Bloomberg: outdated equipment Ukrzaliznytsia prevents to earn on record harvest

Outdated equipment prevents Ukrzaliznytsya Ukrainian farmers to sell bumper crops, while the country’s economy is already suffering from the conflict with Russia, writes Bloomberg.

According to the newspaper, the current Ukrainian wheat crops, sunflower, maize and other grain crops are so great that the state monopolist Ukrzaliznytsya can not meet the transport needs of farmers.

«New freight locomotives and wagons purchased for almost 50 years. Old and worn-out trains can’t keep up with the needs of the country», — stated in the material.

The publication writes that the number of freight cars is reduced at the time when the Ukrainian agricultural sector is expanding and its needs in logistics grow. According to forecasts of Agrarian deprtament the U.S., made seven major grain crops in Ukraine will increase to 85.8 million tons in the season 2016-2017.

The experts of the Kiev company UkrAgroConsult forecast that exports will grow by 6% to a record 40.7 million tons. And this will create a burden on the Railways, because the grain will need to be delivered to export terminals in the Black sea.

«The number of cars is steadily declining. We have problems not because something goes wrong today. For many years the Railways were exhausted and worn out their reserves», — says the head of Ukrzaliznytsia Wojciech Balczun.

Earlier, Minister of energy of Ukraine Igor Nasalik addressed to the CEO of Railways with a request to make every effort to ensure the freight transportation of coal in the warehouses of Ukrainian thermal power plants.

Bloomberg: outdated equipment Ukrzaliznytsia prevents to earn on record harvest 21.11.2016

Ноябрь 21st, 2016 by
36 queries