CANADA expects its third biggest wheat crop on record, but fears it does not have the rail capacity to get the grain to market, reports Bloomberg.
Last year, Canada's two national railways struggled to move Canada's much smaller 2021 crop amid disruptions from wildfires, floods and extreme weather.
'They couldn't do a crop that's 40 per cent smaller. What's going to happen when we have a normal one again?' said Mark Hemmes, president of Quorum, a company hired by the federal government to monitor Canada's grain-transportation system. 'Anybody in this business is worried.'
Canada's harvest rebound comes as world grain supplies have been uncertain following the war in Ukraine and as extreme weather trimmed output in parts of Europe.
Drought is also shrinking crops from the US farm belt to China. Soaring commodity prices are also contributing to food inflation that's been gripping the globe.
The bumper crops are in line with Canadian National Railway's grain plan, said CN spokesman Jonathan Abecassis who expects to move as much as 27 million tonnes.
The Canadian Pacific Railway said in an emailed statement that it's 'well-positioned to meet the needs of grain customers and the broader Canadian economy during the 2022-2023 crop year.'
Meanwhile, demand for Canadian grain is skyrocketing from foreign buyers searching for supplies, said Wade Sobkowich, the executive director of Winnipeg-based Western Grain Elevator Association, which represents businesses that move more than 90 per cent of the country's bulk grain exports.
'We're very worried,' said Mr Sobkowich. 'This fall represents the most important grain harvest in canada in a generation.'
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Last year, Canada's two national railways struggled to move Canada's much smaller 2021 crop amid disruptions from wildfires, floods and extreme weather.
'They couldn't do a crop that's 40 per cent smaller. What's going to happen when we have a normal one again?' said Mark Hemmes, president of Quorum, a company hired by the federal government to monitor Canada's grain-transportation system. 'Anybody in this business is worried.'
Canada's harvest rebound comes as world grain supplies have been uncertain following the war in Ukraine and as extreme weather trimmed output in parts of Europe.
Drought is also shrinking crops from the US farm belt to China. Soaring commodity prices are also contributing to food inflation that's been gripping the globe.
The bumper crops are in line with Canadian National Railway's grain plan, said CN spokesman Jonathan Abecassis who expects to move as much as 27 million tonnes.
The Canadian Pacific Railway said in an emailed statement that it's 'well-positioned to meet the needs of grain customers and the broader Canadian economy during the 2022-2023 crop year.'
Meanwhile, demand for Canadian grain is skyrocketing from foreign buyers searching for supplies, said Wade Sobkowich, the executive director of Winnipeg-based Western Grain Elevator Association, which represents businesses that move more than 90 per cent of the country's bulk grain exports.
'We're very worried,' said Mr Sobkowich. 'This fall represents the most important grain harvest in canada in a generation.'
SeaNews Turkey
