The Victorian Transport Association (VTA) has announced a major $37.7 million will go toward Dairy Supply Chain Road Upgrades to key freight routes in Victoria’s southwest.
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Jointly funded by the Commonwealth and Victorian governments, the works will provide a vital boost to productivity, regional industry growth and long-term freight network sustainability.
The upgrades plan to improve six kilometres of priority freight corridors across Cobden–Stonyford Road, Bullaharre and sections of the Princes Highway West at Pirron Yallock.
These works include new road surfaces, enhanced safety barriers, and improved signage and line marking — upgrades specifically designed to improve efficiency and support safer, more reliable freight movement.
These corridors underpin Australia’s largest dairy production area, where 392,000 cows produce more than 2.05 billion litres of milk annually across over 1,000 farms, and provide essential access for the dairy, timber and agricultural sectors that rely on dependable freight links to national and international markets.
VTA CEO Peter Anderson says the continued commitment of both levels of government to upgrading key freight corridors is essential for supporting Victoria’s growing freight task.
“Infrastructure investment is one of the most powerful tools we have for lifting productivity, improving safety and reducing emissions across the freight industry,” he says.
“For operators, better-designed and better-maintained roads directly translate into lower operating costs, fewer delays, and safer journeys. These upgrades will make an immediate difference to transport businesses in the southwest, and a long-term difference to the competitiveness of Victoria’s primary industries.”
Anderson says targeted works like those announced this week highlight the value of investment that goes beyond routine maintenance.
“Basic maintenance keeps our system functioning, but renewal and rebuilding projects like these are what future-proof the network. With freight volumes continuing to grow, especially in regions like the southwest, we simply cannot rely on ageing infrastructure to carry tomorrow’s freight load,” he said.
“This investment demonstrates a clear recognition of the role freight plays in supporting Victorian communities and industries,” Mr Anderson said.
“A strong transport system is the backbone of a strong economy, and these works are essential to ensuring operators remain productive, competitive and sustainable for decades to come.”
The VTA will continue to advocate for long-term, coordinated infrastructure planning across both road and rail networks to support Victoria’s future freight needs.
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