Agrium has developed a sustainable competitive advantage in its distribution and storage network due to superior quality terminal facilities, geographic diversity and a multi-modal distribution system. By servicing customers and internal warehouses by rail, pipeline, truck, barge and ocean going vessels, Agrium is able to minimize transportation costs and enhance its position as a low cost supplier.

Underlying the Wholesale business is the need to transport approximately 8.4 million tonnes of fertilizer sales to Agrium warehouses or directly to customers and three million tonnes of raw materials to manufacturing facilities each year.

Rationalization and optimization of transportation and distribution systems and the elimination of duplicate facilities has been one of the major success stories following the 1996 merger with Viridian Inc. The acquisition of Unocal's fertilizer division has significantly reduced Agrium's total annual distribution costs both directly and indirectly.