opinion
This editorial was written and submitted by Chris Davison, president and CEO of Canola Council of Canada, Dean Dias, CEO of Canada Cereals, and Greg Cherewicz, president of Pulse Canada.
It’s playoff season for hockey in Canada, a time when Canadians get to see what it takes to make a team successful: a group of people who work hard together to compete, solve problems for each other and produce results when the pressure is on.
The current lack of such an approach puts the welfare of Canadians and others at risk. The Canola Council of Canada, the Canadian Grains Council, the Canadian Pulses Council and our members, who represent the largest parts of Canada’s agricultural value chain, are deeply concerned by the looming threat of a strike at Canada’s transcontinental rail companies, CN and CPKC. The simultaneous suspension of operations by both national rail companies poses a significant risk not only to Canadian industry but to the entire Canadian economy. (continued below)
Greg Northey from Pulse Canada appeared on RealAg Radio to discuss the impact of a potential double-track rail strike.
Canada’s agriculture sector is the cornerstone of our nation’s prosperity, contributing billions of dollars to our economy each year and supporting the livelihoods of countless Canadians. For reference, in 2023, Canada’s agriculture sector alone exported over $34 billion in canola, grains and pulses to more than 100 markets. The products Canada grows are staple crops and most important commodities that provide essential food and feed for communities across the country and around the world.
Our industry achieves this in large part through its reputation as a trusted supplier of high-quality grains and oilseeds to countries around the world.
But like a frontline hockey player, our ability to deliver is critical to our reputation. With a looming rail strike, the timely delivery of agricultural products to international markets is at risk. When a strike occurs, farmers are unable to deliver their grain, shipments are delayed, contract violation fines are levied, orders are canceled, and Canada’s global competitors are happy to take our profits. Moreover, even short outages can take months to clear the backlog. Stopping these shipments for any length of time poses a threat not only to the Canadian economy, but to global food prices and safety.
Across Canada, rail service is essential to transporting fertilizer, grain, raw materials and finished foods we buy in our stores. Canadians are already seeing the impacts of food inflation and supply chain disruptions. It’s safe to say Canadian consumers are finding it more important than ever to have reliable service and supplies.
It doesn’t have to be this way. It is essential to recognize that strikes that affect the core of our food supply are avoidable, and that the consequences of not avoiding them will be far-reaching and have long-term implications for our agriculture sector and the Canadian economy as a whole.
For months, our organization and many others have been urging the Federal Government to do everything possible to stop the strike. With so much at stake, we will continue to call on the Federal Government to engage in meaningful dialogue with both labor and management to find a solution that protects the interests of all involved.
We’ve spoken to politicians, public servants and members of Canada’s maritime supply chain, and they tell us they understand the gravity of the situation. If we all agree, we must act to find solutions that prioritize Canadians’ lives and keep Canadian products flowing.
As representatives of Canada’s agricultural value chain, we call on the federal government to prioritize the interests of farmers, processors, exporters, transporters, consumers, and the economy as a whole. We cannot allow preventable labor disputes to undermine our efforts to build resilient supply chains that help establish Canada’s reputation as a reliable supplier of agricultural products.
The potential strike is just one in a series of disruptions that have rocked the agriculture sector and the Canadian economy. Blockades, port strikes, rail lockouts over the past few years, and others that may come next, have cumulatively damaged Canada’s global reputation as a supplier of choice. This hurts farmers, consumers and the entire value chain at a time when food security has never been more critical and precarious.
Therefore, the federal government must do all it can to avoid a strike, and our organization stands ready to support efforts to find a solution that protects the interests of all Canadians.
It is incumbent on each of us to make this case directly to those at the table.
So the next time you meet your Congressman or Senator at a local coffee shop or community event, tell them how the rail strike will affect your farm and business. It’s important to let them hear directly that products destined for export or delivered to local stores will be stranded without transportation. Our organization will continue to do everything in our power to get that same message out to those who can avert this impending crisis.
We must work together to prevent supply chain disruptions and act to build Canada’s reputation as a reliable grain shipper. If we can’t solve this problem in the local team’s dressing room, what chance do we have on the ice?
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