Ukrzaliznytsia ups cargo transportation by 12% to 13.6 million tons in July

In July, compared to the same period of 2023, the Ukrzaliznytsia joint-stock company increased cargo transportation by 12% to 13.6 million tons, while export transportation increased by 93% to 6.4 million tons.

The company has said this in a statement, the Ukrainian News agency reports.

6.4 million tons of cargo were transported in domestic traffic, which is 22% less compared to the same period in 2023, import transportation increased by 39% to 746,000 tons.

At the same time, according to the report, based on the results of work in July, the company will receive a negative financial result for the first time since the beginning of the year.

"The 40% increase in energy costs was covered by savings in other operating costs, but the increase in exchange rates and the deterioration of the structure of cargo transportation led to a negative financial result. Thus, the volume of unprofitable cargo transportation increased (income from the transportation of these cargoes does not cover the costs of their organization) : in July 2024, 3.6 million tons of iron and manganese ore were transported, which is 65% more than in July 2023. However, in July, compared to the previous month, the volume of transportation of grain - one of the main and highly profitable cargoes - decreased by 19%,” the message says.

At the same time, Ukrzaliznytsia advocates the convergence of the cost of transporting goods of different tariff classes.

"There is no economic justification for the existence of a large difference in the cost of transportation of goods of different tariff classes, because the infrastructure component (costs for infrastructure maintenance) is the same for all goods," the message states.

As the Ukrainian News agency earlier reported, in January-June, compared to the same period of 2023, Ukrzaliznytsia increased cargo transportation by 28% to 90 million tons, while export transportation increased by 59% to 45 million tons.

In 2023, Ukrzaliznytsia reduced the volume of cargo transportation by 1.5% to 148.4 million tons compared to 2022.