A strike by rail workers at Canadian Pacific Railway would have a “potentially disastrous” impact on the country’s economy and could compromise agricultural productivity, according to Canada’s commercial fertilizer industry.
In a March 11 news release, Fertilizer Canada called on the Teamster’s Canada Rail Conference (TCRC) and CPR to “swiftly resolve their negotiations to avoid a potentially disastrous shutdown to the essential rail supply chain.”
TCRC, which represents more than 3,000 unionized workers at CPR including locomotive engineers, conductors and train workers, announced last week that its members last month voted overwhelmingly in favour of strike action if a mediated labour agreement cannot be reached by 12:01 am on March 16.
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The potential work stoppage would have potentially “crippling effects” on the economy and agricultural sector, national and globally, Fertilizer Canada said.
“Fertilizer Canada and our members are greatly concerned with the looming CP strike,” said Karen Proud, president and chief executive officer of Fertilizer Canada, which represents the country’s fertilizer manufacturers, wholesalers and retailers.
“The agriculture sector is already experiencing supply challenges compounded by the war in Ukraine and cannot withstand any more disruption to the supply chain without severe consequences for farmers, food security in Canada and worldwide, and the Canadian economy.”
Fertilizer Canada said it respects the collective bargaining process but added that a work stoppage would compromise Canada’s position as a leading global fertilizer supplier and could result in fertilizer production facilities being forced to shut down, impacting Canadian workers, the economy, and food security.
A strike at CP, Canada’s second largest rail carrier, would also compound mounting concerns that domestic deliveries of fertilizer products would be further delayed, and may not be in position in all regions of Western Canada by the time spring seeding starts in a few weeks.
About 75 percent of all fertilizer produced and used in Canada is moved by rail, Fertilizer Canada vice-president Clyde Graham said.
Deliveries of nitrogen, phosphate, potassium and sulfur-based fertilizers to wholesalers and retailers throughout Western Canada are normally in position by the end of March, Graham said.
But several factors, including delayed purchasing decisions by some growers as well as supply chain problems earlier in the year, have pushed deliveries behind schedule.
Canada’s ability to export crop nutrients to growers in other countries would also be compromised.
“The industry is dependent on rail to move product across the country and into international markets who are counting on supply coming from Canada,” Fertilizer Canada said in its news release.
Contact brian.cross@producer.com
