Credit crunch
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U.S. farmers feeling the pinch » PG 33
What the future might hold » PG 3
SERVING MANITOBA FARMERS SINCE 1925 | Vol. 74, No. 9 | $1.75
March 3, 2016
G RAIN TRANS P ORTATION
CETA deal reaches key milepost The Canada-EU agreement could soon be ratified BY ALEX BINKLEY Co-operator contributor
A
fter almost 17 months, Canada and the European Union have finally agreed on a legal text for a proposed free trade deal, raising hopes it will be ratified by the end of this year and in effect in 2017. The conclusion of the legal text was announced by Chrystia Freeland, minister of interna tional trade and Environment Minister Catherine McKenna.
manitobacooperator.ca
Report proposes further deregulation of grain freight rates The CTA review panel has concluded the railways will provide better service if the revenue cap is removed
BY ALLAN DAWSON Co-operator staff
I
nitial reaction to the Canadian Transportation Act review report is that it falls far short of fixing what’s broke with the grain transportation system. Farmers are worried about recom mendations to phase out the Maximum Revenue Entitlement (MRE) over seven years and shorten interswitching access. But they welcome proposals to improve the MRE in the interim, extend shipper protection to producer cars and enhance short line railways. The Western Grain Elevator Associ ation ( WGEA), which speaks for the major grain companies, is reserving comment until it has studied the report. However, according to a well-placed source, the WGEA is deeply disappointed. Farmers are also welcoming news that Transport Minister Marc Garneau wants to consult further before acting on the report. While in opposition, veteran Saskatch ewan Liberal MP Ralph Goodale was a strong advocate for the MRE, also known as the revenue cap, and other shipper protections, but whether his views are shared by the new Liberal government is unknown. It has lots of wiggle room,
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See CETA on page 7 »
Grain transportation has reached another fork in the track with the release of the Canadian Transportation Act review report. Photo: Laura Rance
given the report was prepared by people appointed by the former Conservative government. While the report acknowledges grain shippers’ complaints about poor rail service, it doesn’t recommend regulatory solutions, including the reciprocal penal ties grain companies want the railways
to pay when they fail to live up to service agreements. The report, overseen by former Liberal and then Conservative cabinet minis ter David Emerson, examines all com ponents of Canada Transportation Act, See GRAIN TRANSPORT on page 6 »
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