The port workers’ strike in British Columbia could have consequences for producers and consumers in Saskatchewan, according to industry experts.
That’s because the job action could disrupt supply chains, which is a big concern for people working in agriculture, said Jasmin Guénette, who is the vice president of national affairs at the Canadian Federation of Independent Business.
“Farm businesses that need to get their product out to the market may not be able to do so,” Guénette said.
B.C. port workers with the International Longshore and Warehouse Union walked off the job Saturday morning.The strike affects more than 7,000 terminal cargo loaders at 30 ports. Their employer, the B.C. Maritime Employers Association, said bargaining attempts with a federal mediator had been unsuccessful so far.
Guénette said disruptions to the supply chain might also mean that consumers will have to wait for products to reach shelves, which could add to the cost pressure in a time when people are already struggling to make ends meet due to inflation.
Bill Prybylski, who is the vice-president of the Agricultural Producers Association of Saskatchewan, said local grain that is transported in containers will be affected.
The containers are filled at elevators in Saskatchewan and then the containers are transported to ships at the ports in B.C. from where they are exported to international customers.
“Any pulse growers and specialty crop growers, this is going to affect how they market their grain. Any disruptions in the movement of grain of any kind is certainly not good news for producers,” Prybylski said.
“If the containers aren’t able to be unloaded at the port onto a ship and sent to our customers, there’ll be a backlog.”
If the strike continues, and shipments get delayed, farmers could see cash flow issues. (Aishwarya Dudha/CBC News)
If producers are unable to deliver on their contracts because elevators are full, that could create problems in cash flow for farmers who don’t get paid until the grain is delivered.
“If the customers are waiting for the grain at the other end, it could hurt in the long run. If they’re not able to get the grains, they’ll look elsewhere,” Prybylski said.
A strike by port workers in B.C. has entered its fourth day and is disrupting supply chains, particularly impacting grain farmers and the agriculture sector. (Aishwarya Dudha/CBC News)
Supply chain issues will further burden the provincial economy that’s already struggling with inflation and high interest rates, said Keith Willoughby, who is dean of the Edwards School of Business.
“We’re looking at a situation where $800 million per day is flowing through those ports,” Willoughby said.
“So where it’s going to be impacted for us here in the province on the consumer side is any of our businesses that are importing goods from other countries could see items that are held up in port.”
However, he suggested consumers have confidence in the labour mediation process as both sides are sitting on the bargaining table.
He also mentioned that this could be an opportunity for manufacturers to consider relying less on global imports and start manufacturing within the country.
“It’s easier said than done, because it’s a multi-billion dollar decision to onshore your manufacturing, but going forward is something that we as a province, as a country, are going to look at doing to ensure that we aren’t susceptible to some of these supply chain issues.”
TORONTO – Strength in the base metal and technology sectors helped Canada’s main stock index gain almost 100 points on Friday, while U.S. stock markets also climbed higher.
The S&P/TSX composite index closed up 93.51 points at 23,568.65.
In New York, the Dow Jones industrial average was up 297.01 points at 41,393.78. The S&P 500 index was up 30.26 points at 5,626.02, while the Nasdaq composite was up 114.30 points at 17,683.98.
The Canadian dollar traded for 73.61 cents US compared with 73.58 cents US on Thursday.
The October crude oil contract was down 32 cents at US$68.65 per barrel and the October natural gas contract was down five cents at US$2.31 per mmBTU.
The December gold contract was up US$30.10 at US$2,610.70 an ounce and the December copper contract was up four cents US$4.24 a pound.
This report by The Canadian Press was first published Sept. 13, 2024.
OTTAWA – Statistics Canada says wholesale sales, excluding petroleum, petroleum products, and other hydrocarbons and excluding oilseed and grain, rose 0.4 per cent to $82.7 billion in July.
The increase came as sales in the miscellaneous subsector gained three per cent to reach $10.5 billion in July, helped by strength in the agriculture supplies industry group, which rose 9.2 per cent.
The food, beverage and tobacco subsector added 1.7 per cent to total $15 billion in July.
The personal and household goods subsector fell 2.5 per cent to $12.1 billion.
In volume terms, overall wholesale sales rose 0.5 per cent in July.
Statistics Canada started including oilseed and grain as well as the petroleum and petroleum products subsector as part of wholesale trade last year, but is excluding the data from monthly analysis until there is enough historical data.
This report by The Canadian Press was first published Sept. 13, 2024.
TORONTO – Canada’s main stock index was up more than 150 points in late-morning trading, helped by strength in the base metal and energy sectors, while U.S. stock markets were mixed.
The S&P/TSX composite index was up 172.18 points at 23,383.35.
In New York, the Dow Jones industrial average was down 34.99 points at 40,826.72. The S&P 500 index was up 10.56 points at 5,564.69, while the Nasdaq composite was up 74.84 points at 17,470.37.
The Canadian dollar traded for 73.55 cents US compared with 73.59 cents US on Wednesday.
The October crude oil contract was up $2.00 at US$69.31 per barrel and the October natural gas contract was up five cents at US$2.32 per mmBTU.
The December gold contract was up US$40.00 at US$2,582.40 an ounce and the December copper contract was up six cents at US$4.20 a pound.
This report by The Canadian Press was first published Sept. 12, 2024.
