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Lithuania offers another way to export grain from Ukraine.

Lithuania offers another way to export grain from Ukraine.

KLAIPEDA, LITHUANIA - AUGUST 12, 2015: Klaipeda seaport with cargo ships and cranes

After Russia’s withdrawal from the grain agreement, the port of Klaipėda may become a new gateway for Ukrainian agricultural products. Lithuania has proposed to deliver Ukrainian grain to the port via the Niman River, Delfi reports. Using an inland water corridor may be the best logistical solution. It would also contribute to the development of freight transportation on the country’s largest river.

When transporting Ukrainian grain by rail and reloading it in Kaunas, it would be necessary to change tracks and transship the cargo from one train to another not once, but twice. Eliminating the additional grain transfer would significantly reduce costs.

Freight transportation by inland waterways can be 30-40% cheaper than by land. In addition, it is possible to improve the grain storage and transshipment capacities of the Linas Agro holding, which is already operating at the Nieman berths.

As well, the construction of the European railway line to Klaipeda will take time. However, by including its inland waterways in the transport chain, Lithuania could receive Ukrainian grain and other cargoes at the Klaipeda port. And the port could become an alternative to the Polish ports of Gdansk and Gdynia.

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