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The Danube shipping company will transport the grain of one of Ukraine’s largest agricultural holdings to Constanta, Romania.

After the release of Zmiinyi Island, the Danube ports have provided Ukraine with an additional $1.5B in income.

Yellow bulk carrier standing at the old shipyard in the dock

Agrarian holding Nibulon announced the beginning of partnership cooperation with the Ukrainian Danube Shipping company (UDP). The contract’s terms provide for using one caravan of the UDP fleet to transport Ukrainian grain from Izmail to the Romanian port of Constanta.

Currently, the Bessarabska branch, located in Izmail, is loading the first barges with grain from Ukrainian farmers, which will soon set off on the first voyage to Constanta by the self-propelled fleet.

Nibulon notes that, with the opening of the Greater Odesa ports, the delivery cost on the Izmail-Constanta route is more expensive on average by $8-10 per ton. At the same time, in a situation where Mykolaiv has been removed as a competitive grain transshipment market, it is not worth relying exclusively on exports that travel through the ports of Greater Odesa, because the situation in the Black Sea can change dramatically.

 

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