The war highlights the importance of strengthening our multilateral trading system to ensure it remains relevant in our increasingly unpredictable world and contributes to a further breaking down of barriers to trade. For example, the WTO underpins our global trading system, providing rules of engagement, mechanisms to ensure transparency between member states and a forum to ensure trade corridors remain open.
The canola sector relies on these clear, predictable rules, as well as those provided by Canada's suite of free trade agreements, to manage our risks and uncertainty when selling abroad. In recent years, we've witnessed an alarming move away from multilateralism and are concerned with an increasing trend towards national—sometimes protectionist—approaches. World leaders are meeting this February for the 13th WTO ministerial conference with a goal to further operationalize reform, reinstate the settlement function in 2024 and deliver meaningful outcomes for agriculture and food security and other areas. An ambitious outcome would send a message globally that WTO members are committed to strong, inclusive multilateral trade.
Today the canola sector faces a range of market access issues that limit our ability to seamlessly pivot between markets. Differences on sanitary and phytosanitary measures, food safety requirements and approaches to modern agriculture create significant barriers when looking to shift trade flows. More emphasis on trade-facilitative approaches and recognition of international standards would ensure more efficient movement of agriculture and food products.
The importance of open markets applies equally to the inputs required to grow food. In March 2022, Canada imposed a series of trade restrictions on Russia, withdrawing the most favoured nation status and imposing a 35% tariff on fertilizer imports. Russia is a key exporter of fertilizer, an essential building block to achieving plant yields and to sustainable production. Multi-country trade restrictions impede the movement of fertilizer globally, including to Ontario and Quebec, and the Canadian tariff increased Canadian farmers' costs by an estimated $34 million as of November 2022. Canada remains the only G7 country to retain a farmer tariff on Russian fertilizer.
In conclusion, I'd like to stress the importance of strong Canadian trade corridors.
Since the invasion, Canada has witnessed labour strikes that have impacted the movement of grains and oilseeds in both our western and eastern ports and have complicated our ability to supply global markets. In addition to port capacity, Canada needs an effective and responsive rail transportation system to provide grains and oilseeds globally in an efficient and competitive manner. For prairie farmers, grain travels an average of 1,500 kilometres by rail to reach port position. Disruptions can significantly increase farmers' costs, constrain deliveries and hinder Canada's reputation as a reliable supplier.
Thank you for the invitation. We look forward to your questions.