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on western border crossings. This year, transportation volume increased month by month, but in general, it is smaller than in previous years. In January-September, UZ transported 38.3 million tons of cargo, which is 16.6% less than in the same period last year. In September, 3.6 million tons were transported for export, 31.2% less than in September 2022 and 9% more than in August 2023. Of 19 existing railway crossings with EU countries and Moldova, only 14 are operating.
● Ships
Ukrainian farmers complain about idle ships in Odesa ports, and the budget loses ₴500M daily because of this. The delay of ships in ports causes colossal losses for Ukrainian farmers and the country's budget, the Ukrainian Grain Association emphasizes. Each day of delay for ships loaded with grain in ports results in losses of $1-1.5 per ton of product.
Kyiv has regained control over trade in its Black Sea ports. Despite Russian threats, a steady stream of ships is transporting grain and metals from Ukraine a month after the first vessel passed through a new shipping corridor in the Black Sea. According to Bloomberg, 32 ships that have sailed into Ukrainian ports since September 16 had a total load of about 1.4 million tons. That's roughly the same as the corridor established with support from the UN and Turkey carried in its first month of operation, but still only a third of the volume that traveled the route when it was at its most efficient. Ukraine created a temporary route from the Odesa ports after Russia withdrew from the Safe Corridor agreement in July. Initially, ship owners were wary of operating on this route, as the Russian Federation threatened to target any vessels bound for Ukraine as potentially carrying weapons. As the publication notes, although the number of vessels is increasing, the risks still remain.
Ukrainian ports have lost 40% of their export potential due to Russian attacks. Since the withdrawal from the grain agreement, the Russian Federation has carried out 17 attacks, which led to a 40% decrease in the export potential of the ports, Minister of Infrastructure Oleksandr Kubrakov said. Almost 300,000 tons of grain were destroyed in these attacks. Despite all this, Ukraine created an opportunity to operate a temporary corridor for civilian vessels. Since its establishment, 21 ships have already used this corridor, and 25 ships have entered the ports for loading. “We continue to work on expanding the corridor, and this is our responsibility for the world's food security," the minister said. If Russia had not restrained the grain corridor, Ukraine could have exported at least 57 million tons of grain instead of the 33 million tons it was able to export. In response to this, the Ukrainian government allowed the Sea Port Administration to lower its contribution to the state budget in the second half of 2023 by up to 30%, with the condition that it must direct 50% of its net profit to repair port infrastructure during 2023-2025.
A US special representative in Kyiv announces $700M in aid to modernize Ukrainian ports and railways. "The US plans to provide $700M to modernize Ukrainian checkpoints, ports, and railways to improve logistics and increase export capacity," said Minister of Infrastructure Oleksandr Kubrakov after a meeting with US Special Representative Penny Pritzker. As the minister clarified, during the meeting, they also discussed investment in Ukraine’s energy network restoration, which was severely damaged at the end of 2022 and the beginning of 2023 by Russian shelling. Ukraine also needs money to restore water supply and sewerage, for demining, and to develop the
80 UKRAINE Country Report November 2023 www.intellinews.com