With the focus of global economic power shifting increasingly to the Asia-Pacific, opportunities for northern Australia have seldom been greater
AUTHOR Jeannie Gunn captured something of the soul of northern Australia in "We of the Never Never", a book that describes its beauty, remoteness and confronting reality for European Australians.
The quote, "This is the Land of Plenty of Time; Plenty of Time and Wait a While. You'll be doing a bit of waiting before you've done with it" is perhaps an insight that the north dances to its own tune.
Even today, in a time of budget travel and advanced information technology, the region retains an element of mystery, disconnected from the southern population centres.
Effective logistics can better integrate northern Australia with the south while also allowing it to take advantage of its natural resources, relevant in an age when the focus of world attention is increasingly on the Asia-Pacific.
Allan Dale. Image: Supplied
Allan Dale is professor of Tropical Regional Development at James Cook University in Cairns and outgoing chair of the Developing Northern Australia Conference, the most recent event of which was held in Cairns.
“On a per head basis, northern Australia already does the heavy lifting for Australia’s economy. Mining and resources will continue to be the most significant drivers, particularly as critical minerals become more important,” Professor Dale said.
Professor Dale said innovation and tropical expertise is emerging as a major new economy.
“Much of our future, however, will come down to our three northern economies, northern Western Australia, the Northern Territory and northern Queensland becoming far more connected and export-focused,” he said.
“We only operate as three separate economies for historical reasons. From this, we could also much better integrate our economies into the near Indo Pacific, particularly India, Indonesia, Timor-Leste, PNG and the Pacific.”
“The maritime sector should be, and needs to be, a key driver in this change, with the north being less focused on looking to the south and just the large commodity exports,” Professor Dale said.
Some recent developments are worth noting, with the Port of Wyndham welcoming its first ANL operated container vessel, MV Scion Mafalda, in early August this year, discharging 200 FEU containers.
According to Kimberley Ports Authority, which manages the ports at Broome, Derby, Wyndham and Yampi Sound, this event paves the way for direct cotton exports from the region, “creating exciting new opportunities for local industry”.
We need improvements in major connecting infrastructure east to west across the north
Professor Allan Dale, James Cook University
Despite an abundance of opportunities, Professor Dale notes difficulties including:
Then there are the implications of a changing climate.
“Northern Australians are robust, but we also can see this coming, and are already somewhat disaster weary,” Professor Dale said.
“We need improvements in major connecting infrastructure east to west across the north, and in this, there is an increasingly important role for the maritime sector.”
Speaking at the recent Developing Northern Australia Conference in Cairns, West Australian minister for regional development and ports, Stephen Dawson, said new opportunities are emerging in such areas as agriculture and renewable energy.
Mr Dawson said the Gascoyne, Pilbara and Kimberley regions are vital, not only in growing Western Australia’s economy, but also as a contributor to the nation’s gross domestic product.
“The Gascoyne and Pilbara resources are vital, not only to growing Western Australia's economy, but also they play a vital role as a major contributor in the nation's prosperity product,” he said.
“Now, in addition to the diversification and decarbonisation of our economy, the state remains focused on the immense potential of the agricultural sector in WA's economy.
“Agriculture is a cornerstone of our regional development, which provides economic growth, job creation and long-term sustainability across our communities,” Mr Dawson said.
“We also have a horticultural sector that will be able to grow significantly. As we continue to strengthen agricultural development across the line, it is also essential that average communities are empowered to be able to benefit from these opportunities.”
Rail connections are vital in bringing commodities to ports across often vast distances.
Aurizon continues to play a key role in supporting Northern Australia’s supply chains, with ongoing activity across the Mt Isa–Townsville corridor and emerging opportunities through the Port of Darwin.
“Our integrated rail and port operations are helping unlock trade potential, improve freight efficiency, and support regional development through sustainable logistics solutions,” a spokesperson for the rail company said.
Image: Aurizon
Aurizon plays a vital role in connecting northern Australia’s resource-rich regions to domestic and international markets via its extensive rail infrastructure and logistics services.
“Our operations span key corridors across North Queensland, Far North Queensland and the Northern Territory, supporting the movement of bulk commodities and general freight,” the Aurizon spokesperson said.
“In North Queensland, the Mount Isa to Townsville corridor remains a strategic freight route. Aurizon continues to support regional growth through integrated logistics solutions, including our multi-modal rail terminal at the Port of Townsville.”
Completed in late 2022, the $5 million multi-modal rail terminal investment established direct rail access into Aurizon’s container and handling park, enhancing export pathways for commodities such as copper, lead, zinc, phosphate and potentially vanadium from the North-West Minerals Province.
In the Northern Territory, Aurizon operates the 2200-kilometre Tarcoola-to-Darwin rail corridor and associated terminal and stevedoring assets at the Port of Darwin.
“Through this integrated operation, we are strengthening multimodal supply chains by connecting inbound freight from Asia-Pacific markets with domestic distribution networks across Australia,” the spokesperson said.
In partnership with shipping company ANL, Aurizon has introduced a landbridging solution linking ocean freight arriving in Darwin with direct rail services to Adelaide and other southern destinations.
“This service offers customers a reliable and efficient alternative supply chain, with potential transit time savings of up to 10 days, leveraging Aurizon’s double-stacked container trains and port-side infrastructure,” the spokesperson said.
From the first discovery of minerals in the north, Port of Townsville has been at the heart of Australia’s resources story.
Port of Townsville chief executive Ranee Crosby said the port is now the nation’s largest exporter of copper, zinc, lead and fertiliser and a major hub for refined metals.
“As global demand shifts, northern and north-west Queensland are set to drive the future in critical minerals, renewable energy, new fuels and advanced manufacturing,” Ms Crosby said.
“Over the past five years we’ve invested more than $300 million to increase efficiency and capacity—widening our channels for larger ships, creating an additional 60 hectares of land and building modern container handling infrastructure.”
In the year ahead Port of Townsville has a further $50 million of works underway to create a new 15-hectare cargo laydown area, to upgrade common user berths and improve road infrastructure.
“We also have approvals in place for our Port Expansion Project, which can unlock six new berths, 90 hectares of land and deeper shipping channels to meet trade demand,” Ms Crosby said.
“The port stands ready to deliver the infrastructure and capacity needed to connect industries of the future to global markets and drive long-term prosperity for the region.”
As global demand shifts, northern and north-west Queensland are set to drive the future in critical minerals, renewable energy, new fuels and advanced manufacturing
Ranee Crosby, Port of Townsville
Ms Crosby said North Queensland and north-west Queensland have the perfect ingredients to power the industries of the future, given their world-class wind and solar resources and vast tracts of farmland.
“Right now, we’re delivering $50 million in upgrades, including a 15-hectare renewable energy and project cargo laydown area, common-user berth improvements and road infrastructure works,” she said.
“These investments will expand our capacity to handle the large-scale imports needed for major renewable projects from 2026, such as wind, solar and transmission developments.”
That includes the ability to handle enormous cargo, from 100-metre wind turbine blades and heavy transformers to containerised materials and other project-critical imports.
“At the same time, we’re preparing for the clean fuels sector, with available land and capacity at our common-user bulk liquids berth to facilitate new trades,” Ms Crosby said.
“With approvals already in place for our Port Expansion Project, which adds berths, land and deeper channels, we have the flexibility to scale as these industries grow.”
Around seven million tonnes of trade worth $12 billion passes across Townsville wharves each year.
It is the largest copper, zinc, lead, sugar and fertiliser port in the country, and Northern Australia’s largest container and automotive port.
“We handle more than 30 different commodities over our eight berths, linking North Queensland to more than 130 ports in 40 countries,” Ms Crosby said, noting steady growth in containers and motor vehicles.
“Both containerised trade and vehicles are strong growth opportunities for Townsville, thanks to our central location in northern Queensland and direct proximity to the Asia-Pacific.”
Chief executive of the Mt Isa to Townsville Economic Development Zone (MITEZ), Maria James, tells DCN the opportunities are increasing for agriculture and minerals.
Critical minerals are present in the form of vanadium; large phosphate deposits in the Georgina Basin (low cadmium and low arsenic) as well as agriculture.
“Cotton is expanding in the region, for example at Etta Plains outside of Julia Creek, and an experienced southern producer has set up in the north-west which gives confidence to others in the region to grow this crop,” Ms James said.
“Once a critical mass is established it can lead to processing in the region, which currently has to go to Derby. We have always been able to grow it but the cost of processing in the south, and making a return for the farmer, inhibits expansion.”
Richmond, a small town often more associated with dinosaur fossils, is growing chickpeas and pigeon peas, in addition to developing a common user grain facility.
“This kind of shared infrastructure shows confidence in the region and a long-term outlook to diversify,” Ms James said.
An idea that appears to be progressing is for an inland port at Richmond, potentially contributing to the export of minerals such as copper and vanadium as well as fertilisers and cotton.
Richmond mayor John Wharton said the idea has its genesis in severe flooding back in 2019.
“I have copper miners phoning me saying they have millions of dollars’ worth of commodity to get to market, so we think this is a huge opportunity,” Mr Wharton said.
Agricultural products are trans-shipped to markets in Southeast Asia or India and Pakistan via the Port of Townsville.
A harsh climate (heat, cyclones, strong winds) can take its toll on the rail network, particularly with some infrastructure being old.
“This system works well for bulk exports, although still expensive, but anything with a number of touch points, like half-height containerised products, adds costs each time the product is handled,” Ms James said.
Ports North operates nine regional and remote ports in Far North Queensland including Cairns, Mourilyan and Karumba.
Chief executive Richard Stevenson said their mission is to connect communities and create economic opportunities.
Far North Queensland spans a vast area, and our ports play a leading role in providing transport and facilitating trade, recreation and defence.
Cairns is also recognised as a premium destination for luxury yachts, thanks to our strategic location as the gateway to the Asia-Pacific region.
The completion of the Horn Island passenger wharf was also a huge achievement.
Last year also saw the release of Ports North’s inaugural Community Investment Fund where they provided support for a range of community-building initiatives. Examples include training and licences for First Nations maritime trainees, diver training for improved reef monitoring and research and new bicycles for community transport on Thursday Island.
They also introduced a Graduate Development Program and welcomed graduates in environment and sustainability and information technology to the team.
“I’m keen to grow the next generation of leaders within Ports North and have been excited to watch the contributions that they are making to the organisation,” Mr Stevenson said.
Their ports are in areas of high conservation value, so environmental management and safe port operations are crucial.
“Our extensive network of maritime businesses puts us in a unique position to influence economic, social and environmental sustainability,” Mr Stevenson said.
He said they are also working closely with port customers, businesses, communities and regulatory agencies to promote best practices in environmental management.
“Our sustainability goals are ambitious, but we’re committed to balancing growth with environmental protection,” he said, emphasising the mineral contribution to a cleaner future.
“Our regional bulk commodity ports export minerals such as silica sand, bauxite, lead and zinc—products that are essential to a decarbonised future. We are seeing opportunities for these ports to continue to meet increased demand for these commodities.”
Mr Stevenson finds managing the diversity of the ports an enjoyable challenge.
“Whether it’s supporting trade exports, facilitating tourism or developing community infrastructure, our ports are vital to so many industries, businesses, families and individuals in these regions,” he said.
“Our ports are multi-dimensional, and I can honestly say no two days are the same. Meeting the needs of our stakeholders and enabling our communities is key.”
An important player in the maritime supply chain is shipping company Sea Swift.
Sea Swift has provided shipping and logistics services to coastal and remote communities since 1987.
During those years, the company has serviced the Outer Torres Strait, Tiwi Islands, and remote communities of Northern Australia, supplying fuel, perishable food and essential goods and services.
Sea Swift currently operates a fleet of purpose-built vessels, offering a comprehensive range of services including general cargo and freight, oil and gas supplies, project charters, tug and barge operations, and support for key industries like mining, defence and oil and gas.
Sea Swift also recently confirmed that it soon would be supporting GEMCO on Groote Eylandt, Northern Territory.
“Sea Swift is committed to keeping the remote and coastal communities of Northern Australia connected and is currently looking to expand and innovate within our network,” a Sea Swift spokesperson said.
“We are concentrating on improving our systems and focusing on our operations in the region so we can best support and supply the communities that rely on us most.”
Meanwhile, plans are afoot to develop the Port of Karumba in the Gulf of Carpentaria.
Gulf Savannah Development is finalising a proposal to transform the port into a key freight harbour.
During the Developing Northern Australia Conference, Gulf Savannah Development chief executive Neil O’Brien said the facility could be expanded to aid with the development of the North-West Minerals Province.
Karumba has been identified as an under-utilised regional asset and an alternative route to transport mining products to international markets.
This would help take some of the pressure off the Port of Townsville which faces infrastructure limitations.
In the Northern Territory, Darwin Port has just announced the launch of its master plan, setting out a long-term vision for the progressive development of the port during the next 30 years.
According to port management, it provides an aspirational and strategic framework to guide infrastructure investment and operation planning, supporting Darwin Port so it can evolve and grow to meet future trade and capacity needs of the region.
The master plan has been produced in close collaboration between Darwin Port, our stakeholders and industry leading consultants.
Darwin Port chief executive Peter Dummett said the master plan represents the culmination of careful planning, rigorous consultation and a shared vision.
“This master plan is not the beginning, but a pivotal next step in a journey already in motion,” Mr Dummett said.
“It reflects the trust placed in us by our stakeholders, our commitment to continuous improvement and our ambition to shape a future-ready port that delivers value far beyond its boundaries.”
Mr Dummett said they listened to their partners across government, industry and the community.
“From cruise and defence operations to multimodal expansions that future-proof our container, dry bulk and rail throughput capacity, every part of this Master Plan is shaped by those who rely on the port,” he said.
The plan outlines a staged approach to development beginning with incremental upgrades to existing assets and, if required, progressing to transformative expansion.
Mr Dummett said the plan would balance the needs of emerging industries with the ongoing requirements of current stakeholders.
“With regional and global trade dynamics evolving at an unprecedented pace, the master plan provides the clarity and structure needed to assist Darwin Port in remaining a resilient, responsive gateway for trade that is scalable, secure and purpose-built to accommodate growth and a competitive future,” he said.
The master plan is said to have the potential to deliver several outcomes depending on industry demand, including:
Mr Dummett said the master plan also encompassed Darwin Port’s Fort Hill Wharf facility.
“We expect continued strong growth in the cruise sector and, if required to support this industry, we anticipate that the existing Fort Hill Wharf could be extended by around
60 metres, providing the ability to berth future vessels of up to 380 metres in length, whilst also providing greater flexibility to accommodate multiple smaller vessels,” he said.
“The more frequent accommodation of multiple vessels at Fort Hill will in turn trigger the potential for cruise terminal expansions and enhancements.”
Political economist and research leader at Charles Darwin University, Rolf Gerritsen, tells DCN he is “bullish about the NT” and “the last Territory election was a good one to win”.
Darwin is home to the Ichthys LNG onshore processing facilities and support facilities at Bladin Point.
“INPEX is going to start boosting the economy probably from next year, then we’re also seeing growth in cattle exports as well as increasing tourism,” Professor Gerritsen said.
“The Territory is going from zero to hero and I certainly wouldn’t have said that a few years ago.”
This article appeared in the October| November edition of DCN Magazine