CFA Welcomes Government Action to Improve Rail Service for Farmers
Date:
March 20, 2011
Supporting Content:
For more information, please contact:
Ron Bonnett
CFA President
(705) 987-3402
Ron.bonnett@cfafca.ca
Brigid Rivoire
CFA Executive Director
613-715-3113 (cell)
brigid@cfafca.ca
Jessica Goodfellow
CFA Director of Communications
613-236-3633 ext. 2322
Cell: 613-898-5868
communications@cfafca.ca
The Canadian Federation of Agriculture (CFA) is pleased with the federal government's decision to accept many of the recommendations of its Rail Freight Service Review Panel to improve the rail service for grain farmers in Canada.
"The government's announcement recognizes that Western Canadian grain farmers need immediate improvements in the service provided by Canada's rail companies," stated Ron Bonnett, President of the CFA. "Establishing a six month time frame for the rail companies and stakeholders to sit down and develop service agreements and a dispute resolution process is a good first step."
The government's announcement also includes the introduction of a bill giving shippers the right to a service agreement with the railways, should negotiations fail.
"This is an important element, but a robust dispute resolution process should also be part of the bill, if negotiations fail. Without dispute resolution, service agreements can be weakened," noted Bonnett.
Due to the lack of competition or alternative modes of transportation, railways yield significant market power over Western grain farmers. "Let's hope the government's decision will provide farmers with a little more leverage to receive the adequate level of service that has been missing for too long," concluded Bonnett.
