The Agricultural Producers Association of Saskatchewan has submitted its official response to Transport Canada's public interest review relating to the proposed merger of Viterra and Bunge.
Transport Canada launched the review in the fall of 2023.
APAS President Ian Boxall says the acquisition raises some critical issues around the potential impact on the agriculture sector in Saskatchewan, especially as it relates to producer deliveries or any possible elevator closures as Viterra holds 27 per cent of the total capacity.
He points out that given Viterra’s significant presence in the province, careful consideration must be taken before any acquisition is approved by the federal government.
APAS wants to see a federal review of the acquisition with a view on the supply chain and market access; a careful look at market competition, access to ports, and risk of monopolistic behaviour; and the impact on grain collection and transportation to market.
They also recommend that regulatory mechanisms are needed such as interswitching and support for shortline rail operations, to counterbalance consolidation trends and support the viability of grain handling facilities.
Transport Canada's public interest review regarding the proposed merger of Viterra Ltd and Bunge is open until June 2, 2024.