Transport costs will flatten farmers

AUSTRALIA – Sometime this morning, shortly after Transport Minister Peter Batchelor sits down at his desk, he will have to decide whether the Bracks Government will be supporting the National Transport Commission’s recommendations to increase the cost of road transport in Victoria.

To many industry observers, the right choice is obvious. Reject the recommendations, instruct the NTC to conduct another review, and inject some real-world practicality into the policy formulation process.

Unfortunately, like all revenue-raising proposals, the decision has become far more complicated due to benefits to the budget bottom line (read election war chest).

The advice the farm community has for the minister is simple. Only a government that is out of touch with rural voters would increase the cost of road transport at a time when fuel prices are at record highs. Any move to do so, would increase the cost of our goods and services and penalise small farms, which are heavily reliant on a competitive road transport sector.

The Age