In early August, IMK, an integrated agricultural business in Ukraine, began transporting grain from its silos to ports using its newly acquired fleet of grain railway wagons. The company purchased 140 wagons from the Kryukiv Wagon Building Plant, with an additional 10 wagons provided by the USAID Economic Resilience Activity (ERA).
IMK is an export-oriented company with winter wheat and corn being its primary crops for foreign markets. Rail transportation to seaports, followed by sea transport to the end consumer, is identified as the most efficient export channel for the company. On average, IMK needs to transport 60,000 to 70,000 tonnes of grain to ports each month.
By owning a fleet of grain wagons, IMK anticipates significant savings on rail logistics costs. Furthermore, the company plans to expand its fleet by acquiring an additional 150 grain wagons by the end of the year. With this expansion, IMK estimates that up to 80% of its grain exports will be managed using its own wagons starting next year.
