You are here

TasPorts – Future Export Values

Cassy O'Connor MP  -  Tuesday, 8 December 2020

Tags: TasPorts, Exports, China

Ms O'CONNOR - That's an interesting belief, given the nature of the trading relationship with China currently and the likelihood that we ain't seen nothing yet. What's TasPorts' risk management planning around current and potentially more significant drop in export volumes over the next year or two?

Mr DONALD - Our current risk management strategy with respect to interruption of our revenue stream is to maintain a multiple revenue stream process. We have a property portfolio, we maintain a marine services arm of the business, we serve multiple commodities in containers, such as forestry and bulk minerals and we own and operate Devonport airport. Although it's a very challenging period and many economists out there are speculating on what may take place over the months and years ahead, of course we're very interested in that and how effective we will be in mitigating it will depend on how big an impact may transpire.

Ms O'CONNOR - And how much you diversify.

Mr BRADFORD - A practical example is the shock this year of the COVID-19 outbreak and the complete closure of the cruise industry. A $7 million industry went effectively overnight. It will recover. I am not speculating when and what year but it will recover and go back to its previous growth records in the fullness of time. TasPorts is a receiver of demand, not a generator, so some commodities rise, some fall and some new commodities will emerge. I think privately Tasmanian agricultural exports will continue to do well.