FP/wire say CN, CP have record harvest to deliver
2022-10-20 07:16 ET - In the News
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From In the News (C:CNR) Canadian National Railway Company
The Financial Post reports in its Thursday edition that this year's important harvest has farmers hopeful it will make up for last year's poor crop yield, yet supply chain stalls could put a further wrench in agriculture profits. A Reuters dispatch to the Post reports that the Western Grain Elevator Association (WGEA) said that capacity remains stable but not comfortable, as grain elevator levels reach 85 per cent, leading to fears of grain delivery delays. WGEA director Wade Sobkowich says 85 per cent is an acceptable fulfilment level. When the rate drops below that, railcar delays impact the entire supply chain, leading to a build-up at the grain elevators and slow down farmer deliveries. He says currently, farmers are ordering about 10,000 to 11,000 railcars per week. The AG Transport Coalition's most recent grain report from September, said that Canadian National Railway fulfilled 88 per cent of hopper cars and Canadian Pacific Railway fulfilled 77 per cent, up from 73 per cent from the week prior. CP says it is prepared to meet the transportation needs of grain customers this crop year. CN says it has made record grain movements, as 2.62 million tonnes of grain was move from Western Canada in September. |
