It's a pretty big deal. Since we posted "Agriculture: And Now, A Potential Strike At Canadian Pacific" six days ago, Intrepid Potash jumped from $57 to $77 (after reporting higher revs, earnings miss, on March 7th):
The bigger Potash producers, Nutrien and Mosaic, are up as well though not as dramatically.
And from Mary Kennedy's Cash Market Moves at DTN Progressive Farmer:
Shortly after midnight on March 20, the Teamsters Canada Rail Conference (TCRC) announced the Canadian Pacific Railway locked the union workers out.
Early March 19, the Canadian Pacific (CP) informed customers that, while it would continue to bargain in good faith with the Teamsters Canada Rail Conference (TCRC) leadership "to achieve a negotiated settlement or enter binding arbitration," the railroad was commencing to execute a safe and structured shutdown of its train operations for traffic moving in and through Canada. This was done in case the negotiations failed.
Under the shutdown, an embargo application for shipments routing to and from CP Canadian locations is now in place to be effective 00:01 Sunday March 20, 2022. This embargo applies to:
- All shipments originating in Canada which are billed to any Canadian or U.S. destinations;
- All shipments originating in the United States which are billed to any Canadian destinations.
In addition, the embargo can be rescinded at any time.
The TCRC reported, "Despite the best efforts of the TCRC Negotiating Committee, a lockout would occur at CP." A lockout is a work stoppage initiated by company management during a labor dispute. Unlike a strike, in which employees refuse to work, a lockout is initiated by the employer, noted the news release from TCRC.
Shortly before the lockout was announced, the TCRC said they expressed the desire to continue bargaining. "Unfortunately, the employer chose to put the Canadian supply chain and tens of thousands of jobs at risk. As Canadians grapple with a never-ending pandemic, exploding commodity prices and the war in Ukraine, the rail carrier is adding an unnecessary layer of insecurity, especially for those who depend on the rail network," noted the news release....
....MUCH MORE
The honking trucks, so much honking, are back to work and will get a small amount of fert across the border but this is bulk stuff that is best moved by rail, barge, and bulk shipping.
Earlier:Logistics: Canadian Pacific Railway Shuts Down Ahead Of Strike
