THE Bligh Government has performed a major backflip, bowing to industry and union pressure, in vowing not to cut vital cattle rail services in Queensland.
The embarrassing backdown follows an angry reaction from graziers, meatworks, unions, the Queensland Conservation Council and the LNP to reports of planned rail cutbacks.
After weeks of speculation about the future of cattle rail services, Transport Minister Rachel Nolan confirmed on Monday that cattle train services would continue. Queensland was the only State still hauling cattle by rail, she said, and the Government understood the importance of these services.
"I have met with AgForce twice, as well as industry representatives and QR. A joint process is under way with AgForce to find solutions to the unique challenges of the cattle industry," Ms Nolan said.
"Only about 10 percent of Queensland stock movements are by rail, but we know these services are needed, especially to move cattle from saleyards to abattoirs. That's why we are working hard with industry to ensure they will continue," she said.
"It's also why we provide a $25 million a year implicit subsidy to the meat industry via the loss QR makes on these services."
The commitment, however, was tempered by a clear message that industry will still be required to find solutions to the problems created by variable demand for cattle rail services.
QR had several fixed costs such as locomotives and wagons and limited train paths, whereas demand from the meat industry for those services varied according to climate and market demand.
"Finding a balance between high fixed costs and variable demand is the challenge on which we are working with Agforce and industry," Ms Nolan said. "But that doesn't just mean cutting services - it means working together to find a solution for the future.
"I understand industry is concerned about recent temporary service disruptions affecting supply to south east Queensland abattoirs - especially out of the south west. "I have taken this on board and I am raising it with QR."
LNP Member for Gregory, Vaughan Johnson, said the assurance that services would not be axed was a positive start.
"What we need to do now is ensure cattle trains continue in a far better organised and coordinated way," Mr Johnson said.
Mr Johnson was to join south-western mayors Cr Mark O'Brien from Murweh Shire and Cr David Edwards from Quilpie Shire today to meet with Ms Minister Nolan to discuss the future of cattle train services.
Mr Johnson said they would be explaining the complexity of the situation and the need for the minister and her Government to maintain and indeed upgrade rail services to support cattle producers and meatworkers and their families.
"All sectors of our cattle industry are united that rail services must continue and not just for western stations - as meat processing leaders have outlined, thousands of jobs are underpinned by the regular, reliable delivery of cattle to works.
"Unless these vital rail services are maintained as many as 1200 jobs will be lost to southern works and to live exports," Mr Johnson said.