Last week, 80% of the production capacity of the industrial and construction group “Kovalskaya” stopped for several days due to the impossibility of timely delivery of raw materials by rail.

UZ locomotives

According to Sergey Pilipenko, General Director of PSG Kovalskaya, more than 500 cars with cement and crushed stone did not move anywhere due to the “total absence” of locomotive traction, informs Railway Supply magazine with reference to the CFTS.

“We stopped shipping concrete for our customers and put all our efforts into delivering raw materials. While we were trying to hold out our wagons, cement plants were idle, which also cannot receive raw materials on time and ship products. This situation is far from being an isolated one. The problems of the railway that have been accumulating over the years have now turned into a systemic crisis with grave consequences for all market participants, ”wrote Sergei Pilipenko on Facebook, adding that steelworkers and agrarians are also hostages of the situation at UZ.

Czestochowa Nova Coke Plant wants to buy 45 wagons

“Almost 70% of the cargo of our economy and 80% of the construction industry – this is the real influence of the railway on the state of affairs. The hours and days of downtime of manufacturing enterprises cost the state from 1 to 3% of the lost GDP growth only due to the actions of one company, which has been in need of reform for so many years. The way out of the situation is the same – the launch of private traction and the improvement of railway management processes. Because when there are abandoned wagons in the fields, our economy also stands and does not move anywhere, ”summed up the general director of “Kovalskaya”.

As previously reported, the situation with grain transportation has remained tense for two weeks. UZ provides only a third of applications for the transportation of grain in CTL wagons.

At the same time, UZ and Ukrcement are discussing transportation planning for the next year.

Railway news you may have missed:

The need of the Ukrainian market for the renewal of rolling stock until 2028 is almost 45,000 wagons

Find the latest news of the railway industry in Eastern Europe, the former Soviet Union and the rest of the world on our page on Facebook, Twitter, LinkedIn, read Railway Supply magazine online.

Place your ads on webportal and in Railway Supply magazine. Detailed information is in Railway Supply media kit