Adelaide-Darwin rail wins 120,000t Scott Group contract

<p>More than 120,000 tonnes of freight traditionally transported each year by road will move to Darwin by rail after the signing of a contract between FreightLink and Scott Group’s Northern Territory Freight Services (NTFS). </p> <p>FreightLink CEO Bruce McGowan and Scott Group CEO Allan Scott signed the contract at FreightLink’s new Adelaide headquarters yesterday (Tuesday, January 6). </p> <p>FreightLink has also entered into agreements with other national freight forwarders, as well as number of furniture removalists and car carriers. </p> <p>Mr Scott said the cost-effective service offered by FreightLink is pivotal to the company’s decision to make the transition from road to rail.</p> <p>Scott Group’s relationship with FreightLink will enable NTFS’s eastern seaboard customers to access the national rail network for the first time. It will also open up opportunities to expand the company’s business from Sydney and Melbourne, Mr Scott said.</p> <p>While NTFS will continue to rely on regular road train operations for specific tasks, Mr Scott envisages that the rail corridor will take over 80% of traffic in the region, resulting in considerable opportunities for both road and rail over the longer term. </p> <p>Mr McGowan said the contract was significant to the operator’s strategy to secure up to 350,000 tonnes of existing domestic freight annually within the first few years of operation and a further 450,000 tonnes resulting from other general freight, fuel, agricultural, defence, mining and international trade opportunities. </p> <p>FreightLink anticipates that the Scott Group may also require the transportation of approximately 25,000 tonnes of fuel from South Australia to Alice Springs, and Darwin to Alice Springs, as opportunities arise. </p> <p>Mr McGowan said that FreightLink’s ultimate aim is to promote business opportunities along the central corridor and internationally, increasing the total market size and creating a bigger piece of the pie for all intermodal transport in the region.</p> <p>While long-haul rail offers clear advantages, its customers depend on feeder services between terminals and the port of Darwin, Mr McGowan said.</p> <p>The new rail link is likely to be the catalyst for flourishing industry development, including new agriculture, mining, and tourism ventures in central and northern Australia.</p> <br />