Monday, August 11, 2014
Labor conflict at United Grain endangers Montana’s $1B wheat crop
A severe shipping bottleneck created by a labor dispute at the United Grain terminal in Vancouver, Washington, is threatening Montana’s $1 billion wheat crop as harvest begins.
Inspections are required before grain can be shipped abroad. Grain inspectors fearful to cross union picket lines at the Port of Vancouver have stopped carrying out inspection and weighing services at the United Grain terminal, effectively shutting down the grain export facilities there.
United Grain is a major buyer of Montana grain, with million-bushel-capacity elevators in Conrad, Culbertson, Moccasin and Pompeys Pillar. Wheat producers are concerned the grain inspection debacle will result in smaller profits for Montana farmers.
"One of our major export terminals is effectively shut down," said Lola Raska, Montana Grain Growers Association executive vice president. "That company has invested heavily in Montana. They’ve constructed five terminals; four of them are in Montana. They have really committed to sourcing Montana grain."
Federal law requires the U.S. grain inspectors to take over when services aren’t being provided, and the USDA said it is considering the matter.
For Montana, which exports roughly 80 percent of its wheat — mostly through Pacific Northwest ports — the lack of inspection at United Grain could be calamitous.
Last week, U.S. Rep. Steve Daines, R-Mont, wrote Agriculture Secretary Tom Vilsack asking for federal intervention. At the least, the grain stoppage casts doubt about Montana’s ability to reliably deliver wheat to the Asian Pacific, he said.
For more of the Billings Gazette story: billingsgazette.com
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