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First steps towards direct maritime freight to the Pilbara

Feb 19, 2019

Two complementary reports released today by the State Government and City of Karratha have found that significant economic benefits would be created if a direct maritime freight service to the Pilbara was established.

The studies were commissioned by the Pilbara Development Commission and the City of Karratha in a collaboration to address concerns raised by Pilbara businesses that relying on goods being trucked overland from Perth and Fremantle by road train, incurs a significant logistical cost and limits business opportunities.

The two reports will be released today at a business breakfast in Karratha.

Key findings from a report titled ‘The Impact of a Direct Maritime Freight Service for the Pilbara’, produced for the Pilbara Development Commission, include:

  • The annual gross regional product of the Pilbara would increase by 1.14 per cent, or $120 million per year, if a direct maritime freight service was established and replaced 20 per cent of the current overland freight task; and
  • Establishing a Pilbara maritime freight service could create 30 new direct local jobs.

Key findings from ‘The Pilbara Freight Study’ report, commissioned by the City of Karratha include:

  • There is sufficient demand through cargo aggregation for new direct maritime freight links to major Asian trans-shipment ports;
  • A direct maritime freight service could reduce freight costs by up to 50 per cent and delivery times by up to 70 per cent;
  • A two per cent change in freight movements could be sufficient to provide a financially viable direct freight route; and
  • There is infrastructure and capacity at Dampier Port to support a new direct maritime freight link.

Read the Pilbara Development Commission report, 'The Impact of a Direct Maritime Freight Service for the Pilbara' here.

Read the full statement by the Minister for Regional Development and Member for Pilbara Kevin Michel here.


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