Sarnia’s city council is continuing to move forward with redesignating lands near an important Ontario grain export terminal.
In May, Sarnia council voted 7-2 to redesignate the subject lands and approve an official plan amendment. Cargill, which owns the terminal, said the move could have a detrimental effect on the movement of Canadian grain and oilseeds to global markets.
The plan would reclassify a portion of Harbour Road in Sarnia for mixed-use development, paving the way for a proposed 14-storey project featuring 105 residential units and 173 parking spaces at 485 Harbour Rd., a property owned by Tricar Properties Ltd.
The site is located near the Cargill Sarnia Grain Terminal, a critical hub in Canada’s agricultural export network, raising questions about how high-density urban development could affect one of the country’s key grain shipping gateways.
The company has requested a minister’s zoning order (MZO) to protect long-term operations at the terminal. The move is an effort to protect long-term food security and potential export growth in the future. If the MZO was approved, it would prevent residential buildings, hospitals and similar multi-use development projects within 300 metres of the terminal.
“The Port of Sarnia plays an important role in connecting Ontario farmers to global markets,” Cargill said in a statement it issued in lieu of an interview.
Cargill moves grain and oilseeds from farms across southwestern Ontario to customers around the world, through the Sarnia terminal.
The company said the ability to move grain by water, rail and road provides flexibility throughout the supply chain and helps farmers access markets competitively. The company added that marine transportation is particularly important because it allows large volumes of grain to move efficiently, supporting both supply-chain resilience and market access.
“The terminal also helps support crop production by handling fertilizer imports used on farms across southwestern Ontario. That means the facility helps farmers on both sides of the equation, bringing in important crop inputs and helping move crops to market,” Cargill said.
The company noted the Great Lakes-St. Lawrence Seaway system provides a critical trade corridor linking Canadian agriculture to domestic and international markets.
Connectivity to that network gives farmers and exporters flexibility in how grain reaches customers and helps maintain Canada’s competitiveness as a reliable supplier of agricultural products.
Cargill said the port has become a key trading hub for the industry. Its location within the Great Lakes transportation network provides flexibility and reliability, helping ensure grain continues moving efficiently through the supply chain and reaches customers when and where it is needed.
“Facilities like the Sarnia Grain Terminal help connect farmers to global demand. Because waterfront infrastructure with access to marine, rail and road transportation is difficult to replace, maintaining these trade corridors is important to ensuring farmers continue to have reliable market access for years to come,” Cargill said.
Potential for conflict
Michael Belan, president of the Lambton Federation of Agriculture, said farmers in the area are concerned about the long-term impact the development could have on the port.
Belan said the organization is particularly concerned about the precedent the development could set by transforming lands traditionally designated for industrial use into residential development.
He said farmers are also concerned that new residential development near existing industrial areas could create conflicts over normal industrial activities such as traffic, noise and lighting, potentially limiting future growth and expansion opportunities.
“From an agricultural perspective, maintaining a strong industrial and transportation network is important because it supports the movement of grain, fertilizer, fuel and other farm inputs. Farmers want to ensure that planning decisions protect these important assets and support long-term economic growth for the region,” he said.
Belan added that supporting grain terminals and other critical agri-food infrastructure is in Ontario’s public interest and essential to the long-term success of the agricultural sector.
Agriculture depends on reliable and efficient transportation networks, he said. If increased development leads to greater traffic congestion, longer wait times or additional pressure on local roads, transportation costs for farmers and agri-businesses could increase.
“Increased traffic congestion and delays can make it more expensive to move products and receive inputs. That’s why it’s important that transportation infrastructure keeps pace with development so farm products can continue to get to market efficiently,” he said.
Belan said decisions that could reduce access to key transportation assets or increase costs for farm businesses should be carefully considered.
Port infrastructure protections sought
The Grain Farmers of Ontario is also advocating for greater consultation with the agriculture community before the project moves forward.
Jeff Harrison, chair of the GFO board, said expanded infrastructure and capacity at Sarnia could provide the province’s grain farmers with more reliable access to export channels, particularly for crops grown in southwestern Ontario.
The organization would like to see expanded port capacity that would allow Canadian grain and oilseeds to move more efficiently to market.
Harrison said grain movement depends on efficient, well-positioned infrastructure that connects farms, country elevators, processors, railways, trucking companies, marine shippers and end-use customers.
“For farmers, additional capacity means more options in the system. It can help reduce bottlenecks during peak harvest periods, support timely movement of grain and strengthen Ontario’s ability to serve domestic and international markets,” he said. “Anything that helps Ontario grain move more efficiently from the farm gate to market has the potential to support farmer competitiveness.
“When one part of that system is disrupted, it can quickly create pressure elsewhere,” Harrison said, pointing to the St. Lawrence Seaway strike in the fall of 2023, which raised concerns about the ability to keep grain moving.
“When elevators cannot move grain out, they can quickly lose the ability to take grain in from farmers. That can create significant problems during harvest,” he said.
Harrison said port development is important, but it must be supported by the broader infrastructure and policy environment surrounding it.
That includes maintaining reliable access to marine shipping, supporting efficient road and rail connections, protecting critical agri-food infrastructure and ensuring trade-enabling infrastructure can operate over the long term.
It also means implementing practical planning policies that recognize the importance of moving food and agricultural products to market.
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