Freight costs hurt re­gion

North West Telegraph - - News - Ali­cia Per­era

A new study is in­ves­ti­gat­ing ways the Pil­bara’s high freight costs can be brought down through bet­ter con­nec­tions be­tween the re­gion and out­side world.

The Pil­bara Freight De­mand Anal­y­sis, driven by the City of Kar­ratha in re­sponse to con­cerns raised by Kar­ratha and Dis­tricts Cham­ber of Com­merce mem­bers, is look­ing into re­gional air, sea and road freight op­por­tu­ni­ties to tackle chronic is­sues faced by lo­cal busi­nesses in­clud­ing high costs, uncer­tainty and lim­ited scal­a­bil­ity.

Kar­ratha Mayor Pe­ter Long said the ma­jor­ity of freight to and from Kar­ratha was pro­cessed through var­i­ous dis­tri­bu­tion channels in Perth.

“In­dus­try has shown a high de­gree of in­ter­est and de­mand for more ef­fi­cient and af­ford­able freight op­tions, in­clud­ing the po­ten­tial of mar­itime and avi­a­tion routes,” he said.

“Work­ing closely with in­dus­try stake­hold­ers and govern­ment, the City is keen to bet­ter un­der­stand the de­mand for freight into the Pil­bara, with a view of fa­cil­i­tat­ing im­prove­ments in ef­fi­ciency and re­duc­ing costs to sup­port busi­nesses.”

KDCCI chief ex­ec­u­tive Ky­lah Mor­ri­son said freight costs in the Pil­bara put lo­cal busi­nesses at a dis­ad­van­tage when com­pet­ing for ma­jor con­tracts.

“The cost of freight is mak­ing them not as cost­com­pet­i­tive as busi­nesses from out­side the re­gion,” she said.

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