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Why are cattle trains slow to move from traditionally busy Central Qld rail head?

Eric Barker 24/10/2024


WITH Queensland’s cattle train network going through somewhat of a rebuild in recent years, one of the state’s busiest rail heads is still struggling to pick up speed.

Several sources Beef Central has spoken to in recent months have remarked that few trains have departed from Clermont since the contract was taken off Aurizon in 2020 and awarded to new company called Watco East West. Clermont to Brisbane has traditionally been one of the busiest routes.

While trains are seen as a low-cost way of moving big numbers of cattle long distances, the constantly changing nature of the network has frustrated many who have been closely involved. Some have even suggested that it should be more of an issue for this weekend’s state election than it actually is.

The network has gone from being completely state-owned to the State Government forming a company called Aurizon to operate the trains in 2004. The Government also gave Aurizon ownership of key pieces of infrastructure, like loading ramps, which created issues when Watco was awarded the contract and Aurizon locked the yards.

While trains have started moving on lines heading east from Cloncurry, Julia Creek, Winton and Morven, the Clermont line has been seen little action.

One of the bigger producers in the area said about 80pc of his cattle used to go on the rail from Clermont to Brisbane about five years ago, with pretty much all animals now going on the road and a lot heading to Rockhampton instead of Brisbane.

He said he was unsure why.

In recent decades, processors have been booking their own trains with pre-booked pathways for most weeks of the year and train schedules becoming a part of their procurement. Prior to that producers were booking their own trains.

While Teys is still booking trains, the country’s biggest processor JBS earlier this year decided it was no longer doing it. Asked why the company stopped booking trains, a spokesperson said:

“It is critical that producers (who make the decision on the mode of transport used), have access to cost effective livestock rail services which supports more cattle on rail.

“Importantly, livestock rail needs to be more cost effective against road in terms of long-haul point to point services as it has a clear volumetric loading advantage over road.  The State Government financially supports, through the Livestock Rail Contract, cattle rail services in Queensland, and these services need to be competitive and efficient.”

According to the rates published on Watco’s website, trains from Clermont to Dinmore are about $1.39/km.

In the north, where trains have been running, several large family and corporate cattle companies have opened their own accounts with Watco to send cattle to JBS processing facilities on the east coast.

Watco director Chris Hood said the company planned on doing the same thing at Clermont and that it had capacity to run 42 wagons.

“We intend on contacting those customers who use the trains at Clermont, who have always used the train, and offering them the same opportunity as the guys in the north,” he said.

“There is a fleet dedicated for Clermont that can run multiple trains/week.”

Mr Hood said the company was happy to deal directly with producers.

“Producers obviously want to use trains because they have gone to the trouble of making accounts with us and we are running trains for them,” Mr Hood said.

“Trains used to be booked by producers and we are happy to open up an account for any customer.”

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