Regina, SK — (March 26, 2021): The Prairie Oat Growers Association is pleased with the recent announcement that Canadian Pacific will purchase Kansas City Southern. This merger creating a rail network that spans three countries – US, Canada and Mexico will provide a great advantage for shipments of raw and processed products.
“This expanded rail service will provide increased market access for Western Canadian oats and will improve efficiencies through single line service, fewer interchanges and more direct routes to customers,” said Jenneth Johanson, Chair of POGA.
The US is Canada’s largest export market for oats and Canada is supplying well over 90% of the oats to the Mexican market.
With the new CUSMA trade agreement and the recovery from the COVID-19 pandemic, this new rail service will support North American economic growth to the benefit of Western Canadian oat producers.
“Producers need an efficient, competitive and reliable transportation system if we are to meet customer demands. The demand for Canadian oats is strong and Mexico is one of our critical markets with 2021 expected to be another record year for exports,” said Johanson. “This direct access to key customers will create new opportunities and help ensure smooth access to rail services.”
For more information, please contact:
Interim Executive Director