With Aïchata Koné and Jeremy Schneider
This highlight is based on the work produced by Aïchata Koné and Jeremy Schneider, in collaboration with IMAR, to study intermodality in grain transportation in Canada. Their findings are included in Chapter 5 of the 2024 État du transport maritime au Québec report, published jointly by IMAR and the Société de développement économique du Saint-Laurent.
Agriculture is a major contributor to the Canadian economy, with its production serving as key inputs in the broader food supply chain both domestically and abroad. In 2023, Canada’s agriculture industry generated $24.5 billion, or 1.1% of Canada’s GDP, and supported 114,800 jobs specifically in crop production1. The sale of principal field crops generated $40 billion in revenues, with exports accounting for $29.1 billion. Crop cultivation is concentrated in the Prairies, Southern Ontario, and Quebec. The visualization below shows the production trends of major grains and legumes by province between 2000 and 2023.
The relative importance of crops varies by region, with wheat and canola being the most important crops in the Prairies. In 2023, the Prairie provinces produced a combined total of 29.5 million metric tonnes (MMT) of wheat and 19 MMT of canola. Barley is an important crop in Alberta, producing 4.7 MMT, followed by Saskatchewan at 3.2 MMT. Saskatchewan also produced the most oats in 2023, with 1 MMT, followed by Alberta, Manitoba, and Quebec. Lentil production is also concentrated in Saskatchewan, with 1.6 MMT, while Alberta produced an additional 0.3 MMT. Corn is the most important crop in Ontario and Quebec, with 10 MMT and 3.3 MMT in production, respectively. Soybeans are the second most important crop, with production of 4 MMT and 1.3 MMT, respectively.
Grain elevators play a key role in the production, transformation, and transportation of grains. Licensees manage three different types of elevators based on their specific function. Primary elevators are located near farmland and serve as hubs for collecting and storing harvested grain. Processing elevators are used to prepare grains for further transformation, such as milling or production of other food products. Finally, terminal elevators are situated at key transportation hubs, such as railway stations and ports. Elevators located near ports are crucial for the export of grain to markets beyond the United States. Grains in Canada are primarily transported by rail, with trucks facilitating intermodality and certain exports to the U.S. The visualization below shows the provincial capacity of the three types of elevators, along with a breakdown of the railway network they are connected to.
Primary elevators are concentrated in the Prairies, with Saskatchewan leading, having more than 4 MMT of storage capacity. In all three Prairie provinces, the storage capacity connected to the Canadian Pacific Kansas City (CPKC) railway network exceeds that of Canadian National (CN). The Prairie provinces also lead in the storage capacity of processing elevators, with more installed capacity connected to the CN railway network in Alberta, Saskatchewan, Manitoba, and Ontario. Finally, terminal storage capacity is highest in Ontario, Quebec, and British Columbia, serving ports that export the produce to foreign markets. Again more capacity is connected to the CN network than to the CPKC network.
Transport Canada’s Pathways: Connecting Canada’s Transportation System to the World report states that over 94% of Canadian grain exported to foreign markets is transported by rail to ports and to final destinations in the U.S. and Mexico. This is because trains are a cost-effective means of transporting grain over the large distances between where it is farmed and where it is consumed or shipped. Since CPKC and CN control almost the entire rail network in Canada, examining the figures transported by these companies provides a clearer picture. The visualization below shows the movement of grains by CPKC and CN toward Western Canada, Eastern Canada, and the U.S.
In 2023, CN transported by far the largest amount of grain compared to CPKC. Over 21 MMT of grain were moved toward Western Canada, followed by 4.54 MMT toward Eastern Canada and 1.85 MMT toward the U.S. However, CPKC had a larger market share of grains shipped to the U.S., with 5.51 MMT. CPKC also transported marginally more grain to Eastern Canada, with 5.25 MMT.
The interactive map below shows Canada’s railway network by owner and the locations of the three types of elevators, color-coded based on their railway connections. The size of each grain elevator represents its storage capacity.
As a major global producer, a significant portion of Canada’s grain production is destined for export markets. In 2023, the average market price of wheat was $364 per metric tonne (MT) in Quebec, while prices in Manitoba, Saskatchewan, and Alberta averaged $391, $386, and $397 per MT, respectively. The average price of corn was $315 per MT in Quebec and $299 in Ontario. Canola prices averaged $779, $769, $779, $793, and $774 per MT in Quebec, Ontario, Manitoba, Saskatchewan, and Alberta, respectively2.
The interactive map below illustrates the intermodality in grain exports beyond the U.S., highlighting the connection between rail and ports. The red lines represent the flow of grain from producing Prairie provinces to ports by rail, while the blue lines indicate grain exports from ports to foreign markets. The width of each line represents the volume of grain transported in tonnes. Clicking on a line reveals the value of grain moved and exported.
The largest province-to-port grain flow is from Saskatchewan to the Port of Vancouver, with 16 MMT of grain worth $7.8 billion transported in 2023. Similarly, the largest port-to-market flow beyond the U.S. was through the Port of Vancouver, which exported 28 MMT of grain valued at $14.4 billion. Eastern ports also serve as key gateways for exports, with the Port of Montreal and the Port of Quebec handling 4 MMT and 3.4 MMT of grain, respectively. The Port of Thunder Bay is another significant hub, facilitating the shipment of 1.4 MMT of grain.
To conclude, Canada’s grain supply chain relies on an extensive rail network and intermodal connections to efficiently transport crops from farms to domestic and international markets. The dominance of CN and CPKC in grain transportation underscores the critical role of rail infrastructure in linking primary elevators, processing facilities, and export terminals. Amid ongoing trade tensions with the U.S. and rising global demand for Canadian grain, the role of Western and Eastern ports will be increasingly vital. Optimizing logistical connections between the railway network and ports will be essential for maintaining competitiveness and ensuring seamless trade flows.
References
1. Agriculture and Agri-Food Canada (2024)
2. Statistics Canada (2025)