Major Funding Strengthens Northern Trade Routes for Prairie Exports and Growth
The Governments of Canada, Saskatchewan, and Manitoba recently announced that they are investing a combined $262.5 million to strengthen trade infrastructure through the Port of Churchill and the Hudson Bay Railway network.
The investment aims to modernize the northern trade corridor and improve connections between Prairie producers and global markets. The federal government is contributing $180 million, while the remaining funding comes from provincial partners.
This funding supports long-term improvements to transportation routes used to move Prairie commodities such as grain, potash, minerals, energy products, and other goods. Originally built to ship wheat in 1931, the Port of Churchill has expanded its role and now handles a wide range of cargo, including lumber, petroleum products, sulfur, and containerized freight.
The improved corridor is expected to reduce shipping times and costs while creating new trade opportunities for producers and processors.
“This investment in the Port of Churchill and the Hudson Bay Railway is welcome news for rural Saskatchewan. It strengthens vital trade links that will help our producers move Prairie commodities faster and more efficiently to global markets,” said Bill Huber, SARM President.
“Rural communities stand to benefit from the new jobs, infrastructure improvements, and business opportunities that come with a modern, reliable northern corridor. SARM is pleased to see all levels of government working together to support rural economic growth and position Saskatchewan as a key player in Canada’s future trade network.”
Partnerships with communities and industry are also expanding. A collaboration announced through Invest Tisdale promotes two-way rail traffic to support local economic activity. Another industry agreement plans to import large volumes of phosphate through Churchill for fertilizer production and distribution across the Prairies.
Arctic Gateway Group, which manages the port and railway, continues to improve operations. A second weekly freight train now runs on the line, and a new critical mineral storage facility will significantly increase shipping capacity. Advanced technologies such as LiDAR, drones, and AI-powered monitoring are also improving safety and reliability.
With strong government support and modern upgrades, SARM says the Port of Churchill is expected to become a key northern trade hub, helping Prairie industries reach international markets more efficiently while supporting rural economic growth.