Page 46 - UKRRptAug21

9.1.3 Transport sector news
● Planes
Air passengers in Ukraine have returned to half the level of 2019, reports the State Aviation Service. During the first half of this year, all of Ukraine’s airports handled 5.5 million people, 51% the 10.7 million handled in January-June 2019. So far this year, 90% of passengers are flying international.
● Trains
Ukraine’s Infrastructure Ministry published on July 5 a draft resolution to increase freight railway rates for certain cargo types, with the aim to increase the revenue of Ukrainian Railwayspercentageby UAH1.78bn in 2020 and UAH10.09bn in 2022. Among the most remarkable changes, the ministry is going to increase the rates for the transportation of 1st class goods (iron ore, coal, cement, mineral fertilizers) by 8% from September and 20.4% from January, and 2nd class of goods (grains) by 8% from September and 6.5% from January. Recall, according to Ukrainian Railways’ financial plan, the company sees revenue from freight transportation at UAH72.09bn in 2021, which is 10.8% more than UAH65.02bn reported in 2020, - mostly due to the increase of freight rates (as cargo volumes were expected to increase by just 1.7% y/y).
The number of trains on the main China-Europe crossing in Kazakhstan rose by 41% in the first half of 2021, compared to the same six months last year, reports Xinhua. So far this year, 3,033 freight trains passed through the Alashankou-Dostyk border crossing. The volume of goods increased by 56%, to 2.3mn tons. Increasingly, the trains return east filled with cars, timber and mineral ores. Ukrzaliznytsia is now working to increase its share of this transit trade, targeting trains destined for Austria, Hungary and the Balkans.
Ukrzaliznytsia has restored 80% of the passenger trains that ran in the summer of 2019. Last month, long distance passenger traffic was 63% of the level of June 2019. During the first half of this year, UZ carried 9.5mn passengers on long distance routes, almost half the level of 2019, says Ivan Yuryk, acting CEO of the state railroad.
● Ships
Ukraine’s seaports handled 16.7% less cargo in the first half of this year
than during the same period last year. Of the 66mn tons, ore accounted for 19mn tons – down 16% -- and grain was 17mn tons – down 27.6%. Overall export cargo was 50.4mn tons – down 16.4%. Despite the volume drops, high commodity prices pushed Ukraine’s export earnings up 30%, to $30bn, according to the State Customs Service.
Aiming for a 10-fold increase in Ukrainian cargo through Lithuania’s Baltic port of Klaipeda, Ukraine and Lithuania agreed on July 8 to promote “a single railway route between the Black Sea and Baltic regions.” Starting in September, a regular, dedicated freight train it to carry containers and semi-trailers on the 1.5-day trip between Odesa and Klaipeda, Ukraine’s Infrastructure Ministry reports on Facebook. After a meeting in
46 UKRAINE Country Report August 2021 www.intellinews.com