Fertilizer Canada says rail stoppage to cost industry up to $63m a day
Fertilizer Canada warned on Tuesday disruptions impacting all rail services across the country will cost the fertilizer industry an estimated $55-million to $63-million per day in lost sales revenue, not including logistical and operational costs.
Canada is the largest producer and exporter of potash - the key ingredient in fertilizers - and 75% of all the fertilizer produced and used in the country is moved via the railways.
The railways move an average of 69 000 metric tons of fertilizer product per day, equivalent to four to five trains, according to Fertilizer Canada.
"Our industry continues to be very concerned by the potential of a dual rail disruption and the cascading impacts on Canada's economy and global food security," the organization said in an emailed statement.
The fertilizer industry contributed about $12-billion to Canada's gross domestic product last year.
The organization, which represents producers like Nutrien and CF Industries, said last week the industry had already begun to feel the effects of the labour disruption, as the railways issued embargoes that impacted some ammonia fertilizer products and halted their movement.
Since 2018, seven supply chain labour disruptions have cost the fertilizer industry an estimated $976-million in lost sales revenue.
Comments
Latest Multimedia
Latest News
Showroom
Weir is a global leader in mining technology. We recognise that our planet’s future depends on the transition to renewable energy, and that...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
