Saskatchewan grain drives activity at port of Churchill

Source: Saskatchewan Agriculture and Food

Once again, in 2006, Saskatchewan grain made up the vast majority of the shipping through the Port of Churchill, Manitoba.

According to the Canadian Wheat Board (CWB), there were 384,000 tonnes of wheat and durum shipped through Churchill this year. The total was an increase over the 353,000 tonnes in 2005, as well as the 361,000 tonnes shipped in 2004.

OmnxiTRAX Inc. owns and manages the port facility and the single rail line that connects to Churchill from The Pas, Manitoba. Michael Ogborn, managing director of OmniTRAX, said, "We have repeatedly shown that this port operation is more than capable of efficiently handling grain and other cargos. It has a very bright future, provided our core wheat traffic remains strong."

This year, grain was loaded on a total of 12 vessels, which were destined to deliver to customers in Mexico, Europe and Africa. The final departure of the season left on November 2, carrying 44,000 tonnes destined for Sudan. Past delivery destinations have included Belgium, Cameroon, Ecuador, Ghana, Greece, Morocco, Norway and Turkey. Over the past four years, the biggest customer for Churchill shipments has been Italy, which has received some 283,000 tonnes.

CWB shipments represent approximately 80 per cent of the grain passing through Churchill. Board spokesperson Maureen Fitzhenry said the CWB remains committed to Churchill "because it makes economic sense to farmers." She added that the agency is supportive of non-Board shipments, as well, in order to "maintain the viability of the port." The CWB is targeted to deliver about 400,000 tonnes per year to Churchill, with the port's continued operation based on an objective of 500,000 tonnes per year, total.

The primary catchment area for Churchill deliveries is northeast Saskatchewan, comprising the regions around Prince Albert, Humboldt, Canora and points north. For producers in these areas, the Churchill route is simply less expensive than shipping through Thunder Bay or Vancouver. Approximately 35 to 40 per cent of producers receive a Churchill Freight Adjustment Rebate to guarantee that cost difference.

The port is normally ice-free for five months per year, with the shipping season beginning in July and running to November. In 2006, the port operators, local workers in Churchill and the railways worked together to maximize shipments, despite facing some stormy weather in October. Workers remained on the job around the clock during the last few weeks of the season to meet shipping schedules set by the Canadian Coast Guard.

According to Fitzhenry, "the railways made a considerable effort" to provide and turn around grain cars in a timely fashion.

Since 1996, Saskatchewan wheat and durum have comprised the bulk of shipments through the Port of Churchill, which have totalled some 4.2 million tones.

For more information, contact:

Maureen Fitzhenry, Media Relations Manager
Canadian Wheat Board
Phone: (204) 983-3101