Growing freight sector facing troubles

Australia's high-demand freight industry is facing mounting challenges.

Growing urban congestion is one of the problems highlighted by the Australian Logistics Council in its landmark economic report into the multi-billion dollar sector released on Monday.

In 2011-12 domestic freight totalled almost 600 billion tonne kilometres and volumes are projected to double by 2030 and nearly triple by 2050.

The council argues for the increased use of rail transport rather than putting more trucks on the road.

Council managing director Michael Kilgariff said the freight sector needs greater certainty through planning.

"Put aside sectional and regional interests and focus on improving national supply chain efficiency for the greater national good," Mr Kilgariff said.

Freight should be considered part of urban planning and government must tap greater amounts of private sector capital to fund public infrastructure including railways and roads, the council outlined.