CN & CP Exceed Maximum Revenue Entitlements For 2019-2020

Dec 23, 2020

In a determination issued Tuesday, the Canadian Transportation Agency (CTA) ruled that revenues of the Canadian National Railway Company (CN) and the Canadian Pacific Railway Company (CP) were above their maximum grain revenue entitlements for the crop year 2019–2020.

CN's grain revenue of $933,502,041 was $3,170,615 above its entitlement of $930,331,426.

CP's grain revenue of $999,230,808 was $2,170,010 above its entitlement of $997,060,798.

CN and CP now have 30 days to pay the amount by which they exceeded their 2019–2020 revenue entitlements, in addition to a five percent penalty of $158,531 for CN and $108,501 for CP.

Regulations require these payments go to the Western Grains Research Foundation. This foundation is a farmer-financed and directed organization set up to fund research that benefits Prairie farmers.

CN and CP moved 4.3 percent more grain this crop year

In the 2019–2020 crop year, 48,023,898 tonnes of Western grain were moved – 4.3 percent more than the volume moved during the previous crop year. The average length of haul was 965 miles – 1.4 percent lower than the previous crop year.

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