23/1/2015

Melbourne traffic congestion costs the city more than $3 billion a year, which is expected to rise to $6.1 billion by 2020. It is a major issue facing the government, retailers, importers and exporters. So what’s the solution to avoid this from happening?

Melbourne Inland Port Project – A solution for road congestion to improve supply chain logistics efficiency

Salta Properties, has been contracted to develop an inland port strategy that will link the new Lyndhurst and Altona transport hubs with the Port of Melbourne. The project involves construction of high productivity road and rail connections while working closely with the relevant authorities.

“Our inland port strategy provides a key part of a solution to overcome road congestion and streamline the flow of metropolitan freight to and from the Port of Melbourne, the busiest container port precinct of Australia.” Sam Tarascio – Managing Director of Salta Properties

How can the Melbourne Inland Port Project remedy this problem

With an alternative option to ship goods via rail, the Melbourne Inland Port Project is expected to bring the following advantages to importers, retailers and freight forwarders:

• Enhanced efficiency and better coordinated freight system
• Reduced transportation cost
• Environmentally sustainable transport system

Enhanced efficiency and better coordinated freight system

The Port of Melbourne expects the shipment of goods to quadruple in number per annum by 2035, meaning the increased shipment of goods arriving at the Port of Melbourne is equivalent to eight million (8M) Twenty-foot Equivalent (TEU) units. With this increasing demand, the Government had to develop an efficient solution.

 

How could increased volume of goods be efficiently distributed through the state by road and rail haulage?

Developing and constructing efficient links between the port precinct and the freeway network ensures efficient movement of goods. Watch this short video presentation to see how it will revolutionise freight transportation from the Port of Melbourne to Altona, South Dandenong and Somerton.

BR International Melbourne warehouse located at Derrimut is just a few minutes away from the newly developed inland port. It has the capacity to deliver the following 3PL warehousing services:

• Warehousing
• Pick ‘n pack
• Handling
• Fulfilment
• Kitting
• Other purpose fit requirements based on client needs

Call us at 1300 348 828 for your warehousing needs. Click this to learn more about our Derrimut Warehouse.

Reduced transportation costs

Road freight is most affected by traffic congestion. The image below shows how it significantly affects transportation expenses:

Road freight is 50% more expensive than rail freight, even when terminal costs are included. Thus with railways connecting Altona, Somerton and Dandenong South to the Port of Melbourne, businesses would benefit from the reduced transportation cost it would bring.

 

Sample Scenario:

1600 trucks per day could be easily be replaced by ten (10) trains. This is equivalent to a daily saving of around 400,000 litres of diesel per annum.

 

BR International delivers the most efficient logistics solution for your business needs. Talk to one of our staff on 1300 348 828 to learn more of the advantages we provide.

Environmentally sustainable transport system

“Rail freight is 3 times more energy efficient than road freight. Transport represents 14.4% of all Greenhouse Gas Emissions in Australia, but rail is only 0.37%.” – Infrastructure Australia

With more opportunity to ship goods via rail rather than trucks, the 200,000 containers of goods currently shipped by rail could easily be doubled, tripled or even quadrupled in number.

BR International provides cost efficient supply chain logistics solutions via Melbourne Inland Port

“Development of the Melbourne inland port is a smart solution to the increasing traffic congestion in the city. It will surely benefit not only importers, exporters, retailers and businesses but city residents, as well,” said Aaron Poole when asked about the impact of the inland port to businesses.

“We (BRi) understand that businesses, particularly supply chain professionals are all about costs and service. This is what we aim to deliver to you.

“We develop the most cost effective strategy that will bring your goods to destination via secure and efficient intermodal freight services and smart warehousing solutions.”

Learn more about the various freight forwarding services and smart 3PL warehousing solutions offered by BRi. Call us on 1300 348 828.

 

Sources:

http://www.theage.com.au/drive/roads-and-traffic/the-road-to-a-standstill-20130414-2hter.html

http://www.salta.com.au/section/news/57/

http://www.melbourne.vic.gov.au/AboutCouncil/PlansandPublications/strategies/Documents/TransportStrategy/Transport_Strategy_2012_14_Port_freight_logistics.pdf

http://infrastructureaustralia.gov.au/policy-publications/submissions/published/files/411_Ararat_Greenhouse_Action_Group_SUB.pdf

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