Licence exemptions examined in grain sector consultation
By News release
Apr. 19, 2016 - Today, the Canadian Grain Commission began consultations on its proposals to license producer railway car loading facilities, agents and feed mills. These operations are currently exempted from licensing.
The Canadian Grain Commission is seeking input from producer railway car loading facilities, agents, feed mills, grain producers, producer groups, current licensees and industry stakeholders on its proposals.
Relevant information, including descriptions of the issues and full descriptions of the proposals, are available on the Canadian Grain Commission website. Information is also provided on the website on how stakeholders can comment on the proposals. Stakeholders have until June 3, 2016 to submit input.
- Licensing supports producer protection and the grain quality assurance system. The Canadian Grain Commission issues licences for primary, terminal and process elevators, as well as grain dealers.
- Producer railway car loading facilities, agents, and feed mills are currently exempted from licensing by annual Commission order or in the Canada Grain Regulations.
- A producer railway car loading facility is an operation where producers can load their own grain, or have that grain loaded on their behalf into railway cars allocated by the Canadian Grain Commission. These railway cars are forwarded by the railway to a terminal elevator, process elevator, or consignee of the producers' choice.
- Producer railway car loading facilities would be licensed as a new subclass of a primary elevator licence. These facilities would not have to post security with the Canadian Grain Commission.
- An agent is a company that acts on behalf of a licensed company.
- Agents who have elevator facilities would be licensed as either a primary elevator or a process elevator, depending on their business. They would be required to provide security as a condition of licensing.
- A feed mill is an operation where a process or a combination of processes is used to produce or manufacture feed for livestock or poultry consumption.
- It is proposed that feed mills purchasing more than 5,000 tonnes of grain annually would be licensed.
- Feed mills would be subject to some of the same requirements as process elevators. They would be required to provide security as a condition of licensing.
View the consultation document.