The West Coast ports work stoppage could impact the potash industry here at home.
Fertilizer Canada is urging the federal government to act quickly to resolve the work stoppage. It suggests the government use all available tools to prevent further harm to Canada’s economy and reputation as a reliable trade partner.
The work stoppage began on Nov. 4. According to Fertilizer Canada, it said potash fertilizer will be one of the hardest-hit commodities.
“We are concerned that a labour disruption will prevent Canpotex from exporting potash from the Port of Vancouver,” said Canpotex’s Shawn Churchill.
“Canpotex is exploring alternatives to mitigate the potential impact to customers, however a prolonged disruption could negatively impact farmers and food security around the globe. We urge the parties to come to an agreement before damage is done to Canada’s reputation as a reliable, global potash supplier”
Read more:
- B.C. port employers launch lockout at terminals in labour dispute with workers
- B.C. ports shuttered as lockout takes hold in latest labour dispute
West Coast ports handle over 21,000 Mt of potash daily for export to global markets and each day of a shutdown could result in up to $9.7 million in lost sales revenue.
The 2023 West Coast ports labour disruption cost the fertilizer industry an estimated $126 million, took 13 days to resolve and led to the slowing down of production at a potash mine outside of Saskatoon.
Fertilizer Canada is calling on the federal government to amend the Canada Labour Code section 87.7 to ensure the continuous movement of fertilizer products at ports during labour disputes.
Employers have locked out more than 700 unionized workers at every port in British Columbia, including the busy Port of Vancouver.
The lockout late yesterday afternoon is the latest development in a labour dispute that the union says was an overreaction by the BC Maritime Employers Association.
The association’s latest and self-described “final offer” included a 19.2 per cent wage increase over four years, a 16 per cent increase in retirement benefits, additional recognized holidays and an average $21,000 lump sum with back pay since the contract expired.
While grain and cruise ships won’t be affected by the lockout, many other businesses are.
— with files from The Canadian Press