Fertilizer Canada Pleased CP Trains Are Moving, Calling on Government to Develop Long-Term Solution to Fragile Supply Chain

OTTAWA, ON, March 22, 2022 /CNW/ - Fertilizer Canada is pleased the Canadian Pacific Rail (CP Rail) work stoppage has ended and for the attention federal Labour Minister Seamus O'Regan brought to this situation. However, industries who rely on rail to ship their goods to both Canadian and international customers need a permanent solution to problems within Canada's supply chain. Disruptions, such as work stoppages, jeopardizes our country's position as a reliable trading partner on the world stage and have devastating impacts on farmers, the economy, and food security in Canada and around the world.

While Fertilizer Canada respect the collective bargaining process, we are disappointed the outcome of CP Rail's negotiation resulted in a work stoppage. The impacts of the two-day stoppage will be felt for weeks to come.

"We are pleased that the work stoppage has ended," said Karen Proud, President & CEO, Fertilizer Canada.  "However, there are several other collective agreements expiring in 2022. Canada cannot afford for these agreements to expire and another work stoppage to occur. It is now vital the federal government develop a long-term approach to fixing problems within the supply chain so Canada can continue to be a reliable trading partner."

Rail is crucial to the transportation of Canadian fertilizer, domestically and internationally, and a work stoppage has crippling effects on the economy and agriculture sector, especially, during the crucial spring seeding season.

"Fertilizer is the most important input for crops grown in Canada and around the world, helping farmers produce maximum crop yields," said Proud. "The agriculture sector is already experiencing supply challenges compounded by the war in Ukraine and needs assurance we will be able to get crucial fertilizer product without concern of work stoppages."

The Canadian government has a responsibility to make sure that domestic supply of agriculture products is moving freely and there is unimpeded trade and cross-border mobility between Canada and the U.S.  which is essential, particularly for the fertilizer sector, due to the highly integrated nature of the supply chains.

75 per cent of all fertilizer produced and used in Canada is moved by rail and the industry is dependant on rail to move product across the country and into international markets. Since 2019, our members have dealt with a strike at CN, the Port of Montreal and now CP. Our member companies operate in a global marketplace and need a transportation system that is not under threat of disruption every two years.

ABOUT FERTILIZER CANADA:
Fertilizer Canada represents manufacturers, wholesale and retail distributors of nitrogen, phosphate, potash and sulphur fertilizers. The fertilizer industry plays an essential role in Canada's economy and is committed to supporting the industry through innovation, sustainability, stewardship, safety and security. As the foundation of Canada's agri-food sector, we apply innovative solutions that positively impact the environment, the economy, and the social fabrics of Canadian life.

SOURCE Fertilizer Canada

Kayla FitzPatrick, Director of Communications, Fertilizer Canada, [email protected], [phone]