The National Farmer’s Federation (NFF) is urging the government, ahead of the budget, to back up its words of support for the inland land corridor with action — that is, with heavy investment.
“We have welcomed the government’s almost $900 million commitment so far to the Brisbane to Melbourne inland rail link and we are heartened by media reports this week that $1 billion has been earmarked for the project in this year’s budget,” NFF chief executive Tony Mahar said.
“However bearing in mind it is a $10 billion project, we believe $1 billion is the absolute minimum needed.”
The point was further emphasised by NFF president Fiona Simson, who was quoted in The Rural as saying that investment over $1 billion, and, moreover, commitments to future long-term spending, would prove the government is “fair dinkum” about getting the inland rail project built.
“$1 billion is not going to build the entire project so it’s important that we start building it and the government keeps investing in a rail line that serves us well into the future and is modern and efficient,” she was quoted as saying.
“We need that $1 billion and we need a commitment made by government to build the inland rail, rather than more talk and planning.”
The NFF expects Australian agricultural production to reach a record $63.8 billion in 2017-2018; they further expect that land freight between Brisbane and Melbourne will increase from approximately 4.9 million tonnes in 2016 to 13 million tonnes in 2050.
Both Mahar and Simson stressed the need for an efficient inland freight rail system for maintaining the international competitiveness of Australia’s agricultural exports, as transport costs and logistical infrastructure are one of the largest costs faced by farmers.
“Farmers require a least-cost pathway to market and inland rail has a large role to play in delivering this. For Australian farmers there are few bigger issues than driving down the cost of production – of which getting produce to market is a significant part of,” Mahar said.
While the government has so far declined to provide the exact amount of funding that will be provided in the budget for the project, federal transport and infrastructure minister Darren Chester has indicated that there is firm commitment to making sure the project went ahead.
“I can’t speculate on the exact details of what will be in the budget for the Melbourne to Brisbane inland rail but the government has made it very clear that it’s keen to build the project and the Prime Minister expects construction to start this year,” he was quoted as saying in The Rural.
The NFF hopes that next week’s budget will show government’s commitment to what it sees as a “non-negotiable” priority for the agricultural industry, and Mahar said that they were looking forward “to seeing economic leadership and fiscal measures that allow Australian agriculture to thrive”.