North-west Victorian grain and pulse growers say the success of the multi-million upgrade of the Ouyen to Murrayville rail line will depend on the price they get for their crops.
Work has started on re-sleepering the line, which is part of the Murray Basin Rail Project.
The upgrade is taking place three years after the 109-kilometre line was reopened, after being converted to standard gauge.
But growers in the area say an increasing volume of grain and pulses from the region is going by road into South Australia, rather than by rail to the ports at Melbourne and Geelong.
Jamie Latta, Walpeup, said he had "pretty much given up on the whole job".
"It's been a monumental, disgraceful waste of money, until now," Mr Latta said.
"If they are able to bring it up to scratch and provide freight services that are competitive with road, that's a good thing for local industry.
"But we store most of our own grain and run our own trucks."
He grows wheat, barley, canola, and lentils halfway between the Ouyen and Underbool grain receival sites.
"There are lots of advantages with having your own storage and freight capabilities; there's lots of that going on now.
"It's just a reflection of the unviability of the rail system."
Ken Heintze, Murrayville, grows wheat, barley and lupins for sheep feed and said while GrainCorp was not paying competitive prices, farmers would bypass its recieval site in the town.
He said although GrainCorp's prices had improved recently, grain was largely going to Pinnaroo, SA.
If more grain went to the Murrayville site, it would be well worth upgrading the line.
"But I don't want to talk it down, because it's beneficial to families who work there," Mr Heintze said.
"It's not looking too good at the moment because GrainCorp won't pay the right amount of money - when it's $20 a tonne less here, that's just not helpful at all."
Crop grower Robert McKee, Murrayville, said he preferred to send grain by rail.
He said there was no rail service from Pinaroo to Tailem Bend, SA, and "that road is falling to bits, big time.
The line to Pinaroo was closed in 2015, with all grain from the Viterra site there going by road.
"It was a pretty short-sighted approach on South Australia's behalf," Mr McKee said.
"Rail is the way to go; I would have thought it was more efficient, and it just saves our roads.
"It's probably a $20 a tonne cheaper, in freight costs, to go to Adelaide and the price is $10-13/tonne better in Pinnaroo, than it is in Murrayville."
"There hasn't been a lot of traffic on that line - it seems to be that half the time it's getting fixed up."
The concerns come as state Parliament has been told it's been a century since a Federal Royal Commission recommended standardising the country's rail gauges.
Derryn Hinch's Justice Party Upper House MP Tanya Maxwell noted the commission inquired into the unification of the country's rail network.
"Frustratingly, the Murray Basin Rail Project sits stalled and with a review in 2020 that remains heavily redacted and $5 million needed to update the business case and reset the project," Ms Maxwell said.
"Ironically, or perhaps despairingly, it is now 100 years since the 1921 Royal Commission into rail gauges."
Rail Futures Institute president John Hearsch said the organisation's main concern was the government's failure to complete the MBRP to its original scope.
That had resulted in a less efficient rail freight service and had increased road traffic.
"This is due to increased costs and transit time for trains from the Merbein/Mildura line and the Murrayville line having to travel an extra 129km via Ararat to get to the ports of Geelong or Melbourne - the exact opposite of the intent of the project," Mr Hearsch said.
"To compound the issue, as we understand it, part of the additional expenditure is to replace the rail on the Ararat to Maryborough line with new heavier rail.
"While this will provide a benefit by way of increased speeds and axle loads, it will only marginally offset the cost of 129km of extended running which looks to be locked in for the indefinite future."
It would have been better to use the funding to provide direct standard gauge access from Maryborough to Ballarat and Gheringhap.
Regional Rail Revival director Mark Havryluk said key upgrades to the line would benefit farmers and local industry.
"These works will make the line a more reliable option for local producers, removing the heat restrictions and most of the speed restrictions which have limited use of the line," Mr Havryluk said.
"These upgrades are part of the broader work we are completing across the Murray Basin network, aimed at increasing capacity and reducing journey times for rail freight."
Re-sleepering, ballast installation and track adjustment would increase speeds from 25km/h to 40 km/h for the majority of the line and prevent the line from closing when temperatures reach 33 degrees.
Works on the Ouyen to Murrayville line are targeted for completion in mid-2022.
Andrew Miller
I'm a general reporter with Stock & Land, with a special interest in irrigation issues. I completed my cadetship, with the Age, in 1980. Over my career, I've worked for ABC radio news (Mt Isa, Qld) and at provincial and suburban newspapers.
I'm a general reporter with Stock & Land, with a special interest in irrigation issues. I completed my cadetship, with the Age, in 1980. Over my career, I've worked for ABC radio news (Mt Isa, Qld) and at provincial and suburban newspapers.
