UGA against Ministry of Transport grain transport tariffs raising initiative

18.03.2005 11:40 "Agro Perspectiva" (Kyiv) — Ukrainian Grain Association (UGA) objects to Ministry of Transport and Communication initiative of grain/grain products transportation tariffs raising, reported UGA press service. «If new Government first step is, instead of solving problems piled up on Ukrainian grain market : railway tariffs raising, than, as to our opinion, that will deteriorate business/authorities partnership,» runs UGA declaration. As to UGA, grain transport tariffs boosting is economically unmotivated. «Snatching transport tariffs out of general economic coordinates to compare them with other countries similar tariffs is an example of narrow departmental approach not oriented unto national economy interests,» runs UGA report. As to UGA, tariffs change will result in ready products cost boosting as well as Ukrainian external markets competitiveness lowering. Ministry of Transport and Communication declared it necessary to revise tariff policy as well as to boost up 2–2.2 times railway freight transport tariffs. As earlier reported, Ukrainian Grain Association had requested Ministry of Transport and Communication as well as Ministry of Public Health to cancel railway cars disinfection obligatory payment in order to promote grain export. Ukrazaliznytsia companies have established only price for their services, — UAH204 per railway container/car (twice up against current market price) and don’t permit other companies to carry out disinfection works. Experts forecast Ukrainian 2004/05 MY grain export will total 9.8 million tons.

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