Business news from Ukraine

“Ukrzaliznytsia” recorded freight traffic growth by 45.7% in June

JSC “Ukrzaliznytsia” (UZ) in the period from 1 to 15 June recorded an increase in rail freight traffic by 45.7% compared to the same period of 2022, the press service of UZ reported on Friday.
“Freight rail shipments between June 1 and June 15, 2023, according to operational data, increased by 45.7% compared to the same period in June 2022 and by 12% compared to the same period in May this year. The average daily load for the period increased by 26.2% compared to June 2022 – up to 390.4 thousand tons, “- said in a report UZ.
According to the company, the volume of domestic shipments in the first half of June rose by 47% compared with the same period last year and by 8.3% compared with the first half of May – up to 3.715 million tons. Export traffic rose by 50.8% and 19.5%, respectively – to 2.191 million tons.
UZ specified that according to the cargo types minerals, coal, grain and milling products, manganese and iron ore traditionally lead in terms of transportation volumes.
Transportation of grain cargo from June 1-15 has increased by 71.2% against the same period of 2022 and by 24% against the first half of May – up to 1.106 million tons. At the same time, export shipments of grain increased by 2.3 and 54.3% respectively up to 849.9 thousand tons. Coal carriages increased by 29.2% and 7.2%, respectively – to 1.136 million tons, iron and manganese ore – by 12.8% and 2% – to 1 million tons. The volume of transportation of Minstroymaterials doubled in comparison with the same period of 2022 and increased by 24% compared to May.
According to Yevgeniy Lyashchenko, head of the board of UZ, these figures give reason to predict that the company can approach breakeven in 2023.
“We have cautious optimism and good indicators of the main work of Ukrzaliznytsia – freight transportation. Thanks to the painstaking work of the Ministry of Reconstruction, business, our specialists, the unblocking of the “grain corridor”, the revival of traffic in the direction of the western borders, we record the growth of freight traffic in the first half of June almost by half. These figures allow us to come close to break-even in 2023″, – he was quoted by the press service of UZ.
Earlier it was reported that in May UZ increased the volume of cargo transportation by 19.2%.

“Ukrzaliznytsia” has reduced transportation of grain cargo by 33%

JSC “Ukrzaliznytsia” (UZ) in May 2023 transported 1836 thousand tons of grain cargo, which is 33% less than a month earlier, said deputy director of the department of commercial work UZ Valery Tkachev at a meeting with representatives of agrarian business on Thursday.
According to his information 1147 thousand tons of grain cargo were sent for export last month, which is 46% less than in April. In domestic communication 683 thousand tons were transported, which is 16% less than in April. Average daily loading in May was 44 thousand tons.
“Two factors influenced the reduction of transportation – the blocking by the aggressor of the “grain corridor”, which affected the delivery of goods by rail to ports, as well as the blocking of exports through “solidarity corridors” by European countries, which led to a halving of cargo handling through the western borders of Ukraine”, – explained Tkachev.
He added that UZ is ready to increase transportation, for which it has sufficient resources.
According to the operational data of UZ, in the first week of June 2023 the volume of grain cargo loading was 380 thousand tons, or 15% of the total cargo. Average daily volumes of transshipment during this period amounted to 54 thousand tons, which is 2.2 times higher than in April.
According to Tkachev, the actual average daily volume of agricultural cargo transshipment through the border crossings in June 2023 increased by 90 cars compared to May. Grain cargo increased by eight cars per day.
A UZ representative said that 9,740 railcars, of which 1,084 railcars with grain cargoes, are heading toward the western border. The queue for agricultural commodities has decreased by 343 cars (24%).
“Wagon congestion is ‘dissipating,’ thanks to the balancing of border loads. As long as the grain corridor works, the load on the western borders is reduced. Also transfer through European countries became more active”, – UZ representative explained.
Speaking about the transshipment of grain at the Ukrainian-Polish border, Tkachev said that in May at the checkpoint “Yagodin-Dorohusk” average daily passed 17.3 cars with grain, crossing “Izov-Grubeshov” – 20 per day, crossing “Mostiska-Medica” – 22.13 per day. At the Romanian BCP “Vadul-Siret-Dornesti” average was 47.7 w/c with grain, BCP “Dyakovo-Halmeu” – 8.5 w/c.
At the Ukrainian-Hungarian border, grain cargo transshipment in May at BCP “Chop-Zakhon” was 39.5 per/c, at BCP “Bat’ovo-Betereshki” in May transshipment of 25.6 per/c was recorded, the maximum rate in May – 93.9 per/c.
“For all Western BCPs, if we analyze the statistics of the last five months, there is a sagging of shipments from one and a half to five times. The remaining restrictions on exports with the permission of transit significantly affect the export of grain through the western borders,” – summarized Tkachev.
The head of UZ reported that, as of June 8, 2023 in the direction of the ports of Greater Odessa moves 2663 railcars with grain cargo. The average daily unloading in June is 493 cars with grain. Unloading waiting time (queue) is 4.9 days.
As of June 8, 1,656 railcars with grain cargo are bound for Port Ismail. Since May 29, the queue decreased by 23.48%. The average daily unloading for June was 122 grain cars. Unloading waiting time (queue) reaches 11.3 days.
“The work of the “grain corridor” today is difficult to predict, the aggressor country constantly changes the number of inspections of ships and puts forward different requirements, in addition the work of the port “Southern” is blocked. The situation in the port of Izmail remains difficult because of the large accumulation of cars. Loading in the port direction is planned taking into account the processing capacity of consignees/operators, but due to weather conditions they unload significantly less than planned volume,” UZ noted.

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“Ukrzaliznytsia” increased volume of cargo transportation by 19.2%

JSC “Ukrzaliznytsia” (UZ) in May this year transported 11.49 million tons of cargo, which is 19.2% more than in May last year.
According to the press-service of UZ, the average daily load also has positive dynamics: the growth is 15,7% – up to 352,8 thousand tons.
Domestic freight traffic in May increased by 36.5% – to 7.17 million tons, export – decreased by 2%. This is due to Russia’s blocking of the sea “grain corridor”. As a result, the volume of grain transportation for export decreased by 29% – down to 806.9 thousand tons. Imports of goods in May increased by 7% – up to 483.4 thousand tons, transit – 47 thousand tons, the company specified.
The leader of the general cargo transportation in May was building materials – 2.5 million tons, coal – 2.22 million tons, iron and manganese ore – 1.96 million tons, grain and milling products – 1.83 million tons, ferrous metals – 816.3 thousand tons. It is noted that the biggest growth is recorded in transportation of construction materials – more than 70%.

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Ukrzaliznytsia launches test train to Warsaw to increase seats on this route by 2-3 times

“Ukrzaliznytsia” (UZ) is launching a test flight of the “Kyiv-Warsaw” train with standard “wide” passenger cars in order to obtain the Polish side’s final permission to increase the number of trips and, respectively, seats on this route by two or three times, the press service of UZ said.
According to its data the purpose of the test is to confirm the compatibility of standard passenger cars of UZ with the modernized infrastructure of Polish Railways. The current stage of the project is the final one.
On Wednesday, May 31, 14 standard passenger cars of size 1-BM leave Kiev, which in Jagodina will be converted to euro bogies for “narrow” europeways (1435 mm).
“During my first trip to Poland as chairman of the board of Ukrzaliznytsia in the delegation headed by Deputy Prime Minister for Reconstruction of Ukraine – Minister of Development of Communities, Territories and Infrastructure Alexander Kubrakov, we agreed to finalize this project. Earlier, all the tests were carried out, and we realized: our standard cars can freely pass the test run, after which we will get the “green light” from the Polish side. This will allow in two or three times to increase the supply of seats for direct communication between the Ukrainian and Polish capitals, “- quoted in a press release, the head of the board of UZ Eugene Lyashchenko.
Reportedly, UZ has already engaged all RIC-class cars in its fleet (Regolamento Internazionale Carrozze – Italian). In addition, the company asked European partners to transfer new “narrow” cars, but it will take more than two years to order and build such cars. “This did not stop Ukrainian railroad workers, as the demand of our passengers prompts them to find non-standard solutions. Almost a year ago UZ initiated and conducted work with Polish railroad workers on this project realization”, – words of the UZ board member Alexander Pertsovsky are cited in the report.
There were several rounds of negotiations and agreements between the two sides on the issue of compatibility, received technical approval of the Polish regulator UTK (Urząd Transportu Kolejowego). At the request of the Polish side, measurements of the dimensions of each car were carried out jointly.
As noted, the number of seats on the direct flight of the train “Kyiv-Warsaw” is limited at the moment, as the Polish railroaders let in only a train equipped with “narrow” RIC-cars with three-seat compartments.
According to the press service, the direct flight Kiev-Warsaw-Kiev continues to enjoy a rush demand. “Every day only in the mobile application UZ registers more than 3 thousand requests from passengers who are looking for tickets in this service, which is 10 times more than the availability of seats,” – states the company.
As reported there are 42 RIC cars in the fleet of UZ, two of which have been purchased from Krukiv Wagon Works.
In order to increase the number of trips to Poland from Ukraine after the full-scale invasion of Russia, UZ has launched new routes. In particular, “wide” routes have been retained on the route from Kiev to Chełm. Two daily flights conveniently connect with Polish flights to Warsaw. There are also night flights between Kiev and Peremyshl (two sleeper flights in addition to the two Intercity+ flights). Direct flights are launched from Kharkiv to Chelm, from Zaporizhzhya, Dnipro, Odessa, Vinnitsa, Khmelnitsky, Ternopil and Lviv to Peremyshl.

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“Ukrzaliznytsia” introduces new schedule of trains for summer season

“Ukrzaliznytsia” introduces a new schedule of trains for the summer season-2023 from June 10, according to the Odessa City Council.
“In the new schedule, railroad workers have provided for a new train #148/147 Kiev – Odessa, which will run through Cherkassy,” the Odessa City Council said in a message in the Telegram channel on Saturday.
In addition, the following Ukrzaliznytsia trains extended the route:
№105/106 Odessa – Kiev – Odessa optionally will follow to and from Sumy station, which will allow Sumy residents to reach the seaside city by a direct flight with a convenient time of arrival in Odessa;
№53/54 Odessa – Dnipro – Odessa will optionally be able to run to and from Zaporizhzhia according to the new schedule.

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From April 24 Ukrzaliznytsia launches new non-stop wagon Vienna – Chop – Vienna

Ukrzaliznytsia JSC is launching a new non-stop car service Vienna – Chop – Vienna from April 24.
“Meet the new alternative route of return from Austria and Hungary to Ukraine. On April 24, a new non-stop car service Vienna – Chop – Vienna will start running,” Ukrzaliznytsia’s Telegram channel said on Friday.
As reported, the car will depart from Vienna daily at 16:42, Budapest-Keleti 19:19 – 19:40, arrival in Chop at 02:28. “After passing border and customs control, continue your journey on the train number 750 Uzhgorod – Kiev, arriving in Chop at 05:19, Mukachevo 06:48 – 06:53, Lviv 11:00 – 11:23, arriving in Kiev at 18:30,” reports Ukrzaliznytsia.
Back from Kiev you can start the journey by train number 749 Kiev – Uzhgorod, which leaves daily from Kiev at 13:16, Lviv 19:59 – 20:25, Mukachevo 00:19 – 00:24, arrival in Chop at 01:10. After passing border and customs control at the station Chop, you can continue the journey by a new direct coach Chop – Vienna, which departs daily from April 25 at 03:28, Budapest-Keleti 08:20 – 08:40, arrival in Vienna at 11:21.
Reportedly, the cost of a ticket from Chop to Vienna is 1,730 UAH. “Tickets are already available at the international ticket offices of Ukrzaliznytsia. And tickets from Kiev to Chop and back can be purchased both at the ticket offices and online: in the application “Ukrzaliznytsia”, in the chat-bot and on the website”, – stated in the message.

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