Graincorp secures more trains
GrainCorp Limited (GNC) said it had secured three more trains to meet its logistics requirements across three locations in Queensland. The contract, with the Australian Railroad Group (“ARG”), a subsidiary transport and logistics company, QR was for three years the company said.
Graincorp would also take over responsibility for the rail assets and freight scheduling.
GrainCorp General Manager of Storage and Logistics, Bruce Griffin said the move was critical to the majority of Queensland’s grain crop movements.
“As a result of our contract with ARG, weekly rail capacity between Toowoomba and Brisbane will increase by 50%, providing a much needed boost in haulage capacity for the southern Queensland grains industry,” Mr Griffin said.
“In NSW last harvest, our management of rail assets led to a significant increase in rail efficiency.
Per train efficiency rose by 60% or more, compared to management of the same assets under the old single desk export monopoly, Mr Griffin added.
More trains had also been added in Victoria, with the expectation of a greater grain harvest this year.
“The demand for more rail capacity in Victoria comes at a time when crop prospects look positive in that region. We are anticipating a welcome return to a higher level of grain exports from Victoria this harvest, following two very disappointing seasons,” the company said.
At 1010 AEST, Graincorp shares fell by 18c to $8.85.