Logistics in Australia: A Preliminary Analysis

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This paper presents the results of preliminary BTE work on logistics in Australia. It draws on the BTE's experience and expertise in the transport sector, and also incorporates information on logistics from sources such as a literature review. The performance of the logistics system has a major impact on cost structures, revenues, service quality, and competitiveness in Australian industry. Logistics activities have been evolving rapidly in response to changes such as globalisation, general industry restructuring, new production processes, and technological advances. Many firms, government agencies and joint industry/government bodies are developing programs to improve logistics performance in Australia. The initiatives include the Freight Transport Logistics Industry Action Agenda. This paper develops a broad framework for analysing logistics activities. It also examines three priority issues identified by the Secretariat for the development of the Action Agenda the economic significance of logistics in Australia, the extent of integration, and the dimensions of a full economic study.