Forecasted decrease in demand for Ukrzaliznytsia services in 2023

Ukrainian railwaymen do not anticipate the increased demand for grain transportation in 2023, which was observed last year. This was discussed at a meeting of Ukrzaliznytsia with representatives of the agricultural market on June 15.

Valery Tkachev, deputy director of the commercial work department of JSC "Ukrzaliznytsia" noted that currently there is no increased demand, on the contrary, the volume of railway transportation has decreased.

According to him, there are no prerequisites for a significant increase in the volume of transportation in the future.

"According to forecasts, only 44 million tons (of grain - approx.) will be exported, and, in my opinion, only 25-28 million tons will go by rail. I see that, firstly, the volume of transportation will decrease significantly. Because physically less cargo base. Secondly, we will again have a small shift in the fall, because less winter crops were sown. Therefore, I see that we will transport up to 2 million tons (per month - approx.)," said Valery Tkachev.

A representative of Ukrzaliznytsia also predicts an increase in demand for grain transportation in October-November. "Then there will be stable transportation again. That is, there will not be such pronounced peaks as there were last year, when 60 million tons were supposed to be transported, and the infrastructural possibility - only 30 million tons. And this provoked an explosion in October of last year in the demand for wagons, for transportation . As of today, volumes have already decreased. We understand our infrastructural capabilities both through ports and through western crossings. Therefore, I do not think that there will be such an increased demand," the official clarified.

At the same time, Valery Tkachev added that if demand grows and there are more infrastructure opportunities, Ukrzaliznytsia will return to the practice of limiting plans. "And we will follow it. Today, this problem does not exist, and I think that it will not be so acute. Because everyone has already understood what our opportunities are in this direction. Everyone has understood that the issue here is not the railway, and in the presence of port capacities in Poland, Romania, the ability of local carriers to transport these cargoes. We will return to the limiting procedure if there is really a very high demand for transportation in this direction, which exceeds infrastructure capabilities," explained the representative of Ukrzaliznytsia.