Competition Bureau Canada

Competition Bureau Canada
Industry Canada

Industry Canada

November 10, 2005 18:22 ET

Competition Bureau Challenges Proposed Grain Handling Joint Venture

OTTAWA, ONTARIO--(CCNMatthews - Nov. 10, 2005) - The Competition Bureau today filed an application before the Competition Tribunal challenging a grain handling joint venture between the Saskatchewan Wheat Pool ("SWP") and James Richardson International Limited ("JRI") at the Port of Vancouver. The Bureau believes the proposed joint venture would remove a competitive alternative from the industry and result in a less competitive market for grain handling services at Canadian West Coast ports.

"This challenge is aimed at ensuring that this transaction does not result in a reduction of competitive options for farmers, through the Canadian Wheat Board, and independent grain companies," said Gaston Jorre, Senior Deputy Commissioner of Competition.

On April 6, 2005, SWP and JRI announced a deal to jointly operate their two port terminals in Vancouver and market grain handling services to third party grain companies. Following a thorough review of the proposal, the Bureau determined that the increased concentration in the ownership of port grain terminals at Vancouver would likely result in a substantial lessening of competition.

The Commissioner has also filed for an interim order to ensure that SWP and JRI continue marketing their grain handling services at the Port of Vancouver independently, until the Competition Tribunal issues a final decision on the Bureau's challenge.

The Competition Bureau is an independent law enforcement agency that promotes and maintains fair competition so that all Canadians can benefit from competitive prices, product choice and quality services. It oversees the application of the Competition Act, the Consumer Packaging and Labelling Act, the Textile Labelling Act and the Precious Metals Marking Act.

Contact Information

  • Competition Bureau
    Communications Branch
    Eric Glaude, Communications Advisor
    (819) 953-9760
    or
    Competition Bureau
    Information Centre
    (819) 997-4282 or 1-800-348-5358