14 February 2025 Aus & New Zealand

DP World and NSW Ports Invest A$400 Million to Expand Rail Capacity at Sydney’s Port Botany

  • Improved facility will more than double capacity to handle up to 1 million TEUs per annum.
  • The major investment enhances Sydney’s status as a key hub for trans-Pacific trade.

DP World and NSW Ports are co-investing A$400 million to extend the rail terminal at Port Botany in Sydney, transforming its logistics capability and reinforcing the city’s position as a vital gateway for international trade.

NSW Ports is contributing A$148 million towards the new facility, which will service both the Container Terminal and the Logistics Park—one of Australia’s best examples of the global trend of locating major logistics facilities close to arterial ports. The project, set to commence on-site in June and take two years to complete, includes the addition of five new rail sidings to accommodate 600-metre-long regional trains.

Nicolaj Noes, Executive Vice President, Oceania, DP World, said: "Our investment in this new port-centric logistics infrastructure will deliver increased capacity, superior agility, seamless process integration, enhanced productivity, and greater reliability. We are eager for our current and future customers to experience the benefits of this world-class facility, which accelerates the shift of freight from road to rail while simultaneously reducing carbon emissions and improving Sydney’s air quality."

Marika Calfas, CEO of NSW Ports, said: "This collaboration with DP World to develop a new, enhanced rail terminal continues the expansion of on-dock rail capacity at Port Botany to support the state’s import and export trade. This new rail terminal will enable more containers to be transported by rail, reducing the growth of trucks on roads and improving efficiency within New South Wales’ container supply chains. Port Botany is uniquely the only port in Australia with on-dock rail within each container terminal, connected to an extensive network of metropolitan and regional intermodal terminals, including via dedicated freight rail."

The investment at Port Botany is the latest example of DP World expanding its rail capabilities across multiple continents as it extends its reach within the global supply chain. DP World’s customers benefit from intermodal rail services linking its operations across Europe, North America, South America, Africa, India, and the Middle East, with the first-ever freight train between Abu Dhabi and its Jebel Ali flagship in Dubai set to launch soon.

Key Benefits

  • Enhanced Capacity: Annual rail capacity at DP World’s terminal will more than double, increasing from 400,000 TEUs to 1 million TEUs.
  • Environmental Impact: A reduction in truck movements and carbon emissions, supporting Sydney’s sustainability objectives.
  • Economic Growth: Improved logistics efficiency will drive growth across key sectors including agriculture, manufacturing, construction, retail, and e-commerce, while supporting sustainable job creation across New South Wales.

Port Botany is New South Wales’ primary container port and hosts Australia’s largest common-user bulk liquids facility. Handling 2.8 million TEUs annually, it contributes A$10.7 billion to New South Wales’ Gross State Product each year. It is the only port in Australia with on-dock rail at all three of its container terminals and is directly connected, including via dedicated freight rail, to a network of metropolitan and regional intermodal terminals.

Within the port, DP World operates the 20-hectare Sydney Logistics Park, the largest in the city, with a capacity exceeding 18,500 TEUs. It offers a range of services, including warehousing, bonded storage, quarantine activities, reefer monitoring and storage, as well as container maintenance and repair.

Further inland, DP World partners with Stockland to operate a contract logistics hub at Yennora Intermodal Terminal, one of the largest logistics facilities in the Southern Hemisphere. Earlier this year, DP World announced the launch of a new rail service at the terminal, enabling it to offer a fully integrated supply chain service for its customers.

These rail upgrades build on DP World’s global intermodal expertise, spanning Europe, North America, South America, Africa, India, and the Middle East. This includes successful initiatives such as the ASEAN Express in Asia and expanded rail services in the UK.

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