Services and fees of the CGC

Producer Cars

Producer Car Officer
Inquiries: 1-800-853-6705

• Summary of rules
• Important facts
• Producer checklist for shipping a producer car
• Application for producer to obtain railway cars, PDF
• Producer car order for crop year 2006-2007
• Railway car fumigation
• Additional information about producer cars
• Related information about producer cars

Summary of major producer car rules for the 2006-2007 crop year

1. The Canadian Grain Commission will be accepting producer car applications:

   a) August 8, 2006 for all grains,

   b) a non-refundable fee of $20 per car (no GST) payable to the Receiver General for Canada is required

2. Each application must be a distinct order - a single grade of grain for a particular station and destination. Please include the following when applying for producer cars:

   a) for CPS wheat, please indicate whether it is red or white to avoid confusion

   b) if using seed purchase over delivery privileges, please attach a copy of the Seed Purchase Declaration at time of application for ease of processing

   c) if loading at a lease site, please indicate the name of lease, e.g. LEASE - PKIML

   d) if applying for cars in advance of CWB quota, please indicate the contract series and tonnage contracted

3. Prior to the cars being authorized, the following changes are allowed:

   a) change the week requested, i.e. postpone the order to a later week

   b) change the station and precise siding

   c) change the destination of non-Board grains

   d) change the administrator with proper company approval

   e) reduce but not increase the number of cars applied for

4. The allocation rules in this crop year:

   a) for non-Board grains (wheat, oats, barley, rye, flaxseed and canola ), the allocation will be in the order received based on 10% of the weekly movement

   b) for CWB grains, the allocation will be in the order received based on the CWB grain and grade program

   (Note: For the CWB high fusarium program, please remember to mark the I-90 with a large "T")

5. The back-log rule for non-Board cars is two cars per CWB producer for all grains destined to terminal positions.
6. Producers who fail to load their cars when spotted and pulled empty by the railways will have their orders cancelled and may have to re-apply depending upon circumstances.
7. Producers who ship either infested cars or the wrong grades (this includes damp grain or grain with excreta) will have their loading privileges restricted until such time that they can demonstrate that either the grain is free of infestation or meets the required grade.
8. Other services provided by the Producer Car Unit include:

   a) receive initial program and final loading instructions by fax

   b) extended after hours contact through use of voice mail and fax

   c) payment option using credit cards - Visa or MasterCard

9. Producers must now fill out one Declaration of Eligible Variety form per administrator each crop year

Important Facts

1. Producer cars must be loaded directly by the authorized producer(s) with the correct grain and grade per Section 68(2) of the Canada Grain Regulations. Failure to load the cars correctly when spotted may result in a suspension of privileges and could be subject to legal action. Loading through a licensed grain elevator is prohibited.
2. The same Canadian Wheat Board delivery calls and termination dates apply to grain shipped in producer cars as to grain delivered to the primary elevator system, with the authorization based on the average at that station and or train run. Upon request, the CWB may grant extensions to terminated delivery.
3. Up to five producers may load grain into a producer car. One of these must be designated as the principal producer and must act as the administrator for documentation and correspondence.
4. Your producer car may be scheduled for the week requested, provided that your application is received at least 2 weeks prior to that week and provided that certain conditions can be met in the week requested. Otherwise, your car will be scheduled in the first week thereafter in which the required conditions are met. There is no guarantee that the car(s) will be allocated before the end of the crop year. All applications not authorized before the end of the crop year are automatically cancelled and will not be carried forward into the new crop year.

   The conditions for allocation are as follows:

   a) For Canadian Wheat Board Grain:

   Your application will be authorized if it conforms to the Canadian Wheat Board grain and grade pattern in your zone.

   b) For Other Grains:

   All non-Board producer cars that are destined to terminal positions are allocated in the order of their receipt, and according to a percentage (set by the Canadian Grain Commission) of the total movement by grain and destination. Cars destined to non-terminal destinations will be allocated with no percentage restrictions if the producers can demonstrate that their grain is committed to an export sale or to a sale for domestic consumption. (Note: The responsibility of marketing non-Board grains rests with the producer).

   The shipment of your grain must conform to the railway directional shipping restrictions which may be placed on your train run from time to time.

   If a backlog on the number of cars of a particular grain to be shipped to a terminal exists, a producer may not be able to ship more than two cars at a time for non-Board wheat and barley, oats, rye, flaxseed and canola until all other producers have received their first order.

   If at any time you do not require your car(s), please notify the Canadian Grain Commission at once to either cancel or postpone your applications before they are scheduled.

5. If any insect infestation is discovered in a car, producers will be restricted from shipping further cars until they submit a sample(s) to the Canadian Grain Commission to demonstrate that their grain is free from infestation. Please be aware that if infested grain is commingled with other grain, the industry policy is that the shipper could be accountable for the total costs of fumigation.
6. a) Producer cars of damp grain, off-grades (includes grain with Excreta) or grains likely to go out of condition will only be authorized if a terminal has agreed to unload the grain. Such cars must be billed to the agreed terminal and documented on the I-90 Tag and the bill of lading as "do not pool". Failure to properly identify such grains and obtain such agreement could result in the return of the grain to the producer at full cost.

   b) Producers who misship grains or grades (the unload does not match that requested on the application) may experience delays in the allocation of subsequent cars plus incur additional charges at the terminal, e.g. storage charges, demurrage.

Producer checklist for shipping a producer car

1. Applying for the car

   For producer cars that will be totally administered on your behalf by a company, complete and forward the application form (Application for Producer To Obtain Railway Cars, Adobe PDF format) to either the head office of the administrating company who will in turn send it to the Canadian Grain Commission for processing or you can send it directly to the Canadian Grain Commission. For self-administered CWB grains, send the application to either the head office of the company acting as consignee (which must also be an agent of the Canadian Wheat Board) or directly to the Canadian Grain Commission with the company copy attached. If you are self-administering cars of non-Board grains, send the application directly to the Canadian Grain Commission.

   For all applications, a $20 (twenty dollar - no GST) per car non-refundable fee must accompany each application, with the cheque from the applicant made payable to the Receiver General for Canada. Any applications received without this fee will not be processed and may be returned. If the cheque is found to be NSF, the application will be rejected and will only be processed once the replacement fee is received plus an additional $15 service charge. (Note: For ease of processing, please only remit one cheque where possible).

   Producers wishing to send their applications via fax and pay by credit cards (Visa or MasterCard) can do so provided they:

   - fax the application to the Producer Car Unit (204-984-4079) and notify their administrator
   - provide the credit card number, name of the card holder, and the expiration date

   A record of the credit card transaction will be attached to the acknowledgement letter.

2. Loading the car

   You will be contacted before the car is allocated, either by phone or fax to make sure that the car can be loaded in a given week. Once the order is finalized, a letter and/or fax will be sent from the Canadian Grain Commission containing the loading instructions. The railway or the administering company of the car should phone you to inform you which day the car is to be spotted and loaded. If the car is not spotted in the week scheduled, you should contact either your administrator or the railway directly.

   You must observe the load limit stenciled on the car. If you are located on a branch line with a track capacity of 177,000 or 220,000 pounds, you must ensure that the track limit is not exceeded when loading hopper cars. To determine the load limit of hopper cars on branch lines, the tare weight of the car must be subtracted from the track capacity. It is the responsibility of the producer to monitor gross loading weights. Overloaded or unevenly loaded cars will be switched out and unloaded, and the producer will be subject to all costs imposed by the railway. Producers should also be aware that it is their responsibility to load cars evenly, that is, to load equal amounts of grain in each compartment of the car. Producers could be liable to all damages resulting from any unevenly loaded or overloaded car that causes a derailment or some other mishap.

   You must ensure that if the car is left unattended that no obstructions, such as ladders or augers which could interfere with car switching, are left attached to the car.

   The car must be loaded by the time the railway returns to pick it up, which will be at least eight hours after the time the car is spotted. Cars which are not loaded on time and are pulled empty by the railway will be cancelled by the Canadian Grain Commission. Depending upon the circumstances, another application and fee may be required before car(s) will be spotted again.

3. Completing the shipping documents

   All orders must be released electronically, either by yourself or by your administrator. You will need both the authorization number supplied by the Canadian Grain Commission as well as the railway Order Reference Number. Both can be obtained from either the Producer Car Unit or from your administrator once the car is authorized for loading. Note: This information is contained on all loading instructions faxed by the Producer Car Unit.

   For shipment to terminal elevators, a Canadian Grain Commission shipping tag (Form I -90) must be completed correctly. You will receive an I -90 tag in the mail along with your authorization letter or from your administering company. When completed, the tag should be stapled to the notice board on the car (be sure to remove all old tags from both sides of the car as well as any placards or tape over the vents).

   In the space on the shipping tag (Form I -90) titled "Shipper" you must enter the name of the company to which the grain is consigned as well as your own name, even for self-administered CWB cars. Failure to do so could delay the issuance of official grade and weight documents and the subsequent settlement for your grain.

   When the car is loaded, notify your administrator and either you or your administrator must release the car to the railway.

   If you are self-administering your car, you may be required to have pre-arranged credit with the railway.

4. Entries in Permit Books

   Caution: This information is prepared for convenience of reference only. The specific provisions of the Canadian Wheat Board Act and its Regulations and Orders apply.

   Notwithstanding anything in the Canada Grain Act and delivered for Canadian Wheat Board account must be entered in the producer's delivery permit book in the following manner:

   A) Under the Canadian Wheat Board Act, when a producer delivers wheat or barley to a railway car and the producer has arranged or is arranging with another person for delivery and sale of the grain and for payment, the producer shall send the permit book to that other person before making any other delivery of grain to an elevator or a railway car and that other person shall:
   1) as soon as the car is loaded, truly and correctly record and enter and initial a preliminary entry in the delivery permit under which the grain is delivered on the correct page for recording delivery of that kind of grain, showing:
   (i) the call designation under which the grain has been delivered;
   (ii) the date on which the delivery to each railway car is completed, in the "Date" column;
   (iii) the gross weight in tonnes of the capacity of each railway car, in the "Net Tonnes Delivered" column;
   (iv) the car initials and serial number as they appear on the railway car, in the "Comments" column.
   2) Immediately upon learning of the net weight in tonnes, after dockage, of the grain delivered to each railway car and before making any payment to the producer in respect of that grain, will refer to the original entry, will cancel the original entry and on the next available line, initial and complete the delivery information showing:
   (i) the call designation under which the grain has been delivered;
   (ii) the date on which the unloading of each railway car is completed, in the "Date" column;
   (iii) the net weight in tonnes, after dockage, in the "Net Tonnes Delivered" column;
   (iv) the total deliveries under that column.

   B) Under the Canadian Wheat Board Act, where a producer is delivering wheat or barley to a railway car or cars and the producer is arranging for delivery and sale and for payment, as soon as the car is loaded, the producer is required to make the entries referred to in: (A.1) and (A. 2) above.

   C) If more than one producer participates in the loading of a producer car, the following will apply:
   When delivering wheat or barley to a producer car, each individual producer or principal producer or agent acting on their behalf must, when the producer car is loaded, make a preliminary entry in the producer's delivery permit on the correct page for the kind of grain delivered. Refer to: (A.1) (i),(ii), (iii) and (iv) above for the information, which must be entered. This entry must represent the gross tonnes the producer contributed to the loading of the car. The total of the gross tonne entries of all producers contributing to the loading of the car must equal the maximum capacity of the producer car.

5. Reporting of car numbers

   Report the car load information as soon as possible to your administering company and to the Canadian Grain Commission if a shipping report is included. This information is required for your protection in case any mishaps occur.

6. Unloading of grain

   Upon unload, you should receive a grain receipt from either the administering company, the company holding the terminal elevator receipt or the receiving elevator acknowledging that you have delivered grain. This will help you trace grain and, if necessary, enable you to make a claim against the security provided under the Canada Grain Act.

7. Settlement for the grain and the charges incurred

   If you are shipping to a terminal elevator, mill or other processor, you will be paid on the basis of the unload grade and net weight of the grain. The company you are dealing with will usually pay the freight, the cleaning charges and weighing and inspection fees on your behalf and deduct these as well as its administration fee from its final payment to you.

   For self-administered CWB grains, the settlement will be the same as above except that the producer is responsible for the full railway freight. If the destination designated by the CWB is not to the closest port, the freight difference will be reimbursed from the CWB agent.

8. Reinspections

   In the event that you are not satisfied with the grade and/or dockage assigned by the Canadian Grain Commission's inspector, you may request a reinspection. Requests may be made through your administrator or in writing to the following address:

   Chief Grain Inspector
   Canadian Grain Commission
   900-303 Main Street
   Winnipeg MB  R3C 3G8

   Reinspection privileges are extended for 15 days following the unload date reported on the Inspection Certificate returned to you. Unload information can also be obtained by contacting the Producer Car Unit.

   Requests for reinspection must be received by the Industry Services Division within the 15 day time period. Late requests cannot be honoured as the sample will have been destroyed. Recognizing delays in mail delivery, we will accept telephone calls as a primary request for reinspection. However, a written request to the above address should follow. To ensure proper documentation and handling of your reinspection, one of the following two telephone numbers should be called during regular working hours.

   Reinspection Clerk - (204) 983-2782

   It will be most helpful to have the following information included in your written request and available when making telephone requests:

   1. Car Number
   2. Unload Date
   3. Unload Elevator

9. Settling a dispute

   If you have a dispute with the railway, the elevator receiving your grain, or the purchaser of your grain, you are primarily responsible for settling the dispute. However, if you are having trouble obtaining settlement for your grain from a licensee of the Commission, please contact the Assistant Commissioner responsible for your area:

   Alberta
   Ms Liliane Maisonneuve
   Telephone: (780) 495-8675
   Cell: (780) 717-4421

   Saskatchewan and Manitoba
   Ms. Donna Welke
   Telephone: 306-780-5035
   Cell: 306-537-8793

Railway car fumigation

• Railway Car Fumigation Declaration. Order of the Canadian Grain Commission.
• Canadian National Railway Company - Tariffs
  • Refer to:
    Tariff CN 6060-N - Extended Asset Use Charges and other Rules, Regulations and Charges on Grain Originating at Points in Western Canada Destined to an Unloading Facility at Ports in British Columbia, Thunder Bay, ON, Montreal, QC and Quebec City, QC. Item 1000 {A} - Fumigation of Grain in Railcars - Prohibited in Canada
• Canadian Pacific Railway - Tariffs and bulletins
  • Refer to:
    Tariff CPRS 4445 - Grain and Grain Products within Canada and Canada to the United States - Item 00160 - Use of Phostoxin in Railway Cars
    Tariff CPRS 4310 - Grain or Crops, Growth in the Western Division  - Item 00110 - Phostoxin in Railway Cars
• Western Grain Elevator Association
  • Policy for Phostoxin Application in Railcars and Handling of Cars with Evidence of Previous Fumigation (Word format)
    Provided with the permission of the Western Grain Elevator Association.

Additional information about producer cars

1. Additional information about producer cars may be obtained from companies who provide administrative services or from:

   Producer Cars
   Canadian Grain Commission
   601 - 303 Main Street
   Winnipeg MB  R3C 3G8

   Telephone: Producer Car Officer (204) 983-3368
   Telephone: Assistant Producer Car Officer (204) 984-2079
   Fax: (204) 984-4079
   Email: prdcar@grainscanada.gc.ca

2. Other Canadian Grain Commission telephone numbers:

   CGC Inquiry Line: 1-800-853-6705
   CGC Grain Weight Dispute Mechanism: 1-800-342-7971

3. Additional information from the Canadian Wheat Board can be obtained from:

   CWB Transportation and Country Operations:
   1-800-275-4292

4. Additional information from the railways can be obtained from:

   CNR - Customer Service Centre:
   Grain operations: 1-877-208-5019
   Web site: www.cn.ca/grain

   CPR - Customer Service Centre:
   Car releasing/manual bills of lading: 1-204-947-8140
   Grain operations: 1-800-704-4000
   Fax: 1-800-704-3000

5. For additional information regarding disputes with the railway, you can either contact the Producer Car Unit directly, or:

   The Secretary
   Canadian Transportation Agency of Canada
   19th Floor, 15 Eddy Street
   Hull QC  K1A 0N9
   Telephone: 1-819-997-1081

Related information about producer cars

• Producer Car Loading Facilities - Questions and answers
• Facts for Farmers, The CGC and Producer Cars
• Producer Car Loading Facilities Exempted from Licensing