Ukrainian investors ready to finance broad gauge railway to ports in Poland and Lithuania for grain transit

Ukrainian investors are ready to finance building of a broad railway gauge from Ukraine to the stations in Gdańsk, Poland, and Klaipėda, Lithuania, facilitating the transportation of Ukrainian grain and providing an opportunity to earn from transit.

Source: Mykola Solskyi, Minister of Agriculture of Ukraine, in an interview with Polish media Puls Biznesu, as reported by Interfax Ukraine

Solskyi said that if a broad gauge railway is built from the border with Ukraine to Gdańsk, Ukrainian companies will guarantee corresponding transportation volumes along this route for the next 10 years.

Quote: "Furthermore, Poland will be able to build processing plants for Ukrainian grain on its coastline and export the finished products, which will naturally bring in more revenue," Solskyi noted.

The minister also pointed out that the number of grain wagons in Ukraine is many times greater than in Europe. Therefore, instead of investing in wagons for the narrow-gauge European standard, building a 1,520 mm gauge railway from the Ukrainian border to the Polish coastline is more practical.

Solskyi also mentioned that some investors in Ukraine are ready to finance such an infrastructure project.

"The question that needs to be addressed is the adoption by the Polish parliament of a simplified procedure for such investment. Such a simplified procedure has been adopted in Poland before, for example, when constructing an oil port or a gas terminal. I know that this proposal has been analysed. However, it is probably better to inquire about the project's fate from Polish sources," the minister added.

Background:

• The United States Agency for International Development (USAID) will assist Ukrzaliznytsia (Ukrainian Railways) in modernising the section from Mostyska station, located on the border with Poland, to Lviv (Sknyliv). Additionally, the agency will promote further integration of the Ukrainian railway into the Trans-European Transport Network (TEN-T) system.

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