World's top fertiliser producer cuts output on 12th day of Canada port strike

economictimes.indiatimes.com:

fertiliser producer Nutrien Ltd cut production on Tuesday, citing the impact of a 12-day-old strike in Canada's Pacific ports whose cost has now ballooned to an estimated C$6 billion ($4.5 billion). Some 7,500 dock workers represented by the International Longshore and Warehouse Union (ILWU) walked off on July 1 after failing to agree a new wage deal with the British Columbia Maritime Employers Association (BCMEA).

The union says the BCMEA is refusing to give a fair pay rise despite making billions of dollars in profits in recent years. The strike has upended operations at two of Canada's three busiest ports, the Port of Vancouver and Port of Prince Rupert — key gateways for exporting the country's natural resources and commodities and bringing in raw materials.

Nutrien blamed the work stoppage at the Port of Vancouver for lowering export capacity at its Cory potash mine in Saskatchewan and warned of further hits to production if the strike is prolonged. The strike could cause more supply-chain disruptions and fuel inflation, economists have warned, just as the central bank is trying to cool the economy.

The Bank of Canada is widely expected to raise its key interest rate on Wednesday by 25 basis points to 5%. The estimated cost from the 12-day strike is pegged at about C$6 billion, based on industry body Canadian Manufacturers & Exporters calculation of about C$500 million in disrupted trade every day.

The two parties met in person for the first time in more than a week on Monday night, a government source not authorised to speak on the record said. They were joined by Senator Hassan Yussuf, a former president of the Canadian Labour Congress who helped negotiate an end to the largest public sector strike ever in April