SouthernLad, I am not an expert so take my musings with a large...

SouthernLad, I am not an expert so take my musings with a large helping of salt. DYOR.

However in its latest results the Lindsay Rural division seemed to be doing OK, LIndsay Fresh Logistics incurred a loss of A$8.5 million if my maths was correct, which was displeasing, but the standout great performer was the rail division where LAU has been sinking capital.

I gather it purchases secondhand 12.2 metre or similar containers (i.e. the large ones) that are 'reefers' (refrigerated), may refurbish if needed and then applies its colourful, distinctive livery.

The CEO said at the last meeting LAU was typically railing 400 containers a month to Perth (principally I would believe from Melbourne, but some from Parkes NSW, Sydney or even Brisbane) and 100 a month Melbourne - Brisbane. He commented it had recently won more contracts.

These containers are conveyed on Pacific National intermodal trains that can be double stacked (i.e. one container on top of another) between Adelaide or Parkes and Perth (and also on OneRail Australia Adelaide - Darwin intermodal trains) but not Sydney or Melbourne - Perth. Nor is double stacking possible yet Melbourne to Brisbane. Too many tunnels and low bridges.

I have viewed up to 16 of these containers on a Melbourne to Perth or v.v. train. Perth and WA supermarkets and other businesses are more supplied from Melbourne than Sydney: there's more manufacturing of foodstuffs, it seems, in the southern capital.

You may have noted LAU appointed a gent who had extensive rail experience (including with Queensland Rail) to its Board within the last year, and there was a little publicised silent coup thanks to a large Brisbane-based individual shareholder whose name starts with 'M'.

Thankfully there's more space on international passenger aircraft departing Australia than was the case for much of the last 26 months so that may assist Lindsay Fresh.

The road transport division "may" also be having trouble obtaining sufficient longhaul drivers. With lower immigration, there allegedly just isn't the pool of people who want to do this that used to be the case, and quite a few drivers (including for LAU's road competitors) would be retiring each year.

In contrast, driving freight trains (a highly specialised task as they can be 4000 - 5000 tonnes gross on the national standard gauge network depending on the operator and loading) is better paid, but there are also usually vacancies to fill. Thankfully surburban or country train passenger drivers can in theory move across and some then come to enjoy the work.