Churchill port agreement to improve global market access

A remote port in Manitoba could play a crucial role as the Canada-U.S. trade war rages on. CTV’s Alex Karpa has more.

The Port of Churchill, nestled along the shores of Hudson Bay in northern Manitoba, has become an important piece of the puzzle as the Canada-U.S. trade war rages on.

Expanding operations in Churchill has taken on new urgency and has been part of the national discussion over the last few months.

“We’re building trade-enabling infrastructure for the future,” said Chris Avery, president and CEO of Arctic Gateway Group, which owns and operates the Port of Churchill.

The port is currently Canada’s only Arctic seaport serviced by rail, offering access to Europe and destinations around the world.

“Building this trade-enabling infrastructure will further enable the vast resources we have in Western Canada (to reach) global markets,” said Avery.

The Port of Churchill has a brief operating window each summer —about four and a half months — due to ice in Hudson Bay.

However, Avery says a University of Manitoba study shows the port could remain open longer due to climate change.

“Given their study and given the data they’ve collected for the past 40 years, the sea lanes can probably be open right now, without icebreaker, up to six months of the year,” he said. “Beyond that - icebreakers can help us lengthen the shipping season to almost year-round.”

Last week, Manitoba Premier Wab Kinew and Saskatchewan Premier Scott Moe signed an agreement with Arctic Gateway Group to upgrade infrastructure and modernize supply chains. Saskatchewan will connect producers and exporters to the Arctic trade corridor, and Arctic Gateway Group will be expanding investment in port and rail assets.

Kinew said the deal between the two Prairie provinces is a positive step.

“It’s really exciting for Manitoba,” he said. “It helps us to unlock mining in the North, and more agricultural exports in the South.”

In recent years, the federal and provincial governments have invested millions of dollars in both the rail line and the Port in Churchill to build up a proper trade route through the Arctic.

In March, Ottawa and the Manitoba government committed nearly $80 million to finish work on the Hudson Bay Railway and continue redevelopment of the Port of Churchill. Premier Kinew at the time said the project would help with long-term economic security.

“The memorandum of understanding is a good reinforcement of what we have been thinking for some time,” said Barry Prentice, a professor of supply chain management at the University of Manitoba.

The Port of Churchill has mainly been used for grain shipments in the past but began shipping critical minerals in 2024.

Prentice says there is a lot of economic opportunity, not just for Manitoba, but also for Saskatchewan and Alberta to move products through the Hudson Bay.

“You want to move bulk products, especially those that are somewhat storable, and potash fits in that category, minerals, petrochemicals, and lumber too, because they do produce forest products as well,” he said. “There are lots of things we can move through the port, in addition to grain.”

Avery echoed Prentice’s statement.

“We expect to have more products that originate from Saskatchewan, come through the Port of Churchill and be exported to global markets as well,” he said. “So, we’ll see that volume grow as we work together and build that traffic, and we’ll see the volumes grow, and we’ll see different types of commodities go through the port.”

All the talk about breathing new life into the Artic comes as welcome news for those living in the North.

“It goes to show how much potential our area on Hudson Bay has for shipping, for contributing to Canada’s GDP as a whole,” said Joe Stover, a longtime Churchill resident. “It’s good for the country, because it’s obviously another outlet for being able to ship — and helps with some of these bottlenecks that you see logistically across the country.”

Stover worked at the port for 10 years. While he’s happy to see investment and renewed interest in revitalizing the port, he hopes words turn into action.

“Let’s just hope that the pressure stays on and things actually get done,” he said. “We hear lots, in the past — ‘Oh, Churchill, it would be great if we could do this. Churchill, Churchill, Churchill. Potential, potential, potential.’ Let’s just really hope that now this is a dollars-to-donuts, boots-on-the-ground, actual work going to get done.”

As for Avery, he said results will start to show in the short term — but the real focus is on building the future.

“We are definitely focused on the medium and long term as well,” he said. “And building this trade-enabling structure — which will then build more trade and opportunities to export our resources and commodities to global markets.”