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NSW Farmers Federation
As harvest gets underway in NSW grain growers are outraged to learn they could soon be paying the highest prices in the country to transport grain by rail.
The Independent Pricing and Regulatory Tribunal (IPART) has recommended access prices for grain lines be doubled.
NSW Farmers Grains Committee Chairman Mark Hoskinson says if the proposal is adopted, this State would have the most expensive access charges in the country.
"IPART has recommended access prices double from $2.61 to $5.22 per thousand gross tonne kilometres," he said.
"Grain growers in NSW could be forced to pay more to access the network, however there’s no indication that any increase would lead to much needed infrastructure upgrades.
"The problem with increasing costs is that it doesn’t consider the improved freight dynamic that upgraded rail assets can provide," Mr Hoskinson said.
NSW Farmers is urging the O’Farrell Government to reject IPART’s recommendations, and instead look at ways to improve the productivity and competitiveness of rail.
"There’s a lot of carry over grain from last year’s bumper harvest – much of it only feed grade. With another good harvest expected this year the logistical burden is becoming a massive obstacle for growers," Mr Hoskinson said.
"The focus now should be on investing in the State’s grain lines because rail freight is safer, more environmentally friendly, and cheaper than trucking freight by road," he said.
Contact: Olivia Suzanski (Media Adviser) 0429 990 218
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