South Saskatchewan group joins parade to get new terminal

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Published: July 13, 1995

SASKATOON – Another group of Saskatchewan farmers wants to build a grain terminal.

Shares went on sale last week to raise money for a feasibility study into construction of a high capacity elevator at Assiniboia, about 100 kilometres south of Moose Jaw.

Bob Derbyshire, president of South Central Terminal Ltd., said farmers in the area first began talking about the idea last fall.

“It was prompted by a lot of talk and rumors going around about rail line closures and the need for more efficiency in the system,” he said from his farm near Assiniboia.

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The company has until Aug. 11 to raise a minimum of $125,000 to carry out the feasibility study. The shares sell for $100 each, with a maximum investment of $4,000.

Unite with grain company

South Central is one of 11 locally owned terminals either already built or under development in just about every area of the province. The projects are financed by a combination of public shares and bank financing, and generally unite with an established grain handling company as an operating partner.

Most of the projects were initiated in the last two years, prompted by farmers’ desires to take control of their own destiny in a time of great change in the grain handling and transportation system.

Line’s viability threatened

Derbyshire said there’s a lot of concern about the future of branch lines in his area. While Assiniboia is on a heavily used line that is in no immediate danger of abandonment, there are fears that its viability could be threatened if lesser-used feeder lines in the area are abandoned.

“If we draw more grain to this line with a new terminal, that might help assure its future,” said Derbyshire.

The town of Assiniboia is currently served by two elevators operated by Saskatchewan Wheat Pool and United Grain Growers. Over the last 10 years, farmers have delivered an average of 153,700 tonnes to those elevators.

Derbyshire said while those elevators are in good condition, they both have small car spots and will be unable to take advantage of the efficiencies and savings associated with 50 and 100 car spots.

While no specific plans have been drawn up for the proposed South Central Terminal, it would probably have storage capacity of around 10,250 tonnes and privately owned condominium grain storage space.

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Adrian Ewins

Saskatoon newsroom

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