The Ukrainian Agricultural Council (UAC) within the framework of the All-Ukrainian Agrarian Forum and the American Chamber of Commerce called on Prime Minister Volodymyr Groisman to facilitate the resolution of problems in the area of ​​grain transportation by rail, public highways and large-scale agricultural machinery movements in the shortest possible time.

This is stated in the text of an official appeal. The copies of this appeal were sent to First Deputy Prime Minister - Minister of Economic Development and Trade of Ukraine Stepan Kubiv, Vice Prime Minister Volodymyr Kystion, Minister of Infrastructure Volodymyr Omelyan, First Deputy Minister of Agrarian Policy and Food Maxim Martynyuk and acting Chairman of the Board of PJSC "Ukrzaliznytsya" Evgeny Kraskov.

The letter states that due to the existence of systemic problems with the logistic component, it becomes questionable to reach the goal of uninterrupted export of grain cargoes in this year and subsequent years. This in turn will lead to losses both for representatives of the agrarian sector and, in general, for the Ukrainian economy.

In particular, according to the text of the appeal, in order to solve the problem of transportation of grain by rail, it is necessary, firstly, to provide a sufficient number of rolling stock and an equitable distribution system of wagons between shippers.

Secondly, to allow private traction on the Ukrainian market to ensure uninterrupted transportation.

Thirdly, to provide a predictable procedure for increasing tariffs for rail transport in order for companies to anticipate the necessary costs in financial plans.

In addition, the associations stressed that the closure of a large number of railway stations, provided by Ukrzaliznytsya to increase its own efficiency, could lead to undesirable consequences, as it means the cessation of work of the same number of elevators, which are currently operating in the Ukrainian market.

Another important issue to which associations have emphasized is the transportation of goods by road.

Thus, the text of the letter states that it is necessary to introduce a differentiated approach to the establishment of maximum permissible weight limits for vehicles, which can be transported by local roads depending on their weight characteristics (number of axles, distance between converged axles, number of wheels on the axis, etc.). The current limitation (axle load not exceeding 7 tons, or actual weight no more than 24 tons) only causes losses for law-abiding carriers and generates corruption risks.

 

In addition, associations insist on improving the procedure for issuing permits for the movement of large-scale agricultural machinery by motorways in order to minimize both business losses and the budget to comply with unnecessary bureaucratic procedures.

When harvesting often there is a need for prompt decision making on the transfer of machinery to a specific site. And it's impossible to get permission quickly. Therefore, signatories note that large-sized vehicles should be allowed to be transported by road without obtaining a special permit, but subject to a number of requirements (the obligation to move only at the time of daylight and to move along the route, ensuring uninterrupted traffic of oncoming vehicles and the opportunity to overtake).

The associations are urging the prime minister to set up working groups to address these issues.

"We ask you to take personal control over the resolution of the issues raised in this letter and to facilitate the creation of working groups in the relevant areas of solution of such a problem for the elaboration and implementation of concrete ways to solve it," the statement reads.

In April 2018, the Ukrainian Agricultural Council appealed to First Deputy Minister of Agrarian Policy and Food Maxim Martynyuk and Minister of Internal Affairs of Ukraine Arsen Avakov to create a joint working group with the participation of representatives of the UAC to work out and make recommendations for the unimpeded use of general-purpose roads by agrarians.

In July, the UAC initiated and joined the drafting of the bill, which envisages changes to the current legislation regarding the use of general-purpose roads by agrarians.

It is worth noting that in the EU countries, the movement of large-scale agricultural machinery in the field is permitted, and in Ukraine this is considered a violation.

Tuesday, 7 August 2018

 

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