The federal government has dismissed complaints from CN Rail this week.
CN is facing fines for failing to ship the required minimum amounts of grain as ordered under the new Fair Rail for Grain Farmers Act.
According to the act CN and CP are each required to move a weekly minimum of about 5,000 railcars of grain, or face fines of up to $100,000 a week.
CN is arguing the potential fines are unfair because there is not enough demand right now.
Agriculture Minister Gerry Ritz says he’s not sure where CN is getting the idea there isn’t grain to handle – CP has been able to meet the requirements.