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dissatisfaction is related to competition after the liberalization of international transportation between Ukraine and the EU. At the same time, Ukraine is open to negotiations on this issue. As an adviser to the head of the Office of the President Mykhailo Podolyak said, Poland is a crucial transitive partner, through which all necessary supplies flow. The Ukrainian Ambassador to Poland, Vasyl Zvarych, called on Polish carriers to stop blocking the Ukraine border, as they could threaten the corridor of solidarity with the EU.
UZ will receive ₴11B from the budget by the end of the year. Direct budget financing for Ukrainian Railways (UZ) in 2023 will amount to ₴5B, of which ₴3.5B has already been allocated in the first 10 months of the year, and the government provides state guarantees for another ₴6B for loans that the company receives from international financial organizations. These guarantees are for ₴3.9B from the EIB and ₴2.1B from the EBRD. It was clarified that of the ₴3.5B already allocated this year, almost ₴3B is directed to purchasing new passenger cars, particularly the completion of payment for 100 passenger cars ordered in 2021 and 44 cars in 2023. Among them, it is planned to supply nine new reserved carriages. These will be the first reserved carriages of Ukrainian production. Work is also underway on the implementation of international projects aimed at restoring the railway infrastructure: attracting a loan from the EBRD in the amount of up to €200M, a grant from the World Bank for $25M, a loan from France for €37.6M and a grant from Switzerland for CHF14M.
Ukrainian Railways (UZ) plans to raise tariffs for rail freight transportation by approximately 20% from the beginning of 2024, said Volodymyr Husak, general director of the Federation of Transport Employers of Ukraine. Husak notes that since 2022 tariffs have increased by more than 100%. According to the Federation of Transport Employers of Ukraine (FTEU), due to changes in logistics chains and the reorientation of a significant part of cargo flow from ports to western railway crossings, the cost of grain transportation increased by three to five times, and iron ore transportation costs by six times. Also, each increase in railway fares can lead to the closure of some companies. Because of this, the FTEU emphasizes the need for a transparent and open discussion of the results of the management board's 2023 activities and the company's financial plan for 2024.
Logistics by rail is becoming more expensive, increasing the prices of goods. Ukrainian Railways (UZ) established new transportation rates in November, affecting the cost of renting various types of wagons. In particular, the cost of renting grain trucks increased by ₴400 and now amounts to ₴1,000($27) per day, against ₴600 last month. At the same time, semi-trucks, also used to transport grain, can be rented for ₴1,200($33) per day, which is ₴150 less than in October. Tankers intended to transport food products also cost ₴1,200 per day. However, the cost of renting cement trucks converted into grain transport vehicles increased to ₴650 per day, which is ₴100 more than in the previous month. These changes in rental rates will become effective in November and affect costs for companies and enterprises that use UZ wagons to transport their goods.
● Ships
Over 50% of export shipments in 2024 will be carried out by sea. This will be possible if the maritime corridor is fully operational, said Deputy Minister of Infrastructure Yuriy Vaskov. "When the grain initiative was fully operational, 52% (of shipments) went through the ports of Odesa, the remaining 48% -
96 UKRAINE Country Report December 2023 www.intellinews.com