CALGARY, ALBERTA, CANADA — Viterra Inc. and Canadian Pacific (CP) announced on Dec. 19 the signing of a new service improvement agreement to enhance supply chain efficiencies.
Viterra and CP will work together on supply chain management, such as sharing performance benchmarks and evaluating opportunities as they arise.
"Through our scheduled grain service, enhanced systems for car request management, new productivity tools, and customer service agreements, CP is further redefining its models for service reliability and operational efficiency," said Jane O'Hagan, CP's executive vice-president and chief marketing officer. "The results of this work are leading to increased carrying capacity for the railway to the mutual benefit of customers such as Viterra and the entire grain handling system."
"This agreement allows Viterra and CP to work together to ensure supply chain reliability and improve service for our grower and export customers. Viterra works closely with growers to market and handle their grain and provide timely delivery to domestic and international customers. Rail service reliability is a critical component, and with this agreement we believe that continuous supply chain improvements can be achieved," said Fran Malecha, Viterra's chief operating officer, grain. "Viterra and CP are committed to achieving further rail service efficiencies, which we believe will benefit all key stakeholders, making our sector even more vibrant."
Although confidential in nature, the agreement outlines the responsibilities of both parties regarding the movement of Viterra grain from origin to destination as well as dispute resolution provisions. Viterra is one of the largest bulk shippers on CP. Viterra benefits from an efficient network of train loading facilities across the Canadian Prairies and port terminals in Vancouver, Thunder Bay and Montreal.