By Alice McFarlane

Grain transportation by rail challenged by uncertain supply

Oct 27, 2021 | 2:53 PM

MELFORT, Sask. — CP Rail has outperformed CN Rail during the three months of the 2021-22 crop year.

Information on grain movement is compiled for the Ag Transport Coalition which represents a group of agriculture associations concerned with the agriculture supply chain.

Speaking during the Grain By Train podcast, Milt Poirier with QGI Consulting said CP was able to fill 98 per cent of car fulfillment orders.

“They’re consistent at a system level week in week out. They’re consistent in performing across all their corridors and they seemingly have adjusted pretty well to what I would describe as up and down demand,” Poirier said.

While grain volumes have not been steady Poirier said CP has handled the situation very well.

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It is a different story for CN. Poirier said CN has not been as consistent with weekly fulfilled car orders varying from a low of 79 per cent to a high of 88 percent.

“It’s kind of about the West Coast corridors of Prince Rupert in Vancouver. It was particularly bad in week 10, particularly at Prince Rupert, but it’s not isolated to week 10 performance,” he said.

Poirier said it’s been up and down for the last month and a half.

“We see it more weeks than we don’t,” Poirier said

Another issue has been that grain flow from country elevators has fluctuated with the unevenness of the grain supply because of the questionable harvest, according to Poirier.

“Grain companies are trying to time their logistics chains to match railway hopper car orders with inbound grain from farmers,” Poirier said. “When you have that level of uncertainty in your inbound pipeline, which is the grain coming in by truck to the elevator, it’s difficult to plan the logistics out from the elevator.”

The Ag Transport Coalition members include the Alberta Wheat Commission, the Canadian Canola Growers Association, the Canadian Oilseed Processors Association, the Inland Terminal Association of Canada, the Manitoba Pulse & Soybean Growers, Pulse Canada, and the Western Grain Elevator Association.

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alice.mcfarlane@pattisonmedia.com

On Twitter: @farmnewsNOW