By Alice McFarlane

Arctic Gateway Group and Invest Tisdale sign MOU to reestablish rail service

Sep 27, 2024 | 2:55 PM

Invest Tisdale has entered into an agreement with the Arctic Gateway Group (AGG) to work together to restore and promote two-way rail traffic between Churchill, Man., and Tisdale, Sask.

Reeve Ian Allan of the Rural Municipality of Tisdale said there has been a wish for direct rail service to Churchill since 1995 and for the restoration of grain service since 2015.

“The Arctic Port terminal is essential and is ours to lose,” Allan said. “We need to take action now, building business-to-business relationships with the ownership group at Arctic Gateway and their vision to see Canada’s Arctic Trade Corridor finally thrive.”

The new memorandum of understanding (MOU) focuses on a range of economic development projects for the Tisdale Rail Subdivision for import and export activities.

Over the next five years, both parties will work collaboratively to restore two-way rail traffic between Churchill and Tisdale which includes working with the existing owner of the rail line to assess the cost involved with revitalizing the Tisdale Rail Subdivision.

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The MOU emphasizes building strong business-to-business relationships including attracting new businesses and capital to the region and increasing communication between AGG and local businesses.

AGG CEO Chris Avery said the Port of Churchill can offer Saskatchewan grain farmers and other businesses major cost savings with a shorter and more direct route to world export markets, as well as for imports of key products such as fertilizers.

“By reconnecting Tisdale to the Hudson Bay Railway, we can help grow the economy in Saskatchewan and offer greater supply chain optionality to lessen the impact of strikes and other forms of trade disruption that we’ve seen this year,” Avery said.

A recent economic report by Praxis, a Saskatchewan-based management consulting and research firm, highlighted the significant economic benefits of re-opening the rail line from Tisdale to Hudson Bay. The report indicates this could generate $69.6 million in annual gross economic activity and create 195 new jobs.

Tisdale needs more shipping options to connect to various ports in all directions, including inland distribution hubs such as CentrePort in Winnipeg and Saskatoon, according to Tisdale Mayor Al Jellicoe.

“We must not let distraction and complacency hinder our efforts to grow our rural economy in a sustainable manner,” Jellicoe said. “It has never been more important that we are focused and proactive in fostering a sustainable rural economy, which requires reliable, cost-effective export options. This work is crucial as we support small businesses, develop industry, create jobs and attract new capital to Saskatchewan.”

Recent work undertaken by AGG is proving the Port of Churchill and Hudson Bay Railway are once again a viable and efficient way to increase import and export trade with global markets. The successful export of critical minerals from the Port of Churchill in August marks a key milestone in AGG’s vision for an efficient, reliable, and prosperous Arctic Trade Corridor.

With the support of the Government of Canada and the Province of Manitoba, AGG has replaced hundreds of thousands of rail ties along the Hudson Bay Railway, rebuilt multiple bridges, improved the reliability of operations, and cut rail travel times by 2.5 hours.

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alice.mcfarlane@pattisonmedia.com

On X: @farmnewsNOW