Ukraine loses from this: farmers urged not to increase UZ freight tariffs

Today, 18:33 | Economy
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Tariffs for rail transportation must correspond to the actual cost, regardless of the type of cargo.

If agricultural cargo leaves the railway, everyone will lose – Ukrzaliznytsia, its employees, and the state. Therefore, we need an honest dialogue and a responsible tariff policy that will help maintain balance and ensure development, and not artificially create new risks..

This was stated by the General Director of the Ukrainian Agricultural Business Club Oleg Khomenko.

“When we talk about increasing tariffs for cargo transportation, we must honestly admit: these are not abstract figures that exist only in reports. For the agricultural sector, logistics accounts for up to 15% of the cost structure, and any increase in tariffs instantly translates into a decrease in profitability, a reduction in tax revenues and makes it difficult to fulfill obligations to shareholders. These are not trifles, they are the basis for the viability of hundreds of agricultural enterprises and thousands of Ukrainian farmers,” he emphasized..

Khomenko noted that the increase in tariffs cannot be sudden or one-time, because there is a production cycle, concluded forwards and scheduled obligations.

" Tariff policy should be predictable and announced in advance, for the next season, as is done in stable economic systems. Our task is simple and absolutely fair: to bring the tariff in line with the real cost, to ensure transparent, equal treatment of all cargo and to prevent the loss of agricultural transportation, which is one of the key sources of filling the economy. If agricultural cargo leaves the railway, everyone will lose – Ukrzaliznytsia, its employees, and the state. Therefore, we insist on an honest dialogue and a responsible tariff policy that will help maintain balance and ensure development, and not artificially create new risks,” the expert concluded.



As you know, Ukrzaliznytsia has planned to increase tariffs for freight transportation by almost 40% next year in order to compensate for losses from passenger transportation.. However, according to relevant business associations, this will have devastating consequences for the economy.. Thus, according to the State Enterprise “Ukrpromvneshekspertiza”, such an increase in tariffs will lead to a reduction in GDP by UAH 100 billion, a loss of foreign exchange earnings by UAH 98 billion, a decrease in budget revenues by more than UAH 36 billion and a reduction of 76 thousand jobs, of which 26 thousand are in industry.




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