COMMODITY exporter GrainCorp has highlighted regional supply chains as crucial in efforts to raise national productivity.
GrainCorp has submitted a three-pronged plan to the Commonwealth Government’s Economic Reform Roundtable which seeks to improve productivity, enhance economic resilience and make the budget more sustainable.
GrainCorp’s recommendations are to improve regional supply chain infrastructure, streamline regulatory frameworks and unlock Australia’s ‘renewable fuels opportunity’.
Regarding supply chains, GrainCorp noted inefficiencies in freight and logistics infrastructure, particularly underinvestment in rural roads, short rail sidings and port congestion, causing significant avoidable costs for growers and exporters.
“These cost pressures are compounded by ageing infrastructure, inconsistent investment and limited interoperability between state networks,” the exporter stated.
“With global demand for reliable, low-emissions supply chains increasing, Australia cannot afford to let poor infrastructure remain a barrier to growth in regional industries like agriculture.”
It recommended the government upgrade rail infrastructure, invest in first and last-mile assets and establish a national freight observatory to capture real-time performance data and guide investment.
“Targeted upgrades would enable higher freight volumes at lower cost, drive modal shift to rail to cut emissions and unlock productivity gains across the grain supply chain,” GrainCorp stated.
In regards regulatory standards, GrainCorp recommended the government establish a national harvest management scheme to enable uniform harvest operations, standardise rail access protocols, create a single-window digital platform for low-risk infrastructure and freight approvals and reduce national and state regulatory overlap and replace with industry-led frameworks to improve fair access and competitive export markets.
“These reforms would reduce compliance costs, expedite project delivery, and attract investment in regional infrastructure,” GrainCorp stated.
“Streamlined regulation would also promote transparency, efficiency, and better alignment with the realities of an integrated, seasonal supply chain.”
Regarding renewable fuels, GrainCorp said Australia was well-placed to become a global leader, but without policy action, “we risk continuing to export raw materials while importing finished fuel”.
It recommended the implementation of supply-side incentives to support commercial-scale SAF and RD production and the introduction of demand-side measures, including a national SAF mandate.
Read more about the Economic Reform Roundtable here.