The Surface Transportation Board (STB) conditionally approved the merger of the Canadian Pacific and Kansas City Southern railroads last week, a decision that could expand the movement of grain and other commodities from Canada and the Upper Midwest through new export channels into the Gulf of Mexico, DTN reported. The merged railroad will be the first single rail network linking the U.S., Canada and Mexico.

Canadian Pacific currently moves about 1.2 billion bushels of agricultural commodities and 1.3 billion gallons of ethanol. The merger...