Future of P.E.I. grain exports in question with uncertainty around Port of Halifax elevator

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Future of P.E.I. grain exports in question with uncertainty around Port of Halifax elevator

PEIWith the future of the grain elevator at the Port of Halifax uncertain, some P.E.I. politicians are pushing for a port expansion in this province, while industry players are making contingency plans. That’s because an average of 30,000 metric tonnes of Island soybeans and wheat are shipped out of Halifax to overseas destinations most years. Liberal MLA asks if Island could play a larger role in shippingMarilee Devries · CBC News · Posted: Dec 02, 2025 5:00 AM EST | Last Updated: 5 hours agoListen to this articleEstimated 4 minutesThe audio version of this article is generated by text-to-speech, a technology based on artificial intelligence.Neil Campbell, general manager of the P.E.I. Grain Elevators Corporation, says backup plans are being made for Island grain exports while the future of the grain elevator at the Port of Halifax remains murky. (Wayne Thibodeau/CBC)With the future of the grain elevator at the Port of Halifax uncertain, some P.E.I. politicians are pushing for a port expansion in this province, while industry players are making contingency plans. That’s because an average of 30,000 metric tonnes of Island soybeans and wheat are shipped out of Halifax to overseas destinations most years.The Port of Halifax’s expansion plans are focused on cargo and cruise ships. Officials with the Halifax Grain Elevator at the port said the large storage facility could lose its export pier berth as a result — the lease expires in 2026, and it’s unknown if it will be renewed. That could leave many P.E.I. farmers in the lurch.“The grain elevator management and the board will have to take a hard look at our plans of where we’re going to ship to and how we can move product fast enough so that we don’t fill up and stop the farmers from harvesting,” said Neil Campbell, general manager of the P.E.I. Grain Elevators Corporation. “We’ll be making plans A, B and C to deal with whatever comes our way.”The grain elevator in Kensington is nearing the end of its lifespan. (Wayne Thibodeau/CBC)Campbell said the Island is already in need of more storage. Silos in Elmsdale, Kensington and Roseneath are at capacity, while the Kensington facility needs to be replaced.“It was built in [1969], it’s made out of wood. It’s starting to show its age,” Campbell said. “There is a limited… lifespan for wood, especially in our climate.” Could P.E.I. play a larger role?The issue came up in the P.E.I. Legislature last week, when Liberal MLA Robert Henderson floated the idea of the Island playing a larger role in the shipment of grain if using the Halifax elevator was no longer an option.”Do you see any opportunities for P.E.I. to expand storage and shipping capacity at Island ports, or even attract a flour milling operation to P.E.I.?” he asked the Agriculture Minister Bloyce Thompson during question period on Nov. 27.Liberal MLA Robert Henderson brought up concerns about the uncertain future of the Halifax Grain Elevator during question period in the P.E.I. Legislature last week. (Legislative Assembly of Prince Edward Island)Thompson voiced support for the idea. “Right now we have to cross three weigh scales on our way to Halifax, every truck has to be weighed three times. Imagine if we could have a port in, maybe Summerside, where we could have grain storage there that could load these ships so that they don’t have to go to Halifax,” he said.“I truly do support that. I do support that we have to continue to grow our grain elevators here.”Provincial officials said in a statement that early discussions are taking place, but that they’re taking a look at the capacity of existing ports on the Island.P.E.I. Agriculture Minister Bloyce Thompson says 85 per cent of the province’s grain crops are exported off-Island. (Tony Davis/CBC)In the legislature, Thompson said the fact that the Kensington grain elevator is nearing the end of its lifespan could present an opportunity. “Some year we’re going to have to take [the Kensington facility] down,” he said. “Maybe that’s an opportunity to look at a different avenue for storage, whether it be on a port or where it would be.”Shipping from other ports more costlyCampbell said the P.E.I. Grain Elevators Corporation is already looking at other options, including shipping out of Quebec City or Montreal. But he said that’s more costly.“You’d only get a couple of truckloads per truck per week… whereas you can get one a day going to Halifax and you can move a lot more product faster.”He said he’s hopeful that if the grain elevator facility’s lease doesn’t get renewed at the Port of Halifax, exports won’t be cut off “cold turkey.”WATCH | What’s happening with Halifax’s grain elevator?:What’s happening with Halifax’s grain elevator?The future of the grain elevator at the Port of Halifax remains murky as the port continues with an ambitious expansion aimed at growing its cargo and cruise ship businesses. Kim Batherson, general manager of Halifax Grain Elevator Limited, said her large storage facility that’s been in operation since 1924 risks losing its export pier berth to make way for an enlarged shipping container platform. Watch her interview with Amy Smith.Thompson told the legislature last week that officials in all three Maritime provinces have expressed concern about the potential impact of losing the Port of Halifax for grain shipments. “This is a big deal for P.E.I. as 85 per cent of our crops are exported off-Island. It’s a huge business,” he said. A decision on the future of the Halifax Grain Elevator — or at least on a possible extension — is expected in the next month or so.ABOUT THE AUTHORMarilee Devries is a journalist with CBC P.E.I. She has a journalism degree from Toronto Metropolitan University. She can be reached at marilee.devries@cbc.caWith files from Wayne Thibodeau

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