Industry Analysis & Industry Trends
The Rail Freight Transport industry has expanded over the past five years due to increased downstream demand from miners as coal and iron ore export volumes have risen. Industry profitability is strongest when heavy commodities are carried over long distances. Long-distance travel presents rail transport with a strong advantage in economies of scale and fuel efficiency. The bulk freight segment has strengthened over the past five years, as the Mining division increased output to offset declining prices for mined products and falls in investment. Industry revenue is forecast to rise at an annualised 2.1% over the five years through 2016-17, to reach $8.0 billion... purchase to read more
Industry Report - Industry Analysis Chapter
The Rail Freight Transport industry primarily moves large quantities of heavy products over long distances. Bulk freight services usually transport homogeneous products such as coal, iron ore or grain. The industry also carries non-bulk freight, such as containerised goods, although this segment faces strong competition from road freight operators. Over the past five years, bulk freight services have grown strongly, dominating the industry due to significant economies of scale and the prevalence of direct routes to ports.
Over the five years through 2016-17, industry revenue is forecast to grow at an annualised 2.1%. This solid growth reflects increasing demand from the Mining division for bulk freight rail transport services over the past five years... purchase to read more