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Rail Insider interview: State and prospects of freight transportation between Ukraine and the states of Central Asia

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Andriy Kyrykovich, CEO of the Amadeus Marin logistics company, told Rail.insider about transportation to the countries of Central Asia.

- How is transportation currently carried out between Ukraine and the countries of Central Asia (Kazakhstan, Uzbekistan, Turkmenistan) and China?

We go to the listed countries through the available ports of the Black Sea or through the Baltic, using transport connections with the countries of the West. There is practically no other option now. Of course, it would be possible to solve this issue by motor transport through Turkey, however, such a route would also be built through Western Europe. There is a land delivery option. Although it is long and drawn out, this practice exists. Even before the full-scale invasion, I happened to meet a truck driver with Iranian license plates. Since this man could communicate in broken English, I managed to ask him about the route he was taking. The driver replied that he was going through Turkey and had covered a long way by land. However, it is worth emphasizing that this, after all, took place even before the start of active hostilities. But the very fact of the existence of such long overland routes reminds us of their reality.

Today we leave Constanta and move on to the Black Sea. As it was, it remained available. The only thing is that a number of infrastructural complications were added, which, in turn, affected the cost of delivery. Container transportation to China is the same story. After the opening of the container terminal in Reni, delivery became much easier. At the same time, terminal scaling indicates demand and opportunities. Summarizing on this issue: it is possible to carry out transportation to Central Asia. We leave either by land through Turkey or by container service through Romania and Bulgaria.

- What are the main difficulties of such transportation?

The key difficulties are infrastructural complications and limitations. This affects the speed of delivery, its volume. If earlier the manufacturer could consider supplies from 5 thousand tons, now he understands that he simply cannot cope with such an indicator. There are objective reasons for this. The carrying capacity is insufficient, if we talk about those exits to the sea that remain available to us. Therefore, the Ukrainian market has to adapt to many difficult factors for itself. There is another limitation that is taken into account in logistics - this is overloading. This is especially noticeable in cases where we are talking about food products, because each transshipment can negatively affect the condition of the products. Even such a seemingly simple cargo as ore is "afraid" of excessive overloading. So such complications cannot be ignored.

- How do you assess the prospects of railway transportation through Romania, Bulgaria, Turkey, Georgia, Azerbaijan?

The prospect of transportation through Romania is very good. In general, all options for intermodal transportation are always considered. The actual issue of the "last mile", that is, delivery to the final destination. Moreover, in the segment of container transportation, we need to use established cooperation of road and rail transport. Currently, there is a great demand for fitting platforms for the transportation of containers. Just the day before, I had the opportunity to talk about this with one of my market partners, who also noted such a demand. Therefore, intermodal transportation is the future, and the route through Romania is very relevant. The Clip terminal, where the representatives of our company were during the transport forum, shows the current trend in trailer transportation. The option when the car trailer is loaded on the railway, and then only it goes on, is in demand. The railway plays a key role here, as it provides speed, safety, environmental friendliness, and high throughput. It makes it possible not to use hard driving work. Therefore, going through Bulgaria, Romania and Turkey to Central Asia using the option of intermodal transportation is a good solution. At the same time, it will contribute to the development of railway transport and actualize the issue of how to drive without overloading, so that the transportation is more comfortable and the cargo is not damaged. It would be good if, for example, it was possible to load in Ukraine and go to Uzbekistan or Tajikistan without unnecessary complications and additional actions. So let this give an impetus to develop the industry with such requests in mind.

- In your opinion, can Ukrzaliznytsia shorten the transportation distance and simplify logistics in railway transportation from the southern and central regions of our country to Romania (for example, through the construction of the Izmail - Reni, Mamalyga - Larga lines, more active use of the restored Berezyne - Basarabiaska (Moldova) line, etc.)?

In this regard, we can give an unequivocally affirmative answer. However, not everything depends on us in this direction, many factors are influenced by our Western partners. Now there is no question about the inability of Ukrzaliznytsia to work in this format, since it definitely has such an opportunity. This is a question for everyone with whom we border, because they cannot accept the volumes of cargo that we need. In this context, we can mention Romania itself. So, in order to "pass the baton" to Ukrzaliznytsia, it is necessary to understand that all other subjects of the international transportation market will be able to step up if possible. The fact that we have a serious infrastructure and know how to work with it is an achievement not only of the university, but of the state as a whole. However, it is important to note that in all progressive decisions regarding transportation, such as the ones you talked about, the initiative mostly lies with Ukrzaliznytsia. Regarding the construction of the Izmail - Reni line, in my opinion, at this stage it will solve almost nothing, because it is worth moving to the electrification of the sections from Odesa to Izmail, Reni, Artsyz. Danube ports are currently facing complex challenges. For example, Izmail accepts more than 4,000 wagons. This port has never seen so many wagons, probably. I could be wrong, but that's exactly what I remember. What can Ukrzaliznytsia do if the port is not yet ready to unload so much exclusively due to the lack of infrastructure for this?

- Can the transportation of goods through European countries to Central Asia and China be relevant after the Black Sea ports of Ukraine are unblocked?

Definitely yes. They are already formed in logistics supply chains. So everyone involved in these chains will do whatever it takes to keep things moving forward. The combination of the principles of healthy competition and development will definitely contribute to this.

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