Business news from Ukraine

UKRZALIZNYTSIA HEAD EXPECTS EXPORTS OF 45 MLN TONNES OF GRAIN IN 2016/17 AGRI-YEAR

7 October , 2016  

KYIV. Oct 7 (Interfax-Ukraine) – Ukrzaliznytsia has increased the annual wagon repair plan from 19,370 to 29,970, including for securing the growing exports of grain that could be 5 million tonnes a month by all means of transport by the end of this year.

“The anticipated harvest is 83 million tonnes of grain and 45 million tonnes for exports … five million tonnes every year, until the end of the year, the peak months, plus restrictions for transportation by road. There will be grain and there will be problems with its transportation,” Ukrzaliznytsia Board Chairman Wojciech Balczun said on Facebook after a meeting with the largest agricultural producers, grain traders and the American Chamber of Commerce in Ukraine on October 5.

He said that the number of Ukrzaliznytsia’s grain carriers has not decreased, but the last grain carrier was bought by the company in 1993, and applications for transportation of grain have considerably grown.

“I repeat: we are ahead of the grain transportation target. For our part we are doing everything to meet the needs of grain traders. We reduced the turnover of wagons, introduced special procedures for delay of rolling stock, as well as anticipated personal disciplinary responsibility of heads of services, branches and employees of the central office. All unprofessional actions or sabotage will be strictly punished,” Balczun said.

He added that acute problems with fuel, lubricants and locomotives are being settled, but due to the many-year accumulation of problems this year would be heavy.

“We need your support. Do not blame Ukrzaliznytsia that it fails to cope with the situation. We need some time,” he said, addressing the meeting participants.

He said that grain traders asked to support them in dispute with the Infrastructure Ministry asking the ministry to relax the limits for cargo transported by road during the peak period.