THURSDAY, FEBRUARY 20, 2014
VOL. 92 | NO. 8 | $4.25
Speed seeding New planter boosts seeding rate, stops double seeds | P. 84
GROWING WITH FARMERS FOR 90 YEARS
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GRAIN INDUSTRY | LEGAL ISSUES
SPECIAL REPORT | GRAIN INDUSTRY
Troubling times for rail transportation Big grain backlog | Costs keep rising for producers
WIT sale stirs court challenge Judge intervenes | Opponents of Weyburn Inland Terminal sale ordered to amend circular BY KAREN BRIERE REGINA BUREAU
Jack Shymko is one prairie producer caught in a grain transportation system that is unable to meet shippers’ needs. On his farm near Ituna, Sask., about 160 kilometres northeast of Regina, Shymko has yet to deliver a single bushel of last year’s record-breaking crop. Every tonne of his production has been contracted but so far, not a single bushel has been delivered. “I’ve contracted everything, other than canola, but I haven’t moved a thing,” said Shymko. “On this line, there’s not too much of anything moving, other than oil cars. There’s just no movement.” After a decent start to the 2013-14 crop year, grain movement through line companies has been slow this year.
SASKATOON NEWSROOM
T
here are hundreds of stories to describe the transportation backlog that’s affecting western Canadian farmers this winter. And in most of those stories, there is one recurring theme: record agricultural pro duction c ombine d with rising demand for rail service and insufficient capacity is costing growers dearly. Lost sales, huge basis levels and mounting demurrage costs — estimated at more than $25 million — have taken a huge chunk out of farmers’ wallets. And the costs are rising daily. Not surprisingly, the chorus of unhappy farmers demanding immediate solutions is growing louder and more urgent.
SEE TROUBLING TIMES, PAGE 3
MIKE STURK PHOTO
NOTHING HITS HARDER.
OR LASTS LONGER.
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u|xhHEEJBy00001pzYv!:) FEBRUARY 20, 2014 Return undeliverable Canadian addresses to: Box 2500, Saskatoon, SK. S7K 2C4
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Grain trucks line up at dusk at the Cargill terminal at Blackie, Alta. |
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SEE WIT SALE, PAGE 2
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The Western Producer is published in Saskatoon by Western Producer Publications, which is owned by GVIC Communications Corp. Publisher: Shaun Jessome Publications Mail Agreement No. 40069240
BY BRIAN CROSS
The battle for control of Weyburn Inland Terminal has shifted to the courtroom after the board of directors tried to stop a group of dissident shareholders from soliciting proxies to scuttle the deal. The judge denied that request but did order the dissidents to amend the information circular they presented at a Feb. 4 meeting. The board has approved, and is seeking shareholder approval for, a $94.5 million takeover of WIT by Parrish & Heimbecker. The dissident group, including two directors who resigned late last year, want the company to remain independent.