Farmers watch Viterra deal with Glencore
In Cupar, the Viterra grain terminal is a dominant presence in the town -- both physically and economically.
Tuesday’s sale of Viterra to Glencore has some farmers like Stan Weisbrod wondering how far he'll have to haul his grain.
"There'll be layoffs here and then us farmers here in Cupar will have to haul the grain farther," Weisbrod speculates.
Richardson International owns the Pioneer elevator only 20 kilometers down the road in Southey. The fear is that with Richardson already owning a number of Pioneer elevators near Cupar -- and gobbling up many more in Tuesday's deal -- that Cupar's elevator could close in favour of others.
Perry Hart is another farmer worried about the future.
“There’s no competition there anymore. They’ll just probably close this one and just use the one out of Southey,” he said.
Hart also wonders what will happen to the price these companies pay him for grain.
The answer to Hart and Weisbrod's questions won't come today.
Hart also worries that this proposed deal will be a win for people wearing the suits in the agriculture business, and not the producers on the ground.
Glencore says this sale will be a benefit to farmers. Under the proposed agreement, Glencore would keep the North American head office in Regina and several other assets would be split between two Canadian partners in the transaction -- Richardson and Agrium.
“The fact that we can access multiple consumers will be a benefit to the Canadian farmer and we have said that we are committed to Regina as a head office,” said director of agricultural products for Glencore, Chris Mahoney.
Edited by News Talk Radio's Karen Brownlee.