ARLINGTON, Va., Aug. 19, 2024 — The National Grain and Feed Association (NGFA) led members of the Agricultural Transportation Working Group in asking Canadian Prime Minister Justin Trudeau to maintain railroad operations to “prevent serious damage to the Canadian and U.S. economies.”
The Canada Industrial Relations Board (CIRB) recently cleared the way for a potential rail strike that could begin as soon as Aug. 22 if the Canadian National and Canadian Pacific Kansas City Railways fail to reach an agreement with unions represented by the Teamsters Canada Rail Conference.
NGFA urged the Canadian government to prevent a rail strike or lockout as it would lead to shutdowns of rail-dependent facilities, “resulting in harmful consequences for Canadian and American agricultural producers, the industry, and both domestic and global food security,” notes the Aug. 19 letter.
The livestock industry depends on rail for the timely delivery of feed grains and ingredients, while many facilities, such as biofuels operations, flour mills and other grain processors, require uninterrupted rail service, the groups noted.
“Operational railroads are essential on both sides of the border for the integrated North American supply chain,” states the letter. “While we believe a negotiated solution is always the preferred outcome, the government should be prepared to move quickly if negotiations fail.”
While Aug. 22 is the first potential official start date of a strike or lockout, railroads have already begun altering their operations and halting shipments of many products to ensure people or trains are not stranded once a strike begins.
NGFA sent similar letters warning of the economic and food security consequences of a rail stoppage on Aug. 2 to the chairman of the Standing Committee on Agriculture and Agri-Food in the Canadian House of Commons and to the CIRB on May 21.
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The NGFA, established in 1896, consists of grain, feed, processing, exporting and other grain-related companies that operate facilities handling U.S. grains and oilseeds. Its membership includes grain elevators; feed and feed ingredient manufacturers; biofuels companies; grain and oilseed processors and millers; exporters; livestock and poultry integrators; and associated firms that provide goods and services to the nation’s grain, feed and processing industry. The NGFA consists of 27 affiliated State and Regional Grain and Feed Associations, is co-located and has a strategic alliance with North American Export Grain Association, and a strategic alliance with Pet Food Institute.