Ag transport group urges Biden to avert Canadian supply chain problems

The Agricultural Transportation Working Group, which is composed of 19 agricultural groups including the National Grain and Feed Association and the Fertilizer Institute, on Monday urged President Biden to work with the Canadian government to avert a major railway labor strike and to rescind the cross-border vaccine mandate for workers moving essential commerce.

“If the U.S. and Canadian governments allow the following supply chain disruptions to persist into the spring fertilizer season, the impacts to our industry and North American farmers could be devastating,” the working group noted.

The letter references a potential upcoming labor disruption at Canadian Pacific (CP) Railway. The Teamsters Canada Rail Conference recently voted in favor of strike action, which the letter said could happen as early as March 16.

“The impact would be significant for grain movements on both sides of the border for livestock feeding and processing operations served by the CP,” the group said. “The strike also would halt the CP route that carries U.S. grain to the Pacific Northwest export market. Grain is CP’s largest line of business, and approximately 10-15% of CP’s business is fertilizer,” the working group noted.

–The Hagstrom Report