Ukraine and Poland to establish joint rail venture

2022/04/25 at 12:27 PM

The national railway undertakings of Ukraine and Poland are working on establishing a joint venture. It will be dedicated to developing cross-border rail freight operations, particularly in moving Ukrainian agricultural goods to the Polish ports.

Ukraine and Poland will intensify cooperation in the railway sector. Therefore, both countries are planning to create a joint railway venture that will be responsible for delivering Ukrainian goods, primarily agricultural, to the Polish ports on the Baltic Sea. Such an ambitious goal was mentioned in a bilateral memorandum that was concluded by the prime minister of Ukraine Denis Shmyhal and the prime minister of Poland Mateusz Morawiecki on Saturday, 23 April, in Kraków.

Prime Minister of Ukraine Denis Shmyhal and the Prime Minister of Poland Mateusz Morawiecki conclude a railway memorandum, source: Krystian Maj / the Chancellery of the Prime Minister of Poland

“By blocking the Ukrainian ports, Russia is trying to provoke a global food crisis. We must prevent this. The signed memorandum on strengthening cooperation in the railway sector between Ukraine and Poland will increase our export capacity, including agricultural products. Convenient logistics solutions for Ukrainian business will allow you to quickly deliver the necessary goods anywhere in the world. This is very important for the stability of our economy,” said Denys Shmyhal.

According to Oleksandr Kamyshin, CEO of Ukrzaliznytsia, the work on creating a joint rail venture has been lasting for almost two months. “We began preparing the concept of a joint venture with our Polish colleagues a week after the outbreak of the war. Combining the experience and knowledge of Ukrzaliznytsia’s managers and the Polish colleagues will allow us to formulate unique logistics offer for the European and global market, which refuses Russian supplies and Russian logistics,” he specified.

Besides the planned joint venture, the intensification of cooperation between Ukraine and Poland in the railway sector also includes a few other points: modernisation of the border rail infrastructure and construction of new terminals along the border. “We are ready to invest and earn together, building strong ties with Europe and the world. Ukraine is ready to work together to expand the welfare and strengthen the economic security of Ukrainians and citizens of the EU countries,” added Oleksandr Kamyshin.

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