A recent rally of container truck drivers in Vancouver set hearts to racing in the special crops industry but transportation analysts say a repeat of last year’s trucker strike is unlikely.
“Of course it’s a concern but I don’t think a strike is imminent at this point,” said Greg Cherewyk, director of market development with Pulse Canada.
Truckers rallied on April 18 to convince the federal government to extend a temporary agreement that brought a resolution to last year’s 47 day strike that disrupted container shipments during the peak sales season for the special crops industry.
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Two days after the Vancouver rally, the federal government introduced proposed regulations to bring long-term stability to the container trucking industry in the area.
“Shippers and clients around the world need to know that the lower mainland ports are reliable,” said transport minister Lawrence Cannon in an April 20 News release
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“Today’s proposed regulations will improve the efficiency of these ports and maintain their excellent reputation worldwide.”
Vancouver Port Authority spokesperson Anne McMullin said the proposed regulations will replace a temporary Order in Council that expired on April 20, which brought an end to last year’s strike.
That order established a licensing system for truckers that set minimum conditions on items such as pay and reservation systems. Once adopted, the new regulations will do the same.
“I think what we’ve got is stability for now and I think what we’ve got is implementation of initiatives that will create more stability,” said McMullin.
But until the regulations become law, shippers are nervous about the potential for unrest.
Before the federal government announcement, Canadian Manufacturers and Exporters, Canada’s largest trade and industry association, advised its members to explore alternative plans to shipping containers through Vancouver.
Canada’s special crops industry was also jolted into action by the trucker rally.
“We were watching that quite closely. No one wants to see a repeat of last year. Our reputation as a reliable supplier is definitely impacted by things like that,” said Cherewyk.
Last summer’s seven-week strike by more than 1,000 container truck drivers cost the Canadian economy an estimated $500 million.
The Port of Vancouver handled 1.77 million 20-foot equivalent units in 2005. Pulse crops are the third largest category of outbound containerized commodities, behind wood pulp and lumber.
Despite the prolonged labour disruption, the port handled 524,000 tonnes of containerized peas, beans and lentils in 2005, up 23 percent from 2004 levels.
But Cherewyk said the special crops industry incurred costly delays that infuriated customers.
“As I travelled around last year, I definitely heard about it. From China to India it was a big issue.”
The proposed regulations will reinforce measures already taken by the Vancouver Port Authority and the Fraser River Port Authority to implement new licensing regimes designed to reduce wait times and increase the number of daily trips made by the owner-operators of trucks.
“These ports have a critical role to play in realizing the opportunities associated with emerging Asia Pacific trade,” said international trade minister David Emerson.
Interested parties have 30 days to comment on the proposed regulations.
