The federal Competition Bureau is challenging P and H’s recent acquisition of a grain elevator in Virden, Manitoba from Louis Dreyfus Company.
The Bureau has filed an application with the Competition Tribunal for an order requiring P & H sell either its own elevator in Moosomin, Saskatchewan or its newly acquired elevator in Virden.
The two communities are about 70 kilometers apart.
The Competition Bureau says the two elevators were close competitors due to their proximity and the challenge is being launched to protect competition for farmers.
In a news release, the Competition Bureau says the two elevators closely monitored each other’s wheat and canola prices and responded to competitive activity from each other by offering farmers better prices.
The acquisition eliminates the rivalry and the federal Bureau says farmers deserve competition to protect their bottom line.
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