Why aren’t we using more rail freight in Australia?
According to logistics theory, rail freight comes into its own over greater geographical distances.
OK, so we have vast distances here in Australia. And yet rail freight popularity seems to be focused mainly on the long distance East to West Coast routes and to medium-haul bulk freight such as coal, rice, wheat, sugar and the like.
Given the increasing congestion on our main roads, the rising cost of fuel and the forecasted doubling of freight volumes over the next 10 years or so, shouldn’t we be starting to use rail freight more?
Rail Freight Australia
So what’s stopping us? These are the common reasons I hear:
- The rail services are not reliable.
- The double handling at each end (at the terminals) just increases cost and damages
- Rail services are not available where we need them
I first wrote and published this post back in 2013, and since then, the situation in Australia hasn’t changed much, but elsewhere in the world too, logistics and transportation experts are recognising the need to shift freight from road to rail, and hence to provide solutions that support that shift.
With that in mind, I thought I’d update this post with brief details of some interesting developments in rail-freight transportation. One such development is taking place here in Australia, and another overseas in the United States (but this second solution offers exciting possibilities for rail freight anywhere in the world).
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