PERTH, AUSTRALIA — CBH Group is significantly expanding its rail fleet with an agreement to acquire 200 standard-gauge and 450 narrow-gauge grain hopper wagons from China-based CRRC Meishan.

The grain wagon purchase is part of the cooperative’s Path to 2033 strategy focused on incrementally increasing monthly export capacity to reach a peak of 3 million tonnes by 2033, or sooner. The strategy is aligned with the goal of being able to safely receive an average 22-million-tonne crop by 2033 and outturn 70% of this in the first half of the shipping window.

CRRC Meishan is one of China’s leading manufacturers of quality rail equipment, specializing in the building and distribution of rail cars and grain hopper wagons worldwide. The wagons will be delivered to CBH in seven tranches, beginning in the September quarter of 2024, with the last tranche expected to be supplied and accepted by the June quarter of 2025.

“We are pleased to partner with CRRC Meishan, which is recognized internationally as a global leader in the design, manufacture and supply of quality grain hopper wagons,” said Ben Macnamara, chief executive officer of CBH. “Our rail fleet is a key asset for the cooperative and expanding our existing train sets is a strategic priority that is critical for us to achieve CBH’s Path to 2033 strategy that aims to lift our monthly export capacity to 3 million tonnes by 2033 or sooner.”

CBH opened three competitive request for proposals (RFP) in 2022 for the purchase of standard-gauge locomotives, narrow-gauge locomotives and wagons to expand and strengthen its current rail fleet, which consists of 25 locomotives and 572 wagons. In December 2022, CBH entered into an agreement to purchase a further seven standard-gauge locomotives.

“Expanding our wagon rolling stock, in conjunction with the expansion of our standard-gauge and narrow-gauge locomotive fleets, is a significant step to improve our outloading capability,” Macnamara said. “By investing in our supply chain network, we are ensuring we can deliver tonnes to customers when needed and therefore return sustained value to Western Australian growers.”