Zeghers Seed Inc. o/a Zeghers Canada may owe farmers money for grain deliveries
By Diego Flammini
Staff Writer
Farms.com
The Canadian Grain Commission (CGC) has revoked the license of a Manitoba grain company.
“As of March 25, 2024, Zeghers Seed Inc. o/a Zeghers Canada is no longer licensed by the Canadian Grain Commission,” a statement from the commission says. “The company’s grain dealer licence and primary elevator licence located at Holland, Manitoba, have been revoked.”
Zeghers is now on the CGC’s website among the list of 25 companies that no longer have licenses in effect. Of that list, the majority are in Western Canada.
Any farmers who did business with Zeghers before March 25 may be eligible for payment security under the CGC’s Safeguards for Grain Farmers Program and are encouraged to contact the CGC immediately.
Under this program, licensed grain companies are required to provide payment security to the CGC to cover money owed to producers for grain deliveries.
That security can come in the form of a bond, an irrevocable standby letter of credit or guarantee, or a payables insurance policy.
Sections 95, 116 and 118 of the Canada Grain Act allow the CGC to revoke a license if a company can’t maintain that security.
Farms.com has contacted the CGC for details on what caused the commission to revoke the license