UDS expands integrated transportation to the river ports of Europe

The Ukrainian Danube Shipping Company works with partners in Europe to create complex logistics chains.

Steam shipping traditionally focused on river transportation. The owner of the cargo handled transshipment, delivery to the port and other components, the UDS said.

But connecting various components of the logistics chain is a difficult process associated with certain risks. Experience, established contacts, effective management are required.

For market participants who operate with small volumes of cargo and do not have the appropriate expertise, it is sometimes easier to give preference to road transport. Motor transport seems more convenient and understandable to them.

“We have a successful experience of working on the basis of a comprehensive service – we delivered grain from a motor vehicle in a Ukrainian port to a large sea vessel in Constanta. This year, we are expanding the program to the river ports of European countries: we provide the client with both freight and transshipment of various types of cargo (grains, containers, metal, etc.). Agreements have already been reached with Hungarian ports, we are working with Austrian and Serbian colleagues, and we are creating a partner stevedoring network. There are the first customers. So far, we are talking about European agricultural products, but consultations are ongoing regarding other types of products,” said Deputy General Director of the UDS Vladyslav Belakh.

According to him, the beginning of the year was not easy for all Danube river shipping companies. But the volumes of transportation are gradually increasing – in March, deliveries of iron ore raw materials will increase to the maximum mark for the last year, large contracts for the transportation of coal for TPPs are becoming relevant again.

“The potential of the Danube cargo base is huge, but during the period of record high rates in 2022-2023, the traditional group of customers was forced to reorient to other modes of transport, because they could not stand the competition with farmers who were ready for any rate to export their crops. Today, we are returning our customers from motor vehicles, railways to the river. It doesn’t happen that fast. Everyone is thinking, will the Danube flood the flow of grain from Ukraine again tomorrow? But the process of return has already begun,” noted the deputy general director of the UDS.

Previously, USM reported that a supervisory board will appear in Ukrainian Danube Shipping PJSC.

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