Exports of agricultural products by rail across the western border decreased to the lowest level since the beginning of the war

The volume of exports of agricultural products by rail across the western border of Ukraine decreased to an average of 299 wagons/day, which became the lowest figure since the beginning of the war, Spike Brokers reports.

The European market is oversaturated with grain of the old harvest, and local railway operators cannot quickly change freight rates in accordance with the commodity market situation, which makes it difficult to export Ukrainian agricultural products to the EU by land during the last 5 months.

During the week, rail freight rates across Europe fell by 10%, as European logistics operators are not fully loaded.

At the same time, in Ukraine, the number of wagons heading to the ports of Great Odesa increased to 6.2 thousand in a week, and the average daily capacity of unloading wagons in the Black Sea ports is 1.2-1.5 thousand wagons/day.

The export of Ukrainian agricultural products in transit through Poland decreased by three times compared to 2022, from 1 million tons to 350-370 thousand tons per month, as most of the products are now shipped through the ports of the Danube and the Black Sea.

The reduction in transportation volumes under the pressure of reduced inventories and sales by manufacturers has led to a decrease in freight rates for rail transportation, which currently consist of:

• Lviv region — border — $14-23/t,
• Lviv region — port — $21-23/t,
• Ivano-Frankivsk region — border — $16-22/t,
• Ivano-Frankivsk region — port — $22-28/t,
• Kharkiv region — border — $29-35/t,
• Kharkiv region — port — $25-28/t,
• Poltava region — border — $25-34/t,
• Poltava region — port — $21-25/t,
• Cherkasy region — border — $24-32/t,
• Cherkasy region — port — $23-26/t,
• Chop — Northern Italy — 40-45 €/t (March-June),
• Chop — Northern Italy — 45-50 €/t (July-March 2025).