Care urged in sale of Canadian government-owned hopper cars
Western Canada’s largest grain elevator operators urged the Canadian government to use care if and when it decides to sell its hopper car fleet.
“It should remain a high priority of government to give consideration to, and implement only, those proposals that are proven to have a meaningful, positive, and lasting impact on the grain transportation system — to the benefit of all participants,” said the Western Grain Elevator Association in a Nov. 5 statement.
“Although the current grain transportation system has flaws, enacting change without complete understanding of implementation details could lead to serious consequences for both farmers and for Canada’s ability to complete internationally,” the association said.
The association includes nine farmer-owned, public and private grain companies operating in Canada, such as Cargill, ConAgra Grain and Louis Dreyfus, which collectively handle in excess of 90 percent of western Canada’s bulk grain deliveries.
On Nov. 1, Transport Canada reviewed proposals submitted by Canadian Pacific and Canadian National railroads and the Farmer Rail Car Coalition. The coalition is a collection of farm organizations with common goal of purchasing the government hopper car fleet on behalf of the farmers in Western Canada.
The Western Grain Elevator Association said the presentations lacked sufficient detail about how to handle the privatization of the Canadian government’s hopper car fleet. “Further consultation with interested stakeholders is critical,” the association said.
Care urged in sale of Canadian government-owned hopper cars
