ARLINGTON, VIRGINIA, US — The National Grain and Feed Association (NGFA) is among US agricultural groups expressing relief at an Oct. 3 announcement of a tentative labor agreement to end a strike that had threatened to cripple operations at East Coast and Gulf Coast ports.

Some 45,000 dockworkers are returning to work after the International Longshoremen’s Association union and the United States Maritime Alliance, Ltd., which represents ports and shipping companies, said in a joint statement that they had reached a tentative agreement on wages. The union said it is suspending its strike until Jan. 15, 2025, to allow time to negotiate a new contract that addresses outstanding issues.

“It is a relief that a tentative agreement has been reached and the ports will be open for business once again,” said Mike Seyfert, president and chief executive officer of the NGFA. “For US farm products to flow smoothly to domestic and international markets, it is essential for all parts of the supply chain to be fully functioning. The shutdown of these vital shipping ports was already starting to create big problems for NGFA’s members and America’s farmers during harvest season.”

The union went on strike early Oct. 1 after its contract expired in a dispute over pay and the automation of tasks at 36 ports stretching from Maine to Texas. The union’s membership won’t need to vote on the suspension of the strike. Until Jan. 15, the workers will be covered under the old contract, which expired on Sept. 30.

Last week, the NGFA spearheaded a letter that was signed by agricultural organizations and companies across the country, calling on President Joe Biden to help find a solution to the ongoing labor challenges. The NGFA and 55 agricultural groups noted that about 40% of US containerized agricultural exports move through the ports along the East and Gulf coasts. The American Farm Bureau Federation estimated that $1.4 billion a week in agricultural trade was at risk during the strike.

“Left unresolved, this strike could have led to higher transportation costs for agricultural shippers and jeopardized valuable customer relationships,” Seyfert said. “For the sake of rural America, we hope that the parties involved will work diligently between now and Jan. 15 to find a long-term agreement that works for both sides and keeps our shipping channels open.”