Ontario Salt Shortage
Recent winter seasons in Ontario have seen significant challenges regarding salt supply, resulting in increased costs and operational difficulties for contractors. In this article, we share the primary causes, impacts, and recommended strategies for managing these shortages.
Contributing Factors to Salt Shortages
The recurring shortages in the Ontario market are driven by a combination of environmental and logistical factors:
- Increased Demand: Normal snowfall totals and lower temperatures compared to previous years cause cities, municipalities, road departments and private contractors to deplete local salt supplies
- Production Limitations: Surges in demand often outpace the ability of regional salt mines to keep up with production requirements.
- Supply Prioritization: During periods of scarcity, salt mines and distributors typically prioritize supply for cities, municipalities, and road departments over private contractors.
- Import Logistical Costs: To meet local demand, suppliers often must import salt from outside the immediate market, which incurs significantly higher logistical and transportation costs.
Financial and Operational Impact
The shortage has a direct effect on the profitability and liability risk of snow management operations:
- Price Volatility: Contractors have reported purchase price increases of at least 30% to 40% during shortage periods. It looks like at this point (July 2026) the price of salt is starting at $140 per ton, and it is expected to increase as we get closer to the start of the season.
- Supply Inconsistency: Local supply yards may struggle to maintain inventory, leading to long wait times at depots or having no supply at all if we have an average or above average snow season
- Liability Risk: Lack of adequate salt supply can lead to icy conditions, increasing the risk of slip-and-fall claims.
Strategic Recommendations for Contractors
To navigate these challenges, contractors should consider the following proactive measures:
1. Operational Efficiency
- Conservation: Train operators and sidewalk crews to optimize salt application and avoid over-salting.
- Alternative Products: Explore de-icing alternatives, such as liquid applications, which can reduce reliance on traditional rock salt.
- On-Site Storage: Utilizing on-site salt domes can allow for bulk purchasing at discounts and ensure supply is available without waiting in line at local depots.
2. Communication and Contracts
- Client Transparency: Start informing your clients about supply issues well in advance to prevent service disputes.
- Contractual Protection: Update contracts to include clauses that protect the business from sudden price increases or a total lack of product.
- Proactive Rate Discussions: Use ongoing shortages as a basis for discussing potential rate increases if the supply situation worsens significantly.
3. Resources
- Landscape Ontario Press Release: LO created a press release that you can forward to your clients informing them about the current issues facing contractors. https://landscapeontario.com/press-release-ontario-road-salt-shortage-returns-as-winter-demand-outpaces-supply/
- SIMA: This month’s magazine includes a great article by Phil Sexton on ways to protect your business from these increases. https://resources.sima.org/magazine
4. Business Support
Managing these stressors—including labour shortages and salt issues—can be exhausting for business owners. Seeking support through middle-manager empowerment and rebuilding snow programs for better operational efficiency can help ensure long-term business health. If you want to know how to mitigate your risk of a salt shortage or to improve your overall snow operations, please join us on one of the following dates for our one-day Level Up Your Snow Business workshop. As always, feel free to call (519.868.6398) or email me to discuss how we can help you.
