National strategy to address freight and supply chain demands

National strategy to address freight and supply chain demands

The National Freight and Supply Chain Strategy has received approval from Australian transport ministers. 

The strategy intends to position Australia to meet unprecedented freight and supply chain demands over the next 20 years.

Deputy Prime Minister and Minister for Infrastructure, Transport and Regional Development, Michael McCormack, said the strategy and its associated National Action Plan, developed by all Australian governments with extensive industry input, will integrate the different transport modes for the first time.

“Australian freight supply chains get petrol to our service stations, fresh food to our supermarket shelves, waste to the tip, construction materials to building sites, and essential pharmaceuticals to our hospitals – delivering about 163 tonnes of freight per person around the country each year. 

“With our freight volumes expected to grow by more than a third by 2040 and online shopping growth at over 20 per cent a year, we need to increase the productivity of our freight system. 

“At the same time, we have to plan for and manage the introduction of new technologies and risks from increasing natural disasters, such as the devastating floods in Queensland last year.”

The strategy commits to national action in four critical areas: 

  • Smarter and targeted infrastructure investment
  • Improving supply chain efficiency
  • Better planning, coordination and regulation
  • Better freight location and performance data

Mr McCormack said, “The strategy’s governance arrangements provide a mechanism to ratchet up action and ambition from all governments and industry over time in order to lift the performance of the freight system. 

“Jurisdictions will report back to the COAG Transport and Infrastructure Council in November with their implementation arrangements for delivering the strategy.”

Assistant Minister for Road Safety and Freight Transport, Scott Buchholz, said the success of the strategy would rely on the ability of governments and industry to work together during its implementation.

“All Australian governments recognise that freight is the lifeblood of the Australian economy. Our challenge now is to turn the strategy’s vision for Australia’s freight and supply chains into a reality.”

Assistant Minister to the Deputy Prime Minister, Andrew Gee, said the Action Plan shows, for the first time, the extensive and collaborative action being taken to improve the national freight system.

“It showcases the extensive contributions the Australian Government is making, such as the $4.5 billion Roads of Strategic Importance initiative, $32 million to improve agricultural export systems and $5.2 million to settle the design of a National Freight Data Hub.”

These commitments complement joint investments in partnership with state and territory governments, including the NSW Government’s $200 million funding for flood immunity improvements on the Newell Highway to go with the Australian Government’s $400 million commitment to upgrade the highway; and the Victorian Government’s $15.8 billion North East Link, to which the Australian Government has committed up to $1.75 billion.

The Federal Government has also committed up to $4.5 billion toward Adelaide’s North-South Corridor, with the South Australian Government committing a further $3 billion.

The Expert Panel commissioned by the Federal Government in March 2017 to lead an inquiry into national freight and supply chain priorities have expressed its support for the strategy and Action Plan.

Panel member and Executive Chairman of Simon National Carriers, David Simon, said, “For the first time Australia is taking a truly comprehensive national approach to freight covering all modes.”

Chief Executive of NSW Ports, Marika Calfas, said she was pleased to see the commitment to keep industry engaged throughout the strategy’s ongoing delivery.

1 Comment
  1. Les Brown 1 month ago

    How can you take a “truly comprehensive national approach to freight covering all modes.” when there is no mention of rail?
    Rail has the ability to be far more productive, efficient and better environmentally suitable than road. There are currently 700,000 B-doubles running between Sydney and Melbourne every year. Rail handles only 1% of freight traffic between those two cities. The main factor being cost; the road maintenance is funded mainly by taxpayers, whilst rail maintenance is funded by a diminishing number of users.
    With claims of an ever increasing national freight task, surely the common-sense approach would be to consider rail transport as a vital component, that is unless the government is not really interest in productivity, the environment, or the increased risk of cancer, respiratory illness and the safety of other road users as the recent accident between two semi-trailers near Melbourne has shown.
    Why is rail not mentioned in this article, despite the picture at the heading?

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