‘We need a national infrastructure strategy’: Holgate

Team Global Express chief Christine Holgate says ‘we must fight for the postal system’, telling The Australian’s Global Food Forum regional areas are under threat.

Team Global Express chief executive Christine Holgate has called for a national infrastructure strategy to plug vulnerabilities in the country’s supply chains.

She also said regional areas are “under threat” as banks and other companies close branches and withdraw other services from small communities.

Ms Holgate, former chief executive of Australia Post, issued a rallying cry at The Australian’s Global Food Forum, saying “don’t let your post office die”.

“Small business still works on cash. It kills small business when a community loses the bank or a post office having the ability to do financial services. Don’t forget that a large part of our GDP is generated from outside metro areas – I think it’s 42 per cent,” Ms Holgate said.

“Post offices actually represent over 60 per cent of communities that have now lost a bank branch. But community post services need more help to survive.

“We must fight for the postal system. They’re owned by mums and dads by the way – on average they require $1m of debt to take on a post office … so don’t let your local post office die.

Welcoming guests to the forum, The Australian Editor in Chief Michelle Gunn said it was an opportunity to strategise for future challenges.

“We know that the trends are in our favour with a growing global population that will have increasing demand for secure food produced sustainably as possible,” she said.

“The opportunities are just enormous. And that’s why forums like today are so important to allow everyone in this room to share knowledge, experiences and strategies to help the sector thrive.”

The Australian editor-in-chief Michelle Gunn welcomes guests to the Global Food Forum. Picture: Arsineh Houspian

Ms Holgate’s comments come as her successor at Australia Post, Paul Graham, last month revealed a plan – still subject to approval by the Albanese government – that could include closing more suburban post offices, laying off some 400 staff this financial year, and amending the government imposed service obligation that mail needs to be delivered every working day.

But a report by Lateral Economics commissioned by Team Global Express found if Australia Post granted ­access to third parties to its last mile infrastructure it could deliver $1.5bn in economic benefits and create 2000 new jobs. A third of the benefit – or just over $500m – would go directly to Australian households through a reduction in delivery costs over 10 years.

“The regions are definitely missing out,” Ms Holgate told the forum. “And missing out on various, different levels.”

Ms Holgate was speaking after Visy executive chairman Anthony Pratt told the forum that food production was Australia’s biggest industry, accounting for the majority of the nation’s manufacturing sector, employing 600,000 people.

“Congratulations to our farmers and food producers and The Australian for shining a media spotlight on the food industry,” Mr Pratt said.

Visy executive chairman Anthony Pratt addresses the forum. Picture: Arsineh Houspian

Ms Holgate also told the forum that she had to personally intervene to ensure Townsville had alcohol on New Year’s Eve during Queensland’s devastating floods.

“It was not this year but the year gone and all the rail tracks were flooded. Adelaide was badly flooded and Queensland was flooded,” Ms Holgate said.

“I had a major grocery store call me and say ‘hey Christine, there’s no alcohol in Townsville and it’s New Year’s Eve, so if you don’t get some here, we’re going to have riots’. I said I could put it on a plane this afternoon.

“And that’s why it’s important that we actually need a national infrastructure strategy for the county … because we probably recognise that a once in 100-year storm might come more regularly.”

Ms Holgate also said she was “very bullish about the future” despite the number of challenges companies have faced during and post Covid-19.

The 2023 Global Food Forum

“One of the big things is shortages of labour, and who knew Ukraine made semiconductors? We’ve had a few things thrown at us,” she told The Australian’s Global Food Forum.

“You have to rethink things because there has been so much change and disturbance going on. You have to keep planning and keep planning differently.

We need a national infrastructure strategy for the country. We have to recognise the 100-year storm might come more regularly.”

Also at the forum, GrainCorp CEO Robert Spurway said his company had learned the “importance of managing the supply chain.

“Rail is really important for a number of reasons.” Apart from scale that can be moved, Mr Spurway pointed to the environmental benefits of rail over road.