“More trucks not the answer” says VU’s Dr Nagel
Fri, Mar 23 2007

Dr Pieter Nagel, Director of the Institute of Logistics and Supply Chain Management at Victoria University, has welcomed this week’s channel deepening report, but cautioned: “It is one thing to bring containers to a wharf and another to distribute them to where they need to go – and the solution will not be to put more trucks on the road.”

The independent report confirmed the substantial economic benefits of the channel deepening project.

Dr Nagel said: “The report says channel deepening will save industry $43 million a year starting in 2009 – so there is no doubt the economies of scale offered by larger ships will be of enormous economic benefit.”

“We need to make sure the efficiency gains in the port are not lost due to inefficiencies in the transport and logistics industry. We need supporting logistics infrastructure in place as this is central to ensure Melbourne and Victoria’s strong economic performance.”

“Melbourne's west is ideally positioned to attract major global players in logistics – who can bring their expertise to help grow our economy and secure more jobs.”

“This is why the Institute of Logistics and Supply Chain Management’s recently developed concept for a National Logistics City for western Melbourne is so important.”

“It is predicted that the net national benefit that deepening the channels will bring is $2.2 billion over 30 years. Our research showed that making Melbourne’s west a ‘National Logistics City’ could generate an economic contribution in excess of $2 billion per year – making the concept as critical as channel deepening in terms of its role within the Australian national economy.”

“The combination of both these projects has the potential to deliver enormous economic benefits.”

Dr Nagel is available for interview mobile: 0412 505 849

Media Contact: Andy Gash, Snr. Media Officer,
Marketing & Communications Department, Victoria University
Ph: 03-9919 4950; mobile: 0411 255900