For David Newman, moving his grain from Saanich in British Columbia to other parts of Canada has become a nightmare.
The grain industry in Canada was hit by massive backlogs of delays resulting in a loss for the farmers. Newman thought the situation would improve but “it has become so bad, we have to change our business models,” he said.
According to documents obtained under an Access to information request, B.C agriculture ministry said the situation had improved reducing railgrain shipment backlogs but Newman disagrees.
“They do not pass our routes as frequently as they do,” he Newman said. He said their profit margins have reduced from 75 per cent last year to 40 per cent. Newman, who is also president of Commodius farms said small farmers like him were being shortchanged.
Spokesperson for B.C’s agriculture ministry Robert Boelens in an email said “Rail lines in B.C. and throughout Canada are held to Bill C-30 and regulations which has improved the grain movement throughout Canada.”
President of B.C Grain Producers Association Robert VanderLinden said “already, most grain producers are two months behind schedule and this is not good for us.” He said last year a lot of the members lost contracts and the association was promised the situation would change this year but “there is little improvement.” Most of the blame was laid at the doorstep of Canada Rail. Phone calls and emails to Canada Rail were not returned.
According to information provided the animal nutrition association of Canada, the BC Grain producers’ association and some farmer associations signed a memorandum of understanding to provide a “made in BC” proposal to move grain from Northern BC to Southern BC. Bob Dornan secretary treasurer of the animal nutrition association of Canada said “that plan was to get attention to the plight of the farmers.” “It didn’t work.” He said he did not sign the document but heard of it. VanderLinden said he knew of the MOU but was not signatory to it.
Shaun Grant, managing director of the South Peace Cleaning Coop, said most of the farmers signed the MOU because “they were fed up with the system.” According to access to information documents, Grant’s organization which is a cooperative of more than 100 farmers is received money from government funded Peace River Agriculture Development fund to draw a proposal to create an alternate rail access to move grain from the area for shipment. Only farmers producing within 100 miles radius of Dawson Creek will benefit from the project. Grant said, “It will be hard to benefit every farmer but most farmers will benefit.”
The business plan for the project will be ready next week and the project will commence later this year pending approval from the BC government. Grant said the project will see grain being transported to the port of Prince Rupert which has less congestion and they have plans of exporting to China and India. “It is more of a marketing plan to export outside Canada,” he said. Grant said only feed grains for a few companies in the Canadian market will be served under the project.
Newman said this is just a means for a few people to enrich themselves to the detriment of the poor farmer. “They will do everything for the big cooperatives to ship outside Canada,” he said. “They don’t care about those of us producing for the local market.”
For Newman and other farmers, they can only hope for frequent transport of their grain by Canada Rail and hope that the next alternative will be to cart more grain for local consumption than for export. Even with that, he can only hope he falls within the mileage of beneficiaries.
Documents
ATIP response from BC’s ministry