N. Canty transport efficiency claimed

Press, 9 August 1985, Page 12

N. Canty transport efficiency claimed

Rural road transport services in North Canterbury will be more efficient as a result of the move by transport (North Canterbury) Holdings Ltd to acquire Service Transport Ltd, according to T.N.C.’s chief executive, Mr Gary Bannan. He wanted the North Canterbury community to realise the reasons for the takeovers, and the likely benefits to stem from the reorganisation of transport resources.

“Current working conditions in the rural transport sector have forced both companies to take a long hard look at their operations and the economics," he said.

“In particular, rising costs such as road user charges, fuel, tyres, oil and capital replacement require companies such as T.N.C. to operate efficiently, or go to the wall.

“When you add to this the downturn in farmers’ incomes and the removal of many agricultural subsidies, the necessity to avoid duplication and economise becomes paramount to survival.”

Mr Bannan said the reorganisation of the two companies’ activities would result in a stronger and more effective transport service to all parts of the region.

A strong and healthy rural infrastructure depended on efficient, reliable transport services. “T.N.C. has always strived to achieve this, and the latest move will give the company extra assets, management skills and vehicles with which to maintain a high standard of service at competitive rates.

About 50 vehicles will be added to the T.N.C. fleet, with a 25 per cent increase in the larger company's staff.