Business news from Ukraine

EU TRANSPORT SYSTEM NOT READY TO TRANSPORT LARGE VOLUMES OF GOODS FROM UKRAINE – OPINION

JSC Ukrzaliznytsia notes a number of problems on the part of the transport system of European countries, which prevent increasing the volume of cargo transportation by rail from Ukraine to Europe.
“The set of technical problems is that the transport system of European countries is not technically ready to transport such large volumes. It needs additional rolling stock: wagons and locomotives,” Deputy Director of the Department of Commercial Work at Ukrzaliznytsia Valeriy Tkachev said at the “Economics of War: May Review and Focus on Infrastructure” conference.
According to him, today Ukrzaliznytsia transports cargo using only 2,000 wagons, or about 130,000 tonnes of cargo per day at the western border crossings, which is approximately equal to 3.8 million tonnes of cargo per month. At the same time, Ukrzaliznytsia’s own capacities allow using 3,422 railcars, or 220,000 tonnes per day.
According to the Ukrainian railway operator, the root of the problem is that the railway infrastructure of Ukraine and Europe is significantly different in gauge. And for the exchange of goods between these two infrastructures, there are only two ways: to reload at the border or to change the wagon bogie. At the same time, Ukrzaliznytsia said that there are not enough transshipment terminals.
“Besides, the most acute problem is the number of wagons on 1,435 mm European gauge track. That is, we, for our part, can transport a much larger volume of cargo, but there is a problem either with a lack of transshipment capacity, or a problem of the availability of European wagons,” Tkachev said.
He also said that there is another technical problem, which is that the infrastructure of European countries has a limited capacity, since it was built for the needs of intra-European transport.
“In Europe, the share of railway transportation of the overall structure of the transport system is 15-35%, while we have 65%. Therefore, the European infrastructure was not initially designed for such large volumes of cargo transportation by rail,” he said.
According to Tkachev, the growth rate of railway transportation is also affected by organizational issues of business, which for many years has been building supply chains towards ports and which now needs to reorient towards border railway crossings.
“Now we have already accumulated 34,000 wagons in the network, which are loaded and are waiting to cross the border,” Tkachev said.
In addition, the presence of a number of red tape procedures at the border, in particular, repetitive procedures of phytosanitary and veterinary control, significantly slows down cargo transportation.
At the same time, the growth in railway transportation continues to recover: according to Tkachev, Ukrzaliznytsia transported 416,000 tonnes of agricultural products in March, and 638,000 tonnes in April. The goal of Ukrzaliznytsia is to reach 1-1.5 million tonnes per month of export of grain products.

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SKYUP AIRLINES PLANS TO TRANSPORT CARGO FROM CHINA TO UKRAINE VIA POLAND, ROMANIA AND MOLDOVA

SkyUp Airlines (Kyiv) is planning to transport large volumes of cargo from China to Ukraine via Poland, Romania and Moldova, and is also developing a concept for transporting cargo from the United States, for which it is necessary to go through a special procedure for obtaining FAA permits.
According to the company’s website, the company is also in dialogue with Southern Airways Express (the USA) regarding the branding of their aircraft in the colors of the Ukrainian flag and is discussing the possibility of creating “sister airlines” that could attract SkyUp employees to work on an outsourcing basis.
According to the airline’s website, in March, SkyUp performed 21 evacuation flights on the Chisinau-Tel Aviv route and transported 2,835 refugees to Israel under the repatriation program, as well as their 124 pets.
Today, SkyUp is working on the possibility of performing evacuation flights to Portugal, Sweden and the UK under the Israel-Romania program.
In addition, SkyUp agreed with Suceava Airport (Romania) on the possibility of transporting cargo. This is the closest point to the border of Ukraine.
The company has now also confirmed shipments of humanitarian supplies from Portugal and Israel to Ukraine via Poland, including helmets and clothing for the army.
It is noted that during this time the company transported 112 tonnes of humanitarian cargo. The cargo included medicines, including insulin, baby food, personal hygiene and household chemicals, blankets, diapers, etc. The cargo was distributed according to its intended purpose: for the needs of Ukrainian refugees in Chisinau and various cities of Ukraine.

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PURCHASES OF TROLLEYBUSES IN UKRAINE GOES DOWN IN 2021

In 2021, Ukrainian cities purchased 170 trolleybuses (including only three used ones), which is almost half as many as in 2020, when 337 vehicles were purchased (including five used ones), AllTransUA reported on Facebook.
According to a report, such a drop in sales may be due to the fact that in 2021 it was mainly the completion of deliveries of 2020 (as part of the trolleybus fleet renewal programs financed by international financial institutions), and new supplies to Kherson and Mykolaiv began only at the end of the year, as well as, in general, the completion of the first wave of EBRD and EIB loan programs.
Kharkiv was the leader in the purchase of trolleybuses, which, in addition to Bogdan T701 trolleybuses under loan programs of IFIs, received leased trolleybuses PTS-12 of the Brovary-based manufacturer Polytechnoservice (in Belarusian bodies MAZ-203) – a total of 59 trolleybuses. This is followed by Mykolaiv, Poltava, Sumy, Zhytomyr, and Lutsk, which bought trolleybuses at the expense of IFIs.
In the structure of financing, purchases at the expense of IFI programs accounted for 68% of cars, and leasing was used only in Kharkiv and amounted to 22%. Budget purchases amounted to only 9% – this year, only Chernihiv (Etalon T12110) and Vinnytsia (PTS-12 with additional assembly at the facilities of the city public transport operator) bought trolleybuses for funds from local budgets.
In addition, for the first time, funding from the state budget was used – at its expense, three Dnipro T203 trolleybuses (in Belarusian bodies) were purchased for Severodonetsk.
In the structure of the supply of new trolleybuses, trolleybuses from Belarusian car sets – PTS-12 and Dnipro T203, assembled on the basis of MAZ and AKSM-321 (D) bodies, assembled at the BKM-Ukraine enterprise from car sets manufactured by Belkommunmash – continued to dominate (54%). Last year, the share of these vehicles was almost 70%.
Bogdan produced 71 trolleybuses (43%) – almost the same as in 2020, another 2% of all sales were for Etalon trolleybuses.
Three used Škoda 24Tr low-floor trolleybuses were delivered to Ternopil.
AllTransUA also analyzed the tram car market of last year, which, according to their data, did not become a turning point for this market (55 trams were delivered versus 39 a year earlier), having continued the trends of the last few years, when some cities bought used equipment, some built new cars using bodies and old bogies, and some bought a small number of modern wagons.
“This year, for the first time in several years, we have in statistics a significant number of new cars [14 units] – thanks to the supply of Polish Pesa cars, Ukrainian Electron and Tatra-Yug cars to Kyiv and Electron cars – to Lviv. Pesa cars and one Electron car were delivered to Kyiv as part of the 2020 contracts for budget funds, and Tatra-Yug cars to Kyiv and Electron cars to Lviv are supplied as part of IFI loan programs,” the report says.
As reported, 20 Tatra-Yug cars will be delivered to Kyiv under the contract (of which three were delivered this year), and 10 Electron cars will be delivered to Lviv (three were delivered).
AllTransUA notes that this year the statistics of deliveries of new trams can significantly improve due to the receipt of the remaining cars in Kyiv and Lviv, as well as supplies to Dnipro (at the expense of the regional budget) and Kryvy Rih (at the expense of IFIs), and the long-awaited promotion of car purchases for Odesa with IFI funding.

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UKRAINIAN TRANSPORT COMPANIES INCREASE PASSENGER TRAFFIC IN JAN-MAY

Ukrainian transport companies carried 1.026 billion passengers in January-May 2021, which is 1.4% more than in January-May 2020, the State Statistics Service has reported.
The passenger turnover of transport enterprises in the specified period amounted to 21.5 billion passenger-kilometers, which is 7% more than in January-May last year.
According to the State Statistics Service, 29.9 million passengers used railway transport in January-May 2021 (including city commuter trains), which is 6.8% more than in the same period in 2020, and 426.9 million passengers used road transport (1.5% more).
Air transport reduced passenger traffic by 20%, to 2.4 million people.
In addition, according to the State Statistics Service, in January-May 2021, some 155.4 million passengers used trams (9% less versus January-May 2020), subway carried 174.4 million people (21.1% more), trolleybuses some 236.9 million people (4% less).
During the specified period, water transport carried 0.1 million passengers.

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TRANSPORT ENTERPRISES OF UKRAINE REDUCE CARGO HANDLING BY 3.6% IN Q1

The transport enterprises of Ukraine (excluding the territory of the Autonomous Republic of Crimea and Sevastopol, as well as part of the JFO area) in January-March 2021 reducedtransportation of goods by 3.6% compared to the same period in 2020, to 135.3 million tonnes, the State Statistics Service has reported.
According to its data, the freight turnover of carriers for the specified period decreased by 5.9%, to 64.4 billion tonne-kilometers.
According to statistics, in the first quarter of 2021, some 69.7 million tonnes of goods weretransported by rail in domestic traffic and for export, which is 5.7% less than in January-March 2020. Some 43.2 million tonnes (less by 0.5%) weretransported by road, 700,000 tonnes (less by 16.1%) by water, 21.7 million tonnes (less by 2.1%) by pipeline, 20,000 tonnes (more by 15.6%) by air.

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TRANSPORT ENTERPRISES OF UKRAINE INCREASE CARGO HANDLING IN JAN-APR

The transport enterprises of Ukraine, as well as part of the JFO area) in January-April 2021 increased transportation of goods by 0.7% compared to the same period in 2020, to 186.1 million tonnes, the State Statistics Service has reported.
According to its data, the freight turnover of carriers for the specified period decreased 2.9%, to 88 billion tonne-kilometers.
According to statistics, in January-April 2021, some 95.5 million tonnes of goods were transported by rail in domestic traffic and for export, which is 1.2% less than in January-April 2020. Some 61.7 million tonnes (7% more) were transported by road, 1.2 million tonnes (9.2% less) by water, 27.7 million tonnes (4.9% less) by pipeline, 30,000 tonnes (11.7% more) by air.

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