Efforts are underway in Ukraine to rejuvenate container traffic following the success seen in building grain shipments along the Black Sea corridor since August 2023.
Government officials are emphasizing the importance of reintroducing container service and expanding shipments via the Danube River to bolster exports, increase imports, and drive down transportation costs for Ukrainian businesses.
In an interview on the Verkhovna Rada of Ukraine website, member of parliament and deputy minister Dmytro Solomchuk emphasized ongoing negotiations with containership owners and the resolution of insurance matters under the Ukraine Facility program. Solomchuk expressed confidence that the commencement of container transportation would yield significant economic advantages for both shipowners and product customers.
Container movements by sea have been halted for over two years due to the Russian invasion and the subsequent blockade of Black Sea ports. While a handful of containerships utilized the corridor last summer to evade sequestration in Black Sea ports, bulkers predominantly transported grain and agricultural products along the route.
Between August and December 2023, Ukraine reported exporting approximately 13 million tonnes of products to 24 countries via the sea corridor, with Deputy Prime Minister Oleksandr Kubrakov noting that 420 vessels loaded in Ukrainian Black Sea ports during the same period. Kubrakov recently indicated that these figures have risen to nearly 30 million tonnes and over 1,000 vessels.
Solomchuk stressed the significance of resuming container shipments for farmers, highlighting the ability to package small batches of grain into containers. He also underscored the potential to streamline import logistics and reduce costs.
Kubrakov echoed these sentiments, emphasizing the Danube as an alternative and efficient export route for Ukraine. He expressed readiness to increase exports from Danube ports using container barge caravans, noting that 3.7 million tonnes of cargo, including 2.5 million tonnes of agricultural products, have been transported on the Danube since the beginning of 2024. By expanding shipments to the EU via the Danube, Kubrakov believes Ukraine can redirect blocked cargoes, bypassing the Polish border.
Deputy Direct General of the Ukrainian Danube Shipping Company, Vladislav Belakh, outlined plans to offer comprehensive logistics services for transferring cargoes, including grain, containers, and metals. Belakh highlighted existing agreements with Hungary and ongoing collaborations with Austria and Serbia.
Revitalizing exports and restoring imports are crucial steps in the economic recovery of Ukraine.
