The importance of infrastructure investment for freight and supply chain management is something we have grown used to hearing. Fewer and fewer people are convinced that every dollar you invest in public transport or road user charges is money wasted. Yet the strong case can be made that infrastructure plays a pivotal role in aligning economic, social, and environmental goals. It’s a massive global industry that relies on both technology and physical infrastructure to move things safely and efficiently. Infrastructure is critical to setting up factories, warehouses, factories, and distribution centers across Australia.
To answer the question:
The Australian economy is growing rapidly, which means that this growth will continue to be reflected in the demand for freight and supply chain services. To cater to this increasing demand, you need high-quality infrastructure such as roads, railways and ports that can handle large volumes of cargo securely.
1. It can help to increase the productivity and maneuverability of the freight vehicles
To increase the productivity and maneuverability of freight vehicles, there are several ways to improve infrastructure:
Road Network Optimization – It is a process by which different types of routes can be optimized so they meet specific criteria related to cost, speed and reliability. For example, a route that takes longer than expected may be considered as suboptimal even if it has lower costs due to its length and/or traffic conditions.
Transit Time Reduction – This is achieved by improving existing facilities (roads) or adding new ones (transportation systems). Transit time reduction involves reducing travel times between points A and B while maintaining quality standards such as safety or comfort levels along their journey; this reduces wear & tear on both vehicles as well as drivers’ health over time!
2. It is necessary for enabling safe road transportation of goods across the country
The stakeholders must invest in infrastructure development to improve the country’s road network. This can be done in different ways such as:
• Improved roads connecting remote areas with main highways or arterial roads;
• Construction of bridges where necessary;
• Construction of culverts under rivers/streams at intersections on major highways where new bridges are required; and
• Reconstruction of damaged stretches of existing highways so that they function properly again after maintenance work has been carried out on them by experts from related fields such as engineering or architecture
3. It can result in the reduction of the environmental impact of road transportation of goods
In a large country like Australia, it is not feasible to rely on road transportation for the movement of goods, due to the economic cost and massive environmental impact of trucks and tractor-trailers.
Adoption of an intermodal system with greater reliance on railroads can lead to the following:
• Reduction in freight traffic and carrier burden on city roads.
• Decreased fuel consumption, leading to lesser greenhouse gas emissions.
• Decline in carbon dioxide emissions from vehicles and road infrastructure (e.g., concrete).
The statistics say it all:
Australia’s rail network is arguably the most important and is critical to the smooth flow of goods over long distances. The country has two major railways: Queensland Rail (which operates in the south) and NSW TrainLink (which runs from Sydney to the Gold Coast). Australia’s freight and supply chain industry relies directly or indirectly on these two railways to move products from the ports where they are loaded onto containers by ocean-going vessels, to where they are unloaded for the market.
On the other hand, Australia’s national road network is one of the largest in the world, comprising some 7,260 km (4,560 miles) of trunk and secondary roads. Australia’s extensive intermodal network, which has enabled shipping to operate in all corners of the country, is another important factor that makes our nation a strong contender among other nations.
The government is working for it too:
High-quality infrastructure is essential for the safe and efficient movement of freight across Australia, with this in mind, the Australian Government Department for Infrastructure and Transport (DIRT) invested $135 million to improve the National Highway Freight Corridor project. The National Highway Freight Corridor (NHC) is a network of highways, rail lines and port facilities that are critical to the country’s economy.
Moreover, a National Freight and Supply Chain Strategy and National Action plan were endorsed in 2019 with the aim of integrating national action and strategies for all different freight modes over the next two decades. It envisages a cohesive and result-oriented plan for achieving supply chain resilience and stability.
A high-quality freight and supply chain network is vital to a country’s economic development, productivity and competitiveness. It plays a pivotal role in aligning economic aims with social and environmental goals. If we don’t invest in strong and resilient infrastructure, the movement of goods will become increasingly more challenging and costly.