Ukrzaliznytsia's 37% Freight Tariff Hike Amid Railway Struggles

Ukrzaliznytsia is increasing freight tariffs by 37% to address rising fuel, electricity, and equipment repair costs amid Russian attacks. This decision faces opposition from farmers and steelmakers who fear the price hike will further harm Ukrainian exports of grain and metal products, already hit by a reduced sowing area and global challenges.

Ukrainian national railway operator, Ukrzaliznytsia, announced a 37% increase in freight tariffs, citing soaring costs for fuel, electricity, and equipment repairs amid ongoing Russian aggressions.

The decision is contentious, with farmers and steelmakers opposing the hike due to its potential impact on Ukrainian exports, particularly grain and metal products.

Industry associations, including the UCAB and UGA, warn that the tariff increase could exacerbate difficulties for farmers who are already grappling with falling global food prices and a reduced sowing area due to adverse conditions.

(With inputs from agencies.)