Analysts: agricultural exports at the borders with the EU fell to the lowest level since the beginning of the war
14.03.2024 - 17:00
The rate of transfer of wagons with grain at the borders with the EU fell to the lowest level since the beginning of the war. At the same time, the number of shipments of agricultural products to Black Sea ports is growing.
The average daily indicator of the transfer of wagons through railway crossings on the western borders with the EU is 299 units per day. This was the lowest level since the beginning of the war, analysts at Spike Brokers said.
“The oversaturation of the European market with last year’s leftovers and the inability of European railway operators to respond in time with freight rates to changes in the commodity market situation did not allow Ukrainian products to find a timely sale by land on the European market in the next 5 months,” the message says.
Rail freight rates across Europe fell by 10% compared to last week’s readings. Logistics in Europe is trying to find loading, adjusting rates downwards.
At the same time, the number of shipments of agricultural products to the Black Sea ports is growing, 6,200 wagons are headed there.
The average daily capacity of unloading wagons in Black Sea ports ranges from 1,220 to 1,500 wagons per day.
It should be noted that rail freight rates in Ukraine are also decreasing. The decrease in the balance of agricultural products slows down the activity of farmers and traders in shipments.
As previously reported by USM, the European Commission will propose to limit the import of grain from Russia and Belarus. The proposal for quantitative restrictions on imports is presented against the background of protests by European farmers and calls from Ukraine to take such a step.
