Saskatchewan farm group calls for extension of rail interswitching provisions

The Agricultural Producers Association of Saskatchewan (APAS) said extending provisions included in Federal Bill C-47 would increase rail competition and lower costs for hauling farm commodities.

APAS sent a letter to Federal Transport Minister Omar Alghabra and chair of the standing committee on finance, Peter Fonseca. It stressed access to competitive rail service is critical for shippers and agricultural producers to ensure supply chain efficiency and effectiveness, as well as guard against market failure when negotiating rail service terms and rates.

APAS President Ian Boxall said rail is the most effective way to get farm products to market and interswitching is a policy tool that encourages more rail competition. He said farmers are ultimately the ones that that pay freight and bear the costs when there are disruptions in the system.