Saskatchewan expects bumper crop, worries about rail delays

Saskatchewan's Agriculture minister is warning the Federal government and rail companies that the province expects a "substantially above average" crop this harvest.

Lyle Stewart is raising the alarm bells because there's fear that a bumper crop could result in rail backlogs similar to those experienced after a record crop in 2013.

Stewart said delays getting crops to market that year led to more than a billion dollars in loss.

"There is a large crop coming — not only in Saskatchewan, but right across Western Canada," Stewart said. "There will be huge volumes of grains to handle and we expect that to happen in a timely fashion."

Stewart points to rail companies cutting back on equipment and employees as the main factors leading to inefficient rail transport. He says that trend has continued, and although it's helped companies lower overheads and increase share value, it's hurt grain farmers and customers.

"The real long term problem with these more-or-less short term transportation issues is loss of confidence in our customers around the world," said Stewart.

The province is asking the Federal government to look at what kind of penalties rail companies should face if they don't live up to their end of the bargain. But he doesn't think fines are the answer.

If there is a strike at the Port of Prince Rupert, we encourage the federal government to consider back-to-work legislation to ensure the timely movement of harvest.- Sask. Agriculture Minister Lyle Stewart

"I think a better situation than a federal fine would be that the grain companies and the railways would owe each other for failure to perform."

Saskatchewan also wants the Feds to step in, if other situations arise that affect the movement of crops.

"For example, if there is a strike at the Port of Prince Rupert, we encourage the federal government to consider back-to-work legislation to ensure the timely movement of harvest," Steward said.

He said the government is making its requests in a public way, because it knows a large crop is on its way, and wants to put the Feds and rail companies on the spot.

"I think if the railways are serious about doing this job they will be re-commissioning some equipment that's been in storage and hiring some employees back. I know they can do this job if there's the will to do it."