"American-Ukrainian Agrarian Congress", Washington, USA
Jun 20, 2016

Reduction of the logistics expenses to improve the competitiveness of Ukrainian agricultural products - Ministry of Agrarian Policy




Reduction of the logistics expenses will improve the competitiveness rates of Ukrainian agricultural products on the global market, declared the Deputy Minister of Agrarian Policy and Food of Ukraine for European Integration, Vladyslava Rutytska on June 3.

According to her, only effective and efficient cooperation with the Ministry of Infrastructure will allow solving some major logistical issues. Joint work on the New Silk Road, bottom dredging of the Dnipro river, grain shipment in the ports, etc. To date, the agricultural sector demonstrates the positive dynamics, and the Ministry officials should understand that not only products are quite important, but also its storage and transportation, V.Rutytska explained.

The Deputy Minister added that the current difference in logistics expenses is a significant barrier for strengthening of the positions of agricultural commodities on the global market. V.Rutytska recalled that the value of logistics costs in the Ukrainian ports is approximately 40% higher compared with the same services in Germany, and 30% higher than the costs in the USA.

In future, the domestic agricultural sector is quite able to increase the production indices of agricultural commodities and grains in particular, and then there is a problem: there is a high-quality product that is appreciated all over the world, but there is a deficit of shipment capacities for its transportation, V.Rutytska explained.

In addition, the Deputy Minister stressed the high importance of further realization of the pilot project on the plant quarantine laboratory in the Odessa port. The State Enterprise Ukrainian Sea Ports Authority already received the list of required technical equipment for the laboratory.

You can receive more detailed information about the Ukrainian logistics situation by visiting the 2nd American-Ukrainian Agrarian Congress, to be held on June 20-21, in Washington, D.C. (USA).