Exports of agricultural products likely to be affected due to strike by railway workers in Canada
22-Aug-2024 03:17 PM
Vancouver. The provisions of the earlier agreement between the railway workers' organization and the government in Canada have not been implemented.
The organization had given an ultimatum to the government to make this agreement effective by 12 midnight on August 21, 2024, saying that if it is not implemented, an indefinite strike will be started from August 22.
The Canadian government did not even try to give any assurance about it, let alone implementing the terms of the treaty within the stipulated time frame.
The important thing is that the possibility of strike in two major railway zones CN and CP has now increased.
This strike is happening at a time when the peak season of harvesting and preparation of spring crops is about to start in Canada.
As a result, exports of wheat, canola and pulses (lentils and peas) from Canada are likely to be badly affected. Canada's agriculture sector is mainly dependent on the export market and if there is any difficulty or hindrance in shipment,
farmers and exporters may suffer huge losses while it can also have a serious adverse effect on the national economy.
If importers do not get delivery on time, they may be attracted towards other countries. On the other hand,
if a huge stock of agricultural products accumulates in Canada, the prices may fall, which may cause huge economic loss to the farmers.
India mainly imports lentils and peas from Canada, due to which the arrival of new goods has already started there.
If exporters face difficulty in transporting goods from production centers to ports, then naturally there will be a delay in shipment.
In such a situation, India may have to increase the import of peas and lentils from countries like Russia and Australia.
This time the production of pulses in Canada is expected to be better than last year. The new crop is being harvested vigorously.
Huge exports of agricultural products from Canada take place from August to March. It remains to be seen how long the strike of railway workers continues.