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

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.”

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.” 

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.

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.”