Grain shippers call for immediate action to avoid suspension of CP work, Canadian Business Journal

Winnipeg, Manitoba, March 15, 2022 (GLOBE NEWSWIRE) — Grain shippers include a bilateral agreement on binding arbitration in the case of transactions at the CP Rail and Teamsters CanadaRail Conference (TCRC). We are calling for accelerated negotiations to avoid suspension of work. Not imminent. Rail service disruptions will have a devastating impact on the entire agricultural value chain after suffering from droughts, wildfires, floods, blockages, COVIDs, record snowfalls, and the long-term cold last year. CP conductors and engineers may strike 72 hours in advance or be locked out by the CP administrator.

“Despite 35% less than this year’s average crop due to drought, railroads struggled to meet even half of our weekly demand for railroad services in the past few months,” said the Western Grain Elevator Association. Wade Sobkowich, Managing Director of the, said. “This imminent outage at CP will change the situation from terrible to catastrophic and ruin the flow of goods across Canada’s economy,” Sobkovich said of factors such as drought and floods. Although unavoidable, Canada added that it must find a permanent solution to the turmoil under its control, such as the suspension of railroad construction.

Grain elevators on the CP line are watched by exclusive service providers, and there are no competitive options for transporting grain to domestic and international gristmills, grain processing facilities, and feed lots. Rail services are essential for delivering grain from the prairie to customers and ports in North America and around the world. Serious rail service challenges have irreparably damaged the reputation of Canadian customers and put inflationary pressure on domestic and international food prices.

“CP management and TCRC need to be aware that in the event of a downturn, their actions will have serious consequences across Canada. The impact is food, both in terms of price and supply. It’s mostly felt by Canadian consumers in retail stores, “added Sobkowich. “The world needs more Canadian grain than ever before, and it is rude for everyone to take advantage of the current domestic and global situation to benefit individuals.” WGEA said both parties. Demands that you agree to complete the negotiations in good faith, or agree to a binding arbitration to avoid suspension of work. If this is not the case, it is imperative that the federal government intervene and impose a process for a fair and rational solution.

WGEA is an association of grain businesses operating in Canada that collectively processes over 95% of bulk grain exports in western Canada. Its members make up about one-fifth of Canada’s bulk rail revenue and have a total annual freight cost of over $ 1 billion.

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Grain shippers call for immediate action to avoid suspension of CP work, Canadian Business Journal

Source link Grain shippers call for immediate action to avoid suspension of CP work, Canadian Business Journal

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