Quake creates transport woes for seed firm

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Published: March 18, 2010

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LETHBRIDGE – Economic tremors from the recent earthquake in Chile have been felt as far as away as Alberta.

HyTech Production Ltd. of Leth-bridge grows hybrid canola seed under contract in the South American country and then exports it to North America, Europe and Australia.

However, HyTech president Brian McNaughton said the devastating earthquake has made it difficult to transport the bagged canola seed to port in Chile.

The port he normally uses to load ships has been destroyed, while his alternate port is 500 kilometres to the north.

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The condition of roads and bridges will create transportation challenges, especially because spring seeding deadlines are nearing.

Thirty-five farmers grow the crop in Chile, and McNaughton, his son, Kevin, or employee Kenny Piecharka visit regularly to assure quality

control.

The growers are located in a 500 km north-south band and have access to three modern seed processing plants within a 1,000 km range.

Under normal conditions, HyTech has plenty of time to get that seed to market to bolster similar seed supplies grown for the company in Canada.

From Chile, it arrives in either Philadelphia or Vancouver, where it is moved to trucks for distribution to McNaughton’s customers in Western Canada, mainly the big canola players such as Viterra, Monsanto, Dow Elanco and Bayer Cropscience.

McNaughton employs 20 workers in Canada and another 20 in Chile.

He spends two to three weeks a month in Chile during his busy months of January, February and March. While Chilean farmers do a good job, he said he wants to maintain a management hand to assure seed quality matches the quality in Canada.

McNaughton contracts two types of hybrid canola seed, one of them genetically modified to tolerate glyphosate.

He started his business in 1989 and expanded it as hybrid canola varieties gained the upper hand.

About 90 percent of canola is now hybrid varieties.

The increased demand prompted McNaughton’s expansion to Chile 10 years ago.

He said he chose the country largely because of its stability.

About the author

Ric Swihart

Freelance writer

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