This is an important story for business in an economy that relies heavily on exports, such as Saskatchewan, but one we don’t hear much about.
An economic analyst with ScotiaBank last week offered some insights into the state of ports on this continent and around the world.
We’ve just come off strikes through much of North America with workers securing wage increases of more than 10 per cent a year in a multi-year deal.
Obviously, those added costs will find their way into the supply chain so we should expect the cost of shipping to rise, but there is another angle to this tale.
The contracts also include iron-clad language preventing automation, or even semi-automation, as the workers fear being replaced by machines.
The problem is that North American ports are already behind. This will push technological improvement farther into the future.
The highest rated port in North America is Philadelphia ranked 50th in the world. Montreal ranks among the worst in the world at 351 out of 405. Vancouver is even lower at 363.
