Looks like a case of overzealous bureaucrat wanting to make a big deal out of little.
I too was surprised the Feds got their nose into it so I wrote the reporter. Here is what she has to say;

Thanks for your note. I, too, was surprised that this fell under federal jurisdiction but near as I can figure the reason is an historical one: secure wheat, wheat-handling and flour-making were considered of national interest, and therefore fell under federal regulations. So, where my workplace, and most other workplaces, would be under provincial health and safety regulations, this appears to be one of the notable exceptions.
Best,
Deb

Too bad if it gets closed down.