Ukrainian railways face mixed reactions to plans to increase rates

Bùi Đức |

On December 15, the Ukrainian Deputy Minister of Economy admitted that the country may not be able to avoid increasing transportation while its transportation system is constantly being attacked by Russia.

Speaking on Agroportal - Ukraine's agricultural research and analysis portal, Deputy Economic Minister taras Vysotskiy said: "It is impossible to say that there will never be an adjustment".

According to Mr. Vysotskiy, although increasing transportation rides is inevitable, it is important to consider how to implement it to create consensus in the context of this decision facing many conflicting opinions.

Many industry associations have warned of the plan of Ukrazaliznytsia National Railway Company to increase cargo handling by 27% from January 1, which could cause many businesses to suffer losses.

In September, Ukrazaliznytsia CEO Oleksandr Pertsovskyi said the company had developed a recovery plan, including increasing transportation tolls to control debt, amid Russian attacks and a decline in goods volumes.

For farmers, Ukrainian farmers rate increases are effectively a form of additional tax, said Mykhailo Sokolov, Vice President of the Farmers Union of Ukraine (UAC).

Ukraine is one of the countries that grows and exports large amounts of oil-rich grains and nuts, most of which are transported through Black Sea ports, mainly by rail.

Bùi Đức
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