Milestone shipments of grain to the Port of Churchill expected for the first time in six years

The closed rail line and Port of Churchill in Churchill, Man., Tuesday, July 3, 2018. THE CANADIAN PRESS/John Woods

A major milestone will be marked on Friday as grain shipments will start heading north to the Port of Churchill.

Grain is expected to be shipped on the Hudson Bay Railway, ending at the port to be exported later this summer around the world, marking the first time since 2020 that grain has gone through the northern corridor.

“It’s a strong signal of the progress made to restore and rebuild this corridor, and of the opportunity ahead as we continue growing the business with a diversified mix of exports,” said Churchill Mayor Mike Spence, who is also the chair of the Arctic Gateway Group.

“In addition to grain, we will also this year export critical minerals and potash, as well as industrial goods, supplies and equipment to Nunavut – representing the most diversified mix of annual exports in the Port of Churchill’s history.”

Arctic Gateway is the owner and operator of the port. Its president and CEO Chris Avery said they have been working to bring the port back to its former glory and improve it.

Interest has also been growing in the port in recent years as Canada works to diversify its trading partners worldwide following trade tensions with the United States.

“It was built as a strategic asset to Canada back when grain and agricultural products were our primary export, and now, looking forward to today, once again, the Port of Churchill is a strategic asset for Canada to meet our national goals,” said Avery.

Avery said he expects the grain to be shipped out in late August or early September and they are expecting “several” vessels to come for grain.

Not only is this shipment being hailed as good news for the port, but as a good news story for the entire province.

“This is absolutely great news for Manitoba. We have a lot of grain farmers in the province. It’s one of our major agricultural commodities that we produce and being able to diversify our trade routes away from our traditional partners towards other partners is incredible,” said Shiu-Yik Au, an associate professor in the accounting and finance department at the University of Manitoba.

She added this will help create jobs in Churchill and throughout the province.

This will also act as a litmus test for the port to show it can handle a variety of materials get to the global market.

“There’s a huge political push to build pipelines and other things to move energy products to markets outside of Canada, and by showing that we do it at the Port of Churchill, there’s a potential for tremendous growth for Manitoba,” said Au.

The port has been a major focal point for the federal government as of late, as earlier this year, it announced it was considering an expansion of the port, turning it into a year-round, multi-commodity trade hub.

Arctic Gateway has also signed agreements with other international ports in an effort to expand exports of Canadian products.

“The prime minister says Canada has what the world needs, and that’s true,” said Avery. “But what the world needs doesn’t work if we can’t get it to them. So having trade enabling infrastructure like the Port of Churchill is critical.”

Avery said they are in constant communication with the federal government to secure more money that would go toward building up the port and pushing trade through the corridor to the next level.

In an emailed statement to CTV News, Jamie Moses, the minister of Business, Mining, Trade and Job Creation, said the grain shipments are good news.

“We appreciate the work of the Arctic Gateway Group and our partners for their continued commitment to ensuring the success of the Port of Churchill. We know this is a valuable opportunity for sending prairie grain and other vital Manitoba exports to foreign markets.”