PORTS and freight minister Melissa Horne has launched Freight on Track: The Victorian Rail Freight Plan 2026-2036, providing long term planning and support for this critical industry.
According to the government, the Plan has been developed in partnership with industry, recognising the collaborative efforts between industry and our government when it comes to creating an integrated transport network.
The need for a Victorian Rail Freight Plan was identified in the Victorian Freight Plan, released in August 2025, reflecting the importance of rail freight to Victoria’s competitiveness and liveability.
It outlines measures to improve the capacity, resilience and efficiency of the rail freight network, while reducing emissions.
The state government says it has invested almost $600 million in Victoria’s regional rail freight network, supporting heavier axle loads, increased speeds, improved reliability, new and extended passing loops and increased capacity on key rail freight routes.
Victoria’s freight network is expanding at Dandenong South, where Salta Properties will start construction of its Inland Freight Terminal in 2027.
The Dandenong South terminal is to become Melbourne’s south-east hub for the federal and state governments’ $58 million Port Rail Shuttle Network.
Since 2025, the network has moved containers by rail from Somerton to the Port of Melbourne – taking trucks off the road, cutting emissions and costs for businesses.
Victorian ports and freight minister Melissa Horne. Image: David Sexton / DCN
Regional freight trains transport more than $2 billion worth of freight annually, delivering agricultural products, paper products and mineral sands.
Ms Horne said the Plan aimed to “strengthen the freight sector as the economic engine for Victoria, supporting more jobs across the state”.
“We are planning for the future to deliver an efficient freight network that makes it easier and cheaper for local businesses to get their goods to market on rail,” the minister said.
Member for Dandenong Gabrielle Williams said the new Dandenong South terminal would help build “a stronger freight network, while supporting local jobs”.
Salta managing director, Sam Tarascio Jr said the company had worked “in partnership with the Victorian Government to advance delivery of the Dandenong South Inland Port”.
"The Victorian Rail Freight Plan provides an important framework for continued investment in the rail network supporting Victoria’s economic growth, reducing road congestion and delivering lasting environmental benefits,” Mr Tarascio said.