Canadian railroads exceed caps on grain revenue

Canada’s two national railways generated too much revenue from western grain hauling in the last crop year and will have to pay fines, a federal agency ruled on Dec. 30. Canadian National Railway exceeded its $409 million cap by nearly $26 million while Canadian Pacific Railway was nearly $34 million over its $374 million cap,

Millions in freight savings

Western grain shippers will save $2.59 a tonne or $72 million per year after a Federal Court ruled against Canada’s two major railways in a battle over how much maintaining hopper cars should cost. The Federal Court of Appeal rejected the railways’ argument that the Canadian Transportation Agency erred in the way it retroactively cut


CN puts grain investments on hold

Western grain transportation should be completely deregulated, including elimination of the cap on railway revenues designed to protect grain farmers from railway gouging, says Wayne Atamanchuk, Canadian National Railway’s (CN) assistant vice-president of bulk commodities. Meantime, CN has stopped investing in grain transportation fearing “creeping re-regulation” will inhibit CN’s ability to earn a profit from

Farmers not well served by grain transportation reforms

“We have a first-class system. I don’t think there’s anybody who beats us. When you talk to buyers around the world they say, ‘You’ve got all of this and you still screw it up.’” – MARK HEMMES From the farmer’s point of view, reforms made eight years ago to Western Canada’s grain transportation system have


Poor rail service hurts grain competitiveness

If Paterson Grain serviced its customers the way the railways service Paterson Grain, it wouldn’t get much repeat business, according to the Winnipeg-based company’s vice-president of operations Keith Burch. “If we (said) ‘We’ll sell you 10,000 tonnes of canola and we promise to deliver 80 per cent of that, and only 90 per cent of