Transport Canada reviewing Bunge’s proposed Viterra acquisition

Sep 28, 2023

Transport Canada has until June 2, 2024 to complete its assessment

By Diego Flammini
Staff Writer
Farms.com

Canada’s transport ministry will review Bunge’s proposed acquisition of Viterra.

Transport Minister Pablo Rodriguez announced the review of the US$8.2 billion deal on Sept. 26, highlighting that each company hold ownership in port terminals in Canada.

Bunge is involved with G3 while Viterra owns the Cascadia and Pacific Terminals at the Port of Vancouver, one in Thunder Bay, Ont., and one in Montreal.

“Healthy competition in the transportation sector is necessary to ensure fair pricing and access for users, especially Canadian farmers,” the minister said in a statement.

Under guidelines related to this part of federal transportation law, factors “may be considered to determine whether a proposed transaction raises issues with respect to the public interest as it relates to national transportation,” the Canada Transportation Act says.

This potential deal meets the criteria, the minister says.

“Given this transaction is of significant national interest in Canada’s transport sector and the broader supply chain, it will be reviewed under the mergers and acquisitions provisions of the Canada Transportation Act,” he said in the statement. “Goods must continue to move smoothly, and our supply chain must continue to grow stronger.”

The Transport Canada review will include reps from Canada’s ports and marine industry, stakeholders, other government departments and the public.

The review process can take up to 250 days, until June 2, 2024.

This is the second federal government review of the Bunge/Viterra deal.

In June, the Competition Bureau announced it would also review the agribusiness deal.

“The Bureau has a mandate to review mergers to determine whether they are likely to result in a substantial lessening or prevention of competition,” Jayme Albert, a spokesperson with the bureau, told the Canadian Press. “Should we determine that the proposed transaction is like to harm competition, we will take appropriate action.”

Farms.com has contacted Bunge for comment.

Video: Canada's Agriculture Day 2025

Let's celebrate Canadian agriculture.

Well, number one, you don't eat without farmers. Farmers put food on the table. And what could be more important than that?

Well, I think it's important that Canadians understand exactly what takes place, what happens to produce this food, no matter what sector you're talking about.

An awful lot of work goes into that. It's important to understand that meat does not come out of a showcase, and milk does not come out of a bottle. It's produced by farmers and hard work.

Canada has the best farmers in the world. And agriculture is vital to Canada.

In 2024, our agriculture and agri-food sector represented $150 billion of Canada's GDP, nearly $100 billion of our exports, and one in nine jobs.

From grains to fruits to dairy and beef, we are truly blessed with an incredible bounty. Having spent my whole life in agriculture, I see so much potential for the sector.

This time last year, I was proud to open our first-ever agriculture and trade office in the Indo-Pacific, the world’s fastest-growing economy, to cement our presence in the region and grow our exports even more. We've also been making historic investments to help our farmers to boost their yields, protect the planet, and earn a fair living.

The world wants more top-quality, sustainable food, and I know our Canadian farmers can deliver. And it's so important that you do that with pride. We need you.

Quite simply, you eat the most top quality food in the world. You do that because of the quality of farmers and ranchers you have in this country.

Just say thank you to a farmer or a rancher. They work very hard, yes, for a living, but also with a sense of pride in what they produce.

That's what Canada's Agriculture Day is all about.