MOOSE JAW — A Saskatoon-based agriculture company that plans to construct a nitrogen fertilizer production plant near Moose Jaw has joined forces with another ag business to diversify supply chains and reduce transportation expenses.
Agricultural producers on the Prairies will likely benefit from a collaboration between Genesis Fertilizers Limited Partnership (GF) and Arctic Gateway Group (AGG), which announced recently that they will focus on cutting fertilizer import and export costs, improve supply chain reliability and expand market reach.
The companies said they signed a letter of intent to establish a framework of co-operation to enhance business opportunities and facilitate the development of efficient logistical and supply chain issues. The letter also said that they intend to “seek mutually beneficial new import and export shipments in 2025 and beyond.”
Furthermore, Genesis Fertilizers and AGG said they will co-operate to find and import phosphate and ammonium sulphate supplies from international vendors to use as feedstock — current feedstock supplies come from the United States — for the products that GF plans to produce at its
Moreover, the two businesses plan to distribute such supply domestically through the Port of Churchill in Manitoba and GF’s planned SuperCentre distribution network across Western Canada.
“This new collaboration with AGG is a significant step forward for Genesis Fertilizers and is made possible by the substantial work AGG has done to strengthen the efficiency and reliability of the Hudson Bay Railway and grow the capabilities of the Port of Churchill,” said Jason Mann, president/CEO of Genesis Fertilizers.
“With AGG’s reliable port and rail infrastructure, along with the shorter route to world markets offered by Canada’s Arctic trade corridor, we can reduce transportation costs and improve supply chains for both domestic and international markets,” he continued.
“This initiative is further supported by Genesis Fertilizers' extensive network of global partners … who provide expertise in finance, engineering, and infrastructure to enhance operational efficiency and strategic growth.”
Chris Avery, CEO of AGG, said, “This collaboration with Genesis Fertilizers speaks to the value AGG can provide to Western Canada’s agricultural and resource industries, which we need more than ever given trade uncertainty with the United States.
“Working together, we can diversify Western Canadian trade routes via the shorter route AGG provides to world markets, and continue to step up and serve Canadian businesses and families with northern import and export optionality,” he added.
AGG said it aims to use Genesis Fertilizers’ transportation and storage abilities to expand its logistical capabilities and grow operations. Moreover, by collaborating on best practices for storage, shipping, distribution, and supply chain management, AGG aims to create operational efficiencies to benefit both organizations.
The companies said this collaboration will increase shipping and rail traffic, optimize the use of AGG’s rebuilt infrastructure, and enable them to establish a strong new relationship. Both companies also said they are committed to increasing jobs and training for Aboriginal and northern communities through increased economic activity.
Meanwhile, Genesis Fertilizers said it seeks to leverage AGG’s port and rail infrastructure to efficiently link its fertilizer products to important markets and reduce lead times and costs.
“By tapping into new and emerging markets that AGG’s network provides access to, Genesis Fertilizers aims to enhance the growth potential for the plant’s production,” GF said. “The collaboration with AGG will also foster timely delivery and optimized supply chains for fertilizer distribution to both domestic and international markets.”
This collaboration underscores the benefits of farm producers partnering with northern communities and First Nation groups to strengthen Canada’s agricultural resilience, the companies added. By fostering these relationships, producers can contribute to a more stable and sustainable food supply chain, ensuring long-term benefits for all Canadians.
