Canadian Grain Commission compensates producers at 75% for unpaid deliveries

eAwazLocal News

Manitoba – Producers who were not paid for grain delivered to Global Food and Ingredients Inc. will be compensated for their eligible claims through the Canadian Grain Commission’s Safeguards for Grain Farmers Program.

Following a review of individual producer claims, the Canadian Grain Commission determined that there were 29 eligible claims totalling $2.661 million for unpaid deliveries to Global Food and Ingredients Inc. The company had $2 million in security available so individual payments will be prorated. As a result, producers will receive 75% compensation for their eligible claims. Cheques have been mailed to producers.

In addition to this compensation, the Canadian Grain Commission is working with the receiver, Richter LLP, to realize on proceeds from the sale of the company’s grain inventory. Holders of outstanding primary elevator receipts may receive a portion of these funds through the Canadian Grain Commission at a later date, once the receivership has been concluded.

“While 100% compensation is always the goal, we are pleased to provide the maximum available compensation to eligible producers. By working closely with the receiver, we may be able to provide some additional compensation beyond the security held.” – David Hunt, Chief Commissioner, Canadian Grain Commission