Commerce and Trade

The Tenn-Tom Waterway has proven to be an important new component of the Nation’s transportation system. It has helped reduce transportation costs for manufacturers and producers in as many as 14 states.

An Eight Barge Tow on the Waterway

An eight-barge tow containing over 12,000 tons of coal leaves one of 10 locks on the 234-mile waterway. The lock system raises and lowers commerce a total of 341 feet. The Tenn-Tom can save waterborne commerce as much as 800 miles in distance traveled between Mid-America and deep water ports along the Eastern Gulf of Mexico.


Commerce

Commercial traffic has steadily grown each year since the waterway opened in 1985. About 8 million tons are shipped each year. The principal commodities in terms of tonnage are shown below.

Principal Commodities in Terms of Tonnage
Commercial Traffic Breakdown
8% Chemicals
5% Steel
14% Construction Materials
2% Other Commodities (13)
27% Coal  
44% Forestry Products

 

A Reliable Transport Route

The Tenn-Tom saved companies $millions in 1988 when a summer drought closed the Mississippi River to barge traffic. Unaffected by low water conditions, the waterway proved to be a viable alternative route to the Mississippi and kept plants in the Ohio Valley and Midwestern States supplied with essential raw materials needed for continued operation for nearly two months until the Mississippi River became navigable again.

Rail Rates Decline

Rail costs for some shippers decreased by as much as 15 to 25 percent when the Tenn-Tom first opened. The availability of an alternative mode continues to help keep rail and truck shipping costs in check. More recent studies conclude that manufacturers and producers that have access to more than one mode of transportation enjoy similar cost savings.

International Trade

The Tennessee-Tombigbee is strategically positioned to serve increased trade with Latin America and other foreign markets. About 2 million tons of commerce are now exported each year on the Tenn-Tom. These shipments are expected to dramatically increase once the new, $300-million container port in Mobile is completed in early 2008.

Port facilities throughout the waterway corridor offer a wide range of intermodal services to companies involved in international trade. Deep-water ports along the Gulf can also be reached by the Tenn-Tom. Click here for more information about port services.