Economic Impact
The Economic Impact
The Mississippi River and Tributaries (MR&T) Project is one of the most successful civil works projects and one of the wisest investments our country has made, protecting more than $200 billion worth of assets.
The financial implications of the 2011 floods to farmers have been devastating – an estimated $250 million in Mississippi, more than $300 million in two Missouri counties alone and more than a half billion dollars in planted rice, soybean, corn and other crops in Arkansas. Illinois, Tennessee, Kentucky and Louisiana have also experienced huge economic losses from flooded fields. However, even with the losses from the flood, it is estimated that the MR&T prevented more than 100 billion dollars in damages. Since its creation in 1928, the MR&T has prevented losses of more than $500 billion throughout a 135,000 square-mile area protecting more than four million people. This year in Louisiana alone, the MR&T prevented tens of billions of dollars in damages to the state’s petro-chemical industry, nuclear power plants, and shipping interest. With an investment of $14 billion to build the MR&T, the total losses prevented translate to a 34-1 return on investment.
Inland ports along the Mississippi River have been damaged due to the tremendous amounts of additional silt carried by the floods. These ports provide a vital transportation link, carrying our nation’s agricultural and industrial products to markets for distribution throughout the country and around the globe.
Navigation on the Mississippi River carries the vast amount of important products like coal, fertilizer, cement, gravel and salt, among others, which are the building blocks of our nation’s economy.
The navigation features of the MR&T project, along with the inland ports, are a crucial piece of our nation’s commerce and economic activity. Waterborne commerce on the Mississippi River increased from 30 million tons in 1940 to nearly 500 million tons today.
Agricultural products and the large agribusiness industry in the Mississippi River basin produces 92 percent of the nation’s agricultural exports, 78 percent of the world’s exports in feed grains and soybeans and most of the livestock and hogs produced nationally.
Sixty percent of all grain exported from the United States is shipped via the Mississippi River from ports throughout the region down to the Port of New Orleans and the Port of South Louisiana.
The MR&T has received a $24 return for every one dollar invested, not including the positive environmental benefits. When fully completed, it will have a return of $37 for every one dollar invested.
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Loss of farm storage
Thousands of gallons of chemical and diesel were lost in the flood
An important part of a productive farm operation includes storage for grain, pesticides, diesel, …
Damage to state parks and recreation areas
Big oak state Park
In late April, the 2011 flood caused significant damage to local and state parks and other recreation areas across the Delta. Big …
Loss of jobs due to flood waters
Out of work
In Tunica alone the casino closing resulted in 9,600 employees being laid off.
Damage to transportation
Shipping and transportation were greatly effected
Shipping and transportation across the Delta were greatly affected during this year’s floods. Roads were washed out, prohibiting interstate commerce …
Sand deposited on fertile soil
Do you know what grows well in sand? NOTHING
Sand has been deposited on a lot of ground, rendering it unusable. Generations have farmed …
Loss of Farm Production
Thousands of acres have been destroyed
There is one thing a farm needs more than anything, SOIL. Without it you can’t grow anything. Thousands of acres …
