Port of Newcastle new opportunity for growers

Australia’s most famous coal town would be a boon for farmers if allowed to grow, according to the state’s peak agricultural body.

A delegation from NSW Farmers has visited the Port of Newcastle to inspect the grain terminals, discuss ways to free up supply chain congestion and explore future growth opportunities.

“Our grain growers have just had two of the biggest growing seasons in history here in NSW, but we have this dysfunction that effects supply chain efficiency in the transport and logistics chain that’s costing our farmers,” NSW Farmers Vice President Xavier Martin said.

“There’s no point growing food and fibre if you can’t ship it to your customers and Newcastle has enormous potential to help our farmers be more globally competitive.

“There are some other challenges that also need to be addressed but allowing the Port of Newcastle to increase its export potential would make a big difference for farmers.”

In 2021, the Port of Newcastle exported 3 million tonnes wheat – a 900 per cent year on year growth – and had fertiliser imports grow 69 per cent year on year. Grain growers meanwhile are still trying to export their 2020 grain with on-farm storages packed to the brim. Mr Martin, a grain farmer from the Liverpool Plains, said investing in a large grain handling facility in the north west and rail line upgrades direct to Newcastle – along with tackling anti-competitive policies and systems – would make farmers far more competitive globally, and remove some of the pressure on the supply side.

“We have an ambition to grow agriculture in NSW to $30 billion in farmgate value by 2030, and nationally to grow to $100 billion,” Mr Martin said.

“Newcastle’s deep water and railway-to-port connections could save farmers $16-$22 per tonne on rail freight, or up to $2.8 billion over the next 30 years.

“I want to thank the Port of Newcastle for their invitation to see what they’re doing and their support of NSW Farmers, and we will continue to work to grow our agriculture sector and our economy.”

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