Ukraine. Export by rail is gaining momentum in August

UkrAgroConsult

Article author:

Maksym Kharchenko

Freight Market Analyst

For August 1-23, 819 K mt  of grains were loaded on railway wagons. The average daily loading rate in August was 39 K mt, which is only 11 K mt less than in August of 2022, i.e. before the grain corridor was launched in late August, 2022.

Exports of grain, vegetable oils and meals through land crossings by railway amounted to 722 K mt.

The high rates allow UkrAgroConsult forecasting railway export in August at 920-980 K mt, which is half more than in the previous 4 months.

The total number of wagons sent to western border crossings in August increased significantly. Meanwhile, despite the number growth, the wagon lines still remain three times lower in comparison with August 2022:

Wagons sent to western border crossings, August 1-23

• 2,909 grain wagons (+1,356 wagons compared to the end of July);
• 446 wagons with veg. oils (-73);
• 275 wagons with meal (+67).

The largest lines of grain wagons are at border crossings leading to Moldova as to deliver grain by rail to Ukrainian port of Reni, it is necessary to transit through Moldova. Railways of Moldova granted tariff discounts on the transit deliveries of grain.

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Further development of agri logistics in Ukraine and the Black Sea region will be discussed by leading agribusiness operators at the International Conference ‘BLACK SEA GRAIN & OIL’ on September 14 in Kyiv. Join us to find out the forecasts for the new 2023/24 season, prospects for investments, processing, logistics and exports for the recovery and development of Ukrainian agricultural industry.

Tags: Ukraine, rail transportation