairs adding to the delays after shutting down a line in Mississippi from Gulfport to Hattiesburg.
"Please note that once the line has reopened, customers should expect some delays until the backlog has been alleviated and normal speeds can be resumed over the affected area," the company said.
The lack of railcar transfers adds another obstacle to cross-country shipping. The railway also is grappling with road closures and power outages as it begins to inspect tracks and repair damage.
Said Norfolk Southern: "Customers with shipments arriving or departing from our New Orleans facility should expect delays of at least 24 hours."
BNSF said its crews are conducting inspections of the company's main line between New Orleans and Lafayette, Louisiana.
The cost to hire a truck will rise as demand increases in the Gulf Coast region for trucks to haul in supplies for the relief an rebuilding of the area, said Adam Roszkowski, an analyst with Bloomberg Intelligence.
The port of New Orleans has halted container terminal and break-bulk operations in the torrential rain and heavy winds.
New Orleans Terminal and Ports America, ceased loading and unloading at the terminals on Monday, the port authority said on its website. Other companies involved in break-bulk, or the moving of cargo onto smaller ships, will also stop work the same day.
Ships diverted away from the Mississippi to avoid Hurricane Ida, potentially affecting exports of grain from the US South. The US Coast Guard closed the lower stretch of one of the river, prompting the New Orleans port authority to reschedule vessel arrivals.
The lower Mississippi is by far the largest export region for soybeans and corn, accounting for more than half of US shipments, according to Mike Steenhoek, executive director of the Soy Transportation Coalition.
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