• You will need to login or register before you can post a message. If you already have an Agriville account login by clicking the login icon on the top right corner of the page. If you are a new user you will need to Register.

Announcement

Collapse
No announcement yet.

Canada won’t tell railways where to ship grain for now

Collapse
X
Collapse
 
  • Filter
  • Time
  • Show
Clear All
new posts

    Canada won’t tell railways where to ship grain for now

    The Canadian government will not, for now, start telling railways where to ship farmers’ grain, but it will decide within days whether to extend its requirements on how much grain they must haul, Transport Minister Lisa Raitt said on Wednesday.

    In an interview in her parliamentary office, Raitt said farmers and shippers have questioned whether the government’s grain shipment minimums are still required and whether Ottawa should tell the country’s two dominant railways, Canadian National Railway Co. and Canadian Pacific Railway Ltd., on which corridors grain should be shipped.

    Grain handlers and farmers say the railways have focused on the quickest turnaround corridors, notably Vancouver on the West Coast and the Great Lakes port of Thunder Bay, while ignoring shipments to the United States.

    “I am not looking at the question of corridors at the moment,” Raitt said.

    The mandatory minimum shipments, put in place to ensure crops from the record 2013 harvest got to market, expire on March 28. Raitt said she takes farmers’ concerns seriously, but also noted Canada’s grain backlog was “coming back to equilibrium.”

    The government is also looking at whether to remove a cap on how much revenue the railways can earn from shipping grain. The railways say that limiting their income from shipping grain reduces their incentive to haul it.

    Raitt said she is sure former International Trade Minister David Emerson will deal with this issue in his government-mandated review of the Canada Transportation Act. Emerson’s report is due in December.

    She said she did not lean one way or the other on the revenue cap, but added: “Look, I’m a market girl. There’s no question that I fully believe in market forces.”

    She called “ridiculous” CP Rail’s refusal to pay government fines for not meeting the minimum grain shipments. CP chief executive Hunter Harrison said this month the railway would contest the $50,000 in fines in court on principle.

    “Well my principle is we said we would make sure that a certain minimum amount of grain is moving, and we expect it to be moved,” Raitt said. “Eventually they should pay the fine.”

    So in a Nut Shell it means their will continue to Be shitty service in Eastern Saskatchewan and The North. The railways will continue to move grain that is in the quickest turnaround areas. Basically Alberta and then move East.
    Fines mean Shit all to the Railways as they do what the hell they want.
    Hm Great time to be a farmer or owner of anything that has to be exported.
    New project needed, Stop all the waste and build a new railway. The CPP is buying land any ways so purchase all quarters in a strait line from Manitoba to BC call it the CPP part two. Then Get into bed with Chinese or who ever to build and operate the railway. Tell unemployed to come for the work. Two lines east and west. Then Let see how well the two railways do.

    #2
    Sf3

    They might have to offer up better working conditions for the Chinese this time around to build another railway.

    Going on 3 years if this shit.

    Of course alberta and manitoba don't complain they are the fast turns for the railways.

    You have to wonder how ignorant people in Ottawa will get.

    Raitt is going to fight in court over 50000 and spend millions doing it. And the railways will make them just for fun.

    That's why the fines were never heavy enough. If harrison is prepared to go to court make the fines higher than Tom's court cost at the very least.

    And the targets for this winter should have been adjusted to get caught up. What a wasted opportunity considering the weather.

    Comment


      #3
      I say every farmer in Saskatchewan should book contracts with Alberta elevators or Manitoba off the combine. Then haul and plug those locations with our grain. Hm wonder if a Albertan sitting in line behind 20 to 30 Saskatchewan trucks would be happy happy happy and think their is no rail problem.
      Just saying this shit is hurting our Farms yet no one gives a shit.

      Comment


        #4
        All this in election time.

        Comment


          #5
          By December the election will be over.

          Comment


            #6
            Do a quick role reversal and put yourself in Hunter's shoes. What personality is always right, doesn't care a tick how unhappy major customers are, is willing to ignore or challenge the regulator, and is oblivious to bad press?

            This guy's arrogance is off the chart.

            Comment


              #7
              Market forces are only a factor in environments with a competitive factor.

              The message really is, for additional farm revenue buy rail shares they have gone up 300 & 400% in the last few years.

              Comment


                #8
                The root of the problem is the government.

                Comment


                  #9
                  Government since 1865.

                  But now we have Tom.

                  Comment


                    #10
                    In order to buy railway shares I need to move my fn grain first.

                    It's the chicken egg thing.

                    It's a poor way of looking at things.

                    I am investing in my farm and myself. I think it's a good investment. For myself and my kids.

                    Comment


                      #11
                      Farming is the most amazing way of life in the world, I agree, my kids are all part of our farm, we brought them up like we were brought up to believe.

                      This is a competitive world today, Australia has openly moved to streamline their system from seed to shipments inviting open competition.

                      We can afford the inefficiencies of service and the failure to support value added opportunity today less than ever.

                      Ongoing failure to insure a logistical process with competitive efficient access will affect your farm more today than ever, very simply because the seeping loss of residual income due in large part to failure to serve by the railways, is met with others doing better & eating our lunch.

                      Comment


                        #12
                        Brave, perhaps we should give Via a charter for all Canadian Rails... and it can buy nice new locomotives... and make scads of money hauling grain, Fertilizer, and potash... to supplement its passenger service lack of profit!

                        What do you think, with the close to 60 percent returns CNCP are estimated to have extracted, perhaps some competition needs to be enacted in our grain shipments?

                        Comment


                          #13
                          Most here that rah rah the government railways and the removal of the revenue cap don't realize how much we have lost to other competitors due to a failure in our logistics.

                          Not individually, but as a whole.

                          The farm community can not continue to lose.

                          And the railways, like government, shouldn't be picking winners and losers.

                          It's bad for the whole of Canada.

                          Comment


                            #14
                            I know who should have been Ag minister. Hey, VD? It's time we had some value adding taking place in politics.

                            Comment


                              #15
                              I tell you what Tom.

                              They could offer a package where you could tag along in a passenger car with the grain and make the deal at the west coast. Just like fish markets.

                              I would take a tour following my grain a couple times.

                              Comment

                              • Reply to this Thread
                              • Return to Topic List
                              Working...