CBH Operations adds extra 600k shipping capacity
CBH Operations is pleased to announce that as a result of improved supply chain performance, an additional 600,000 tonnes of shipping capacity will be released for the Kwinana zone at 10am AWST Wednesday 26 October 2022.
The additional capacity brings the total FY23 shipping capacity to 17 million tonnes (plus 10 per cent tolerance), which is more than last year’s 16.3 million tonnes (plus 10 per cent tolerance).
Chief Operations Officer, Mick Daw said that the team had been working hard to improve the road and rail performance, in order to add the additional capacity, particularly in the Kwinana zone.
“Our road performance has remained strong over the past couple of months, and pleasingly, our rail performance has continued to improve over the past six weeks.”
“Our rail provider, Aurizon, has started to get some good consistent tonnes to port, which has given us the confidence to consistently increase the shipping capacity offered to the market.”
“The market is obviously really keen to get as much capacity as they can with current conditions and demand, so this is a fantastic outcome from the CBH team, our road and rail contractors and growers who have helped to achieve this,” said Mr Daw.
In addition to the extra shipping capacity, the carry-over position has also continued to decrease.
“Due to the team’s continuous efforts and the soft start to harvest, we have managed to reduce the carry position to less than 3.5 million tonnes, and this figure is expected to continue to decrease over the coming weeks,” Mr Daw added.
The additional capacity will be released in one instance and spread across several tranches over the shipping season, with marketers able to participate for this release through the First in First Serve (FIFS) release.
Improved supply chain performance in FY2022
In a year that severely disrupted supply chains around the world, we continued to receive and outturn our largest – but also one of our safest – harvests on record. This was a momentous task and reflects the resilience, adaptability and unwavering commitment of our people.
Between 1 October 2021 and 30 September 2022, CBH Operations delivered a record 18.1 million tonnes to customers, with 16.7 million tonnes exported, 1.0 million tonnes to domestic markets, and 0.4 million tonnes exported by containers. These figures surpass the previous annual shipping record set in 2016/17 by 11 per cent and the previous domestic outturn record set in 2007/08 by 8 per cent.
In setting that export record, the Albany, Esperance and Geraldton zones each shipped more than ever before, with Kwinana within 3 per cent of the 2016/17 record.
These achievements have been supported by exceptional performance by our road contractors throughout the year. As well as moving a record 7.2 million tonnes of grain directly to our ports, our road contractors have moved another three million tonnes to support rail transport and to prepare our sites to receive the incoming crop.
This is evidence of the culmination of the logistics road strategy that has come together and been made possible by the fantastic efforts of our road contractors and grower subcontractors.
Notwithstanding the challenges encountered via the rail transition and COVID-19, we also moved a record 8.4 million tonnes on rail, a 0.1 per cent increase from the previous record set in 2016/17.