Labor dispute stops Canadian canola oil, forestry exports from West Coast

By Ed White

(Reuters) – Canada’s exports of canola oil and forest products from West Coast ports have halted due to a labor dispute, producers said on Thursday.

The stoppage, which started on Monday (NASDAQ:MNDY), involves limited strike action by the longshore foremen and a full lockout of Local 514 of the International Longshore and Warehouse Union by the B.C. Maritime Employers Association.

While bulk grain shipments are exempt from the British Columbia action, canola oil and forestry products are not covered by that federal labor code provision and are not being loaded onto ships at Pacific ports.

Based on the market price of canola oil, each day without shipments represents C$4 million in lost revenue, said Chris Vervaet, the executive director of the Canadian Oilseed Processors Association, which says it represents about 95% of Canada’s canola and soybean crush capacity.

“We really implore the government to get involved and really help both sides to a resolution.”

Federal Labor Minister Steven MacKinnon has said both sides have a responsibility to reach an agreement. On Thursday he criticized the lack of apparent progress between the union and employers as well as a smaller shutdown affecting some container traffic at the Port of Montreal.

“Both sets of talks are progressing at an insufficient pace, indicating a concerning absence of urgency from the parties involved,” said MacKinnon in a post on social media platform X.

Vervaet said Canada exports about one million metric tons of canola oil through the Port of Vancouver yearly.

Canada is the world’s top exporter of the oilseed, and canola oil is the most valuable part of the crop.

The Forest Products Association of Canada also called for federal government intervention.

Wood, pulp, paper and byproduct shipments by the organization’s members make up about 17% of Vancouver’s container exports and 14% of Montreal’s.

This post is originally published on INVESTING.

  • Related Posts

    Mexico plans to set aside $6 billion for Pemex in draft budget, Bloomberg reports

    (Reuters) – Mexico plans to set aside about $6 billion from its 2025 draft budget for heavily indebted national oil company Pemex and would help its debt obligations next year,…

    US dollar and bitcoin advance spurred by Trump tariff expectations

    By Chibuike Oguh and Harry Robertson NEW YORK/LONDON (Reuters) -The U.S. dollar rose to a 6-1/2-month high against major peers on Tuesday, while bitcoin pared gains after earlier hitting a…

    Leave a Reply

    Your email address will not be published. Required fields are marked *

    You Missed

    Economic Calendar for the Week 18.11.2024 – 24.11.2024

    • November 13, 2024
    Economic Calendar for the Week 18.11.2024 – 24.11.2024

    Mexico plans to set aside $6 billion for Pemex in draft budget, Bloomberg reports

    • November 12, 2024
    Mexico plans to set aside $6 billion for Pemex in draft budget, Bloomberg reports

    US dollar and bitcoin advance spurred by Trump tariff expectations

    • November 12, 2024
    US dollar and bitcoin advance spurred by Trump tariff expectations

    Gold prices stumble as strong Treasury yields, dollar bite

    • November 12, 2024
    Gold prices stumble as strong Treasury yields, dollar bite

    US oil industry urges Trump to ditch Biden climate policies

    • November 12, 2024
    US oil industry urges Trump to ditch Biden climate policies

    Oil prices hold near 2-week low after OPEC cuts demand view, dollar rises

    • November 12, 2024
    Oil prices hold near 2-week low after OPEC cuts demand view, dollar rises