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Air Freight Handling Services (AFHS) in Cairns and Wagner Group Holdings in Toowoomba will each submit a business case for a possible multimillion-dollar agricultural export distribution centre in Australia’s north-eastern state of Queensland

After progressing through the Regional Export Distribution Centre Pilot expression of interest process, the AFHS and Wagner Group Holdings have received funding to submit a business case in competition for the export centre funding.

The centre will support Queensland’s A$20bn agricultural industry and has been supported by the state government, which has committed A$10m toward its construction.

The state government of Queensland said the centre aims to boost rapid access to international markets for producers.

“This type of facility has the potential to help our primary producers access key international markets, while supporting regional jobs and enhancing agricultural productivity,” said Cameron Dick, minister for state development, manufacturing, infrastructure and planning.

The proposed centre will be pitched for construction in Cairns at Cairns Airport, and in Toowomba at Toowomba Wellcamp Airport.

A final decision on the outcome of the process and the location of the regional export distribution hub will be made later this year.