By Geoff Easdown
THOUSANDS of businesses have shut their doors across Queensland as losses from the worst floods in 100 years rise as fast as the state’s swollen rivers.
Last night it was estimated that 3500 businesses were either closed or planning to shut their doors.
Queensland Treasurer Andrew Fisher says the damages bill will run to billions of dollars. “The bill is going to start with a ‘B’ and not an ‘M’,” Mr Fisher said yesterday.
Reserve Bank board member Warwick McKibbon said the disaster could cut economic growth by as much as 1 per cent or $13 billion over the next year.
Queensland produces about 80 per cent of Australia’s coal exports, accounting for around a fifth of the nation’s earnings.
Analysts say the next big flood test will come within 24 hours when the heavily swollen Brisbane River reaches an expected flood peak of 5.5m.
Yesterday large parts of the CBD were deserted and 70,000 shops, businesses and homes were without electricity.
All commerce and shipping through the Port of Brisbane has stopped and 107 roads have been closed across the wider metropolitan area.
Coal mines, the state’s biggest source of revenue, have been inundated and are either closed or operating below normal capacity.
Last night 132 coal ships lay at anchor in a 32km line off the ports of Mackay and Gladstone.
GFT Forex currency researcher Kathy Lien said that once the economy snaps back from “the catastrophe it will come back strongly”. “For the time being, the Reserve Bank will not be able to raise interest rates,” she said.
But it will be weeks before the full extent of the private, commercial and government losses can be calculated.
Crane hire and operator Boom Logistics had closed two of its Queensland sites, Virgin Blue evacuated its headquarters in Brisbane and paint manufacturer DuluxGroup closed its plant at Rocklea.
Rail operators Pacific National and Asciano admitted their coal revenues will be affected.
All rail lines to Gladstone remain cut and the number of freight trains supplying Port Dalrymple at Mackay has been trimmed, delaying $27 million in shipments.
The state’s main North Coast rail line, linking Brisbane and Cairns, is also closed.
Shares in the Reject Shop were suspended after its distribution centre at Ipswich flooded, while Linfox has 150 trucks stranded.
JB Hi-Fi has shut 12 of its 32 Queensland stores, while Leighton has stopped work on the $4.1 billion Airport Link.
Rivals Coles and Woolworths have joined forces to supply damaged supermarkets.
Coal and cotton are also tipped to reach near-record prices due to shortages.
The affect on beef exports, another of the state’s major industry, has been limited and actual stock losses will not be known until mustering starts once the waters recede.
Source: www.heraldsun.com.au
