JSC UNITED TRANSPORT AND LOGISTICS
COMPANY AND FUTURE DEVELOPMENT OF
TRANSPORT POTENTIAL FOR THE COUNTRIES OF
THE COMMON FREE MARKET ZONE
utlc.com
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Establishment of the Common Free Market Zone (CFMZ)
The main stages of CFMZ
establishment
17 agreements about the
Common Free Market Zone were ratified by Russia,
Kazakhstan and Belarus on
December, 9, 2010
July 2012 is the start of the Common Free Market Zone
operation
The main decisions
Elimination of customs barriers within
CFMZ;
Unification and simplification of customs
procedures at the outer boundaries of CFMZ (including implementation of e-
document management);
Unification of shipping documents in
CFMZ countries;
Further infrastructure tariff
synchronization within the frameworks
of CFMZ
Development of unitary transport, energy and information systems
Impact on transport sector
1
3
5
2
4
The source: portal Common Free Market Zone EurAsEC, MED, FAS, mass
media analysis
Cutting delay time for
flatcars and containers at the border checkpoints
Steady and smooth
international shipments
Speed gain for block trains
Fixed tariff setting
Quality assurance for the end-
to-end service
The b
asi
c pre
mis
es
for
UTLC e
stablish
ment
1
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Economic growth of the Western China creates the cargo base
for transit to the Central Europe
The b
asi
c pre
mis
es
for
UTLC e
stablish
ment
• Development plan for the Western China in
2011-2015:
– Investments over USD 1,000 billion
– 15,000 km of new railways
– Xinjiang Uyghur Autonomous Region:
Investments of USD 104 billion
– Sichuan province: free economic zone
with 173 world leading companies
– Chongqing is the world leader in the
electronic industry
Dostyk
Brest
Shanghai
Kazakhstan
R u s s i a
Belarus
Hamburg
The source: Deutsche bank
Poland, Slovakia
Germany, Belgium, Netherlands
France, Italy
Spain, Portugal
Western China
Central China
Eastern China
Overall cost of transportation
(taking into account the time factor)
2
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The transit potential is estimated at 1 million TEUs per year
38%
35%33% 35%
35%35% 35% 35%
62%65% 67% 65% 65% 65% 65% 65%
3.7
4.65.3 5.4
4.7
5.55.9
6.0
0
2
4
6
8
2005 2006 2007 2008 2009 2010 2011 2012
Товары с высокой добав. стоимостью
Прочие товары
– Electronics
– Equipment
– Engineering tools
– Auto parts
– Fashionable clothes
The share of goods with high added value in cargo
turnover China-EU is 35-40% …
– High cost of working capital
– Slight share of logistic expenses in
final cost of goods
– Quick return/ quick change of
trends
mln. TEUs
… and these
commodity
groups are very
sensitive to
delivery time
The potential of switching such goods to the land corridor
China-EU is 1 mln TEUs
For reference: the actual volumes of cargo container
transportation in 2014
0
500
1000
1500
2000
Факт2011
Потенциал2011
Потенциал2020
Северо-Западные провинцииЦентральные провинцииВосточные провинции
0
500
1000
1500
2000
РеспубликаБеларусь
РеспубликаКазахстан
Российская Федерация
1 055
285
14
2 200
400 250
This flow will not exceed 7% of
the total cargo container
transportation EU-China-EU
Transit China-EU, thous. loaded TEUs
The b
asi
c pre
mis
es
for
UTLC e
stablish
ment
thous. TEUs (loaded)
3
Goods with high added value Other goods
Fact Potential Potential 2011 2011
North-Western provinces Central provinces Eastern provinces
Republic Republic Russian Belarus Kazakhstan Federation
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The growth of transportations has already started …
4
2011 2014
Chongqing – Duisburg
Chengdu-Lodz
Zhengzhou-Hambur
Wuhan-Pardubice
2013 2012
trains
14
42
76
228 Route 2011 2012 2013 2014 Всего
Chongqing – Duisburg 14 40 35 92 181
Chengdu-Lodz 1 30 45 76
Zhengzhou-Hamburg 11 71 82
Wuhan-Pardubice 1 19 20
Yiw u-Mad rid 1 1
Total: 14 42 76 228 360
2015
420
The customers have already appraised the advantages of the
routes
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0
200
400
600
800
Китай - ЕС ЕС - Китай Переключение импорта
с авто на ж/д
Внутренняя закольцовка
Импорт ЕС - РК Разрыв
.. transit potential may be realized only to scale of
total transportation network
Dostyk
Brest
Kazakhstan
R u s s i a
Belarus
Corridor optimization due to back loading
• Misbalance of cargo flows in directions China-EU
and EU-China
• Import from EU to CFMZ countries is restrained by
lack of back loading
• Possibility to switch part of road import to railway
import
• Use of internal flows of CFMZ countries: the
predominant vector is from West to East
Due to cargo flow combination the
misbalance may be reduced sufficiently
The b
asi
c pre
mis
es
for
UTLC e
stablish
ment
5
China-EU EU-China Import switch Internal Import EU-RK Disconnect from auto to railway connection
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UTLC’s goal is to realize the transport potential of CFMZ
(99,8%) (0,1%) (0,1%)
АО ОТЛК
(100%-1 share) (50% + 2 shares)
Stage I
Current structure of UTLC group Stage II
Future structure of UTLC group
АО ОТЛК
(74,0%) (5,0%) (21,0%)
(100%) (100%) (50% + 2 shares) (100%-1 share) (100%)
БТЛК
6
development of transport and logistics business in the territory of CFMZ
rise in the value of the Group and all its subsidiary companies in particular
providing with synergetic effect from assets use
positive contribution to economics of CFMZ countries
The mission of UTLC group:
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Mongolia
Uzbekistan
Finland
K a z a k h s t a n
R U S S I A
Turkmenistan
Moscow Lithuania
Armenia Azerbaijan
Tadzhikistan
Kyrgyzstan
Latvia
St.-Petersburg
Dostyk
Zabaykalsk
Brest B e l a r u s
Dobra
Estonia
Transshipment terminals
Marketing terminals
The border of the railway 1520 mm
UTLC is the market leader in terms of scale …
7
67 71.2
thous.
IOS-containers
32.8
thous.
Flatcars under
management
incl. 5
Cargo
terminals
Transshipment terminals at the border
869
Own truck fleet
4 Railway ferries
Over
7000
employees
Altynkol
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1,665
mln. TEU
Amount of container
cargo handling
39,2
mln. ton
Amount of non-container cargo transportation and forwarding
… and the network covering of business
8
1,707
mln. TEU
Amount of cargo container transportation
3,3
mln. ton
Amount of non-
container cargo
handling
TRANSPORTATIONS AND FORWARDING TERMINAL TRANSACTIONS
300 000
routes
70 000
customers
Amount of ferry transportation 756
thous. ton
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Macroeconomic effect for CFMZ countries
Income from infrastructure
use (mln. USD)2
Contribution to GDP (mln.
USD)3
Т+7
554
Т+5
93
Т+2
27
Т+7
862
Т+5
147
Т+2
44
155
29 9
1. Net sales of all CFMZ administrations. 2. Only for EU-China transit volumes and potential of import sw itching from road and sea freight to railw ay, in 2018 an extra-inflation tariff grow th for infrastructure by 5% is planned. 3. Note: all estimations are given in prices of 2012. 5. The calculation is given w ith due regard to multiplicative effect on economics, namely the w orking positions not only in transport industry. The calculation covers increase of labour efficiency of certain economics in 2012.
Creation of working positions4
(thous. units, accumulated)
Т+7
5 317
Т+5
453
Т+2
75
1 025
94 16
1,5
22,5
4,4
3,4
0,7 0,3
Т+7
17.2
Т+5
3.3
Т+2
1.2
Т+2 Т+5 Т+7
Т+2 Т+2 Т+2
Т+5 Т+5 Т+5 Т+7
Т+7 Т+7
9
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10
Thank you for your attention!
Yerkhat Iskaliyev
First Vice President, JSC United Transport and Logistics Company
Tel.: +7 (7172) 557 888
Fax: +7 (495) 262 75 78
E-mail: [email protected]
www.utlc.com
1
Prospects and challenges for rail in view of the development of new EU-Asia connectivity
3rd ASEM Transport Ministers’ Meeting, Riga
2
Huge demand for good East-West logistics
75 billion USD transport potential between Europe and Asia
3
Is the EU infrastructure prepared?
Is there enough money? Are freight corridors really
working? Is rail freight competitive in the
EU?
4
The TEN-T network to boost rail infrastructure; CEF in place
26 euro billion for TEN-T projects
80% of projects are rail projects
Importance of cross-border links recognized, also towards third countries
5
However: EFSI: cutting CEF for private investments (EP did not agree!)
315 euro billion of planned spending capacity
An EU credit guarantee which cuts 18% of the CEF budget
The EP heavily objected, not the Council
6
Rail Freight Corridors: harmonisation of rules is necessary
Implementation schedule is respected
But rules change from corridor to corridor, with different priority rules, harmonisation is heavily needed
7
Eastern entry gates: a priority for the EU
Cross-Baltic traffic to be fostered
Investments in rail-ports infra are needed
For Greece and Balkans ‘regional thinking’ should be fostered to trigger the potential of Turkish investments
8
Provide EU co-funding for the building and maintenance of rail infrastructure via Structural Funds and CEF
Ensure reliable and adequate public funding for rail infrastructure, preferably through multi-annual contracts
Implement harmonised the technical requirements across Europe
Ensure alignment between rail and road infrastructure charges for freight
Fully internalise the external costs of transport by applying the polluter-pays principle
CER policy recommendations
All three key elements of the sustainable rail development must always be promoted!
Infrastructure
Intermodal level playing field
Intramodal competition
For regular updates on CER activities, visit our website: www.cer.beor follow @CER_railways
Libor LochmanCER Executive DirectorTel: +32 (0)2 213 08 72E-mail: [email protected]
1
Hans-Georg Werner
DB Schenker Rail AG
Riga 29th April 2015
“Development of Euro-Asia Multimodal
Transport Connectivity”
3rd ASEM Transport Ministers’ Meeting
With its nine business units DB is active in all segments of
the transport market
1 Within Germany as well as cross border traffic; 2 In UK with Arriva-affiliate ‘CrossCountry’ also long-distance passenger transport;
3 Business unit is assigned to the Infrastructure and Services division
Passenger Transport: Domestic and European-wide mobility
services
� DB Bahn Long DistanceLong-distance rail pass. transport1
� DB Bahn RegioRegional/urban pass. transport (GER)
� DB ArrivaRegional/urban pass. transport (EU)2
DB Services3
Integrated range of services
Infrastructure:Efficient and future-oriented rail
infrastructure in Germany
� DB Netze TrackRail network
� DB Netze StationsTraffic stations
� DB Netze EnergyTraction current
Transportation and Logistics: Intelligent logistics services via land,
air and the sea
� DB Schenker RailEuropean rail freight transport
� DB Schenker LogisticsGlobal logistics services
Deutsche Bahn
DB Mobility Logistics AG, Transportation and Logistics division 1
2
DB is the second biggest worldwide provider of
transport and logistics services
� As of December 31, 2014; Figures are rounded
DB Schenker Rail
DB Schenker Logistics
Transportation and Logistics
� 2,000locations in over 140 countries
� 5,000freight trains with more than1 million tonnes per daythrough Germany/Europe
� 99million shipments sent per year via European landtransport
� 7million square meters ofstorage space around theworld
� 2,000locations in over 140 countries
� 5,000freight trains with more than1 million tonnes per daythrough Germany/Europe
� 99million shipments sent per year via European landtransport
� 7million square meters ofstorage space around theworld
DB Mobility Logistics AG, Transportation and Logistics division 2
Global transport networks for all modes of transport
strengthen the market position of DB Schenker
Source: DB 1 According to tkm 2 According to revenue 3 According to t 4 According to TEU 5 According to revenues
Transportation and Logistics
DB Mobility Logistics AG, Transportation and Logistics division 3
3
DB Schenker offers a wide range of products
between Europe and Asia including customer door-to-door solutions
Profitable market leader
Network integrated transport – and logistics services
� Enhancement of solutions for
selected corridors
– Transeurasia (China train)
– Southeast-Europe
(Central Europe/Turkey)
� Strengthening hinterland
networks of DB Schenker Rail
and DB Schenker Logistics
Ocean in Europe
� Cross-business unit
development of multimodal
industry solutions, for example
regarding automotive, industry
and consumer goods
Current actions
Multimodal transport solutions with
integrated contract logistics solutions
Dedicated industry solutions and market
development through competence centers
Door-to-door-solutions for the entire supply chain
Source: GSL
Product portfolio
DB Mobility Logistics AG, Transportation and Logistics division 4
DB Schenker is continuously developing
the rail corridor between China and Europe
Northern route
� Distance from Shanghai
approximately 12,900 km
� Transit time (terminal-
terminal): 18 – 20 days
� Uses the Trans-Siberian
Railway
Southern route
� Distance from Chongqingapproximately 10,300 km
� Transit time (terminal-terminal): 16 – 18 days
� First pilot transports in 2011
� Additional border crossing and stop
� Transport alternative with
- Lower transport costs than air freight and
- Shorter transit times than ocean freight
� Interesting for customers in different industries, including electronics, automotive, chemicals
� Uses DB Schenker’s (logistics) networks and resources in China and Europe
� Trans Eurasia Logistics (TEL), an affiliate of Deutsche Bahn, operates rail service between the terminals
Routes
RU
BY
KAZMN
PL
CN
Chongqing
Duisburg
Mala/
Brest
Dostyk/
Alashankou
Zabaykalsk/
ManzhouliMoscow
Shanghai
Development Euroasia corridors
DB Mobility Logistics AG, Transportation and Logistics division 5
4
Rail
The DB activities regarding China Train products are
continuously expanded
till 2010 2011 2012 2013 2014 2015
� First train
Beijing-
Hamburg
in 2008
� Test service
on Northern &
Southern
route in 2010
� 11 company
trains run on
a non-regular
basis
Chongqing -
Duisburg
� Start of regular
company train
on Northern
route Leipzig -
Shenyang
� Almost 250
company
block trains
east and
westbound:
− Chongqing -
Duisburg
− Leipzig -
Shenyang
� Regular
container
shipments
China-CIS
and growing
number of
single
containers
handled
� Over 300
regular trains
east and
westbound
operated by
DB Schenker
� Almost
15 tsd. TEU
transported
east and
westbound
� First regular
multi-customer
-train service
launched
� Almost
30 tsd. TEU
transported
east and
westbound
� New public
block train
Suzhou -
Warsaw
launched
Number
of trains /
Key events
Development of China Trains activities
� Pilot public
block train
Changsha –
Duisburg/
Hamburg is
to be launched
Development Euroasia corridors
DB Mobility Logistics AG, Transportation and Logistics division 6
Rail
Nowadays, increasing number and full scope of
rail products is operated on the Trans Eurasian corridor
7
Container
Transport
Conventional
Rail
Transport
Product Comments
■ Cargo with large volume or
heavier than container load.
■ Use of conventional wagons
Oversized
Shipments
■ Single containers as well as
container groups
■ Company trains for volumes
over 50 FEU
■ Oversized machine &
equipments
■ Use of flat wagons
Rail product portfolio
DB Mobility Logistics AG, Transportation and Logistics division
5
Rail
Our experience confirms that rail transports are suitable
for many industries and can be integrated into customer’s supply chains
� Hi-tech/Electronics
� Automotive
� Manufacturing
� Consumer
Notebooks
Chongqing-Duisburg company train
CKD parts (completely knocked down)
Leipzig-Shenyang company train
Moulds & nuclear equipment
Chengdu and Zhengzhou public trains
Cosmetic products
CN – Russia/Central Asia by single wagon
Rail product portfolio
DB Mobility Logistics AG, Transportation and Logistics division 8
Rail
However, rail still remains the only transport mode
without uniform rules for international long distance traffic
One legal regime for Road: CMR (Convention on the Contract for
the International Carriage of Goods by Road)
One legal regime for Sea: Hague/Visby-Rules
One legal regime for Inland waterway: CMNI (convention on the
contract for the carriage of goods by inland waterway)
One legal regime for Air: Warsaw / Montreal Convention
Two Legal Regimes for Rail:
1. COTIF /CIM (Convention concerning international carriage by
rail / Uniform rules concerning the contract for international
carriage of goods by rail)
2. SMGS (Agreement on International Goods Transport by Rail)
Current challenges
DB Mobility Logistics AG, Transportation and Logistics division 9
6
Rail
The common success will be achieved only if we will
cooperate and together offer a holistic solution
1. Know-how from various
countries and customer
requirements
2. Good relations with other
players on the local markets
and infrastructure
managers/owners
3. Ability to navigate the murky
waters of legal/formal
requirements
4. Contacts with local “last mile”
and additional service providers
(logistics companies)
5. Question of assets and their
ability to fit the local conditions
Key aspects for contribution to the whole
Since one operator or
logistics company cannot
cover all the bases,
creating alliances and
partnerships to bundle
capacities on corridors
is the only way to be able
to offer a holistic product
the customer expects
Where we want to go
DB Mobility Logistics AG, Transportation and Logistics division 10
Rail
Thank you for your attention
DB Mobility Logistics AG, Transportation and Logistics division 11
7
Rail
BACK UP
DB Mobility Logistics AG, Transportation and Logistics division 12
RailDB Mobility Logistics AG, Transportation and Logistics division
Growth as a result of liberalization and the rise of
emerging markets are the new challenges for main logistic players
� Growth continues in emerging markets, in large parts due to continued
population growth; new, robust domestic markets are emerging
� Rising importance of regional trade flows offers growth opportunities for
logistics
� Climate change and oil shortages are becoming reality; the risk of external
shocks is rising; the economy is becoming more volatile overall
� Governmental institutions are imposing tighter regulations; the public is
increasingly getting involved, e.g. in infrastructure projects
� The electricity turnaround means a shift to renewable sources of power;
transportation markets continue to open up for competition
� Sovereign debt is making it harder to fund transportation projects; at the
local level, however, people are rethinking transport planning, with a shift to
more interconnected and eco-friendly modes
Economy
Government
New value-chain
conditions in logistics
Rise of emer-
ging markets
Increasing regionali-
zation of trade flows
Real economic
volatility
Oil shortage
Sovereign
debt
Electricity
turnaround
Regulatory
framework
Liberalization
Rethinking
transport planning
Climate
change
Current challenges
13
5/7/2015
1
© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice. HP Private.
Leadership by Supply chain
Volker SchmitzHP PPS EMEA Operations
ASEM Transport Ministers Meeting - Riga
April 29-30, 2015
© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.2
HP orchestrates a very large & complex supply chain
Text
here
Te
xt
he
reText
here
Te
xt
he
re
288 Tons
5/7/2015
2
© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.3
Land B
ridge
Sea R
oute
5 Days; $ +++
Western China Multi-Modal Logistics
Different routes to Europe are
available, with varying Transit
Times and Costs
Air
connection
17 Days; $ ++
35 Days; $ +
Large manufacturing base
Chongqing
WuhanShanghai
Shenzen
© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.4
The Iron Silk Road
In b
rief
Benefits
Containers Trains Products
705 187 7.8M
Activity since 2011:
CO2 emission kg/km
• Lower cost vs. Air
• 1-2 weeks less transit time vs. Sea, and more reliable
• Low CO2 emission
� 1st to launch train in 2011
� Year-round operation (Winter train)
� Scaled for volume shipments
� Notebooks, Printers, Displays
Between Chongqing (China) and Duisburg (Germany): 11,179 km, 6 countries
Change of railway track gauge: twice
5/7/2015
3
© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.5
Needs to further develop the train route
Increased security ,
e.g. at rail terminals
and border
crossings
Support business in
the direction of
China to fill trains
both ways
© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.
Thank you !
07.05.2015.
1
Ministry of Transport of the Republic of Latvia
LATVIAYOUR GATEWAY TO
NORTHERN EUROPE
GENERAL OVERVIEW - MULTIMODAL CORRIDORS
07.05.2015.
2
Three main ports of Latvia:
Freeport of Riga
Freeport of Ventspils
Liepaja Special Economic Zone
Freeport statuss
Tax advantages for investments
Free land plots available
Up to 17 meters deep
GENERAL OVERVIEW
CARGO TURNOVER INCREASED IN LATVIAN PORTS
GENERAL OVERVIEW
2005-2014. (thsd.t.)
60 041.9 59 496.662 434.4 63 644.8
61 980.1 61 159.9
68 821.0
75 193.0
70 480.2
74 176.1
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
07.05.2015.
3
PROPORTION OF FREIGHT BY TYPE OF GOODS
GENERAL OVERVIEW
2014
chemicals
6%
coal
28%
oil
0%
oil products
34%
containers
6%
roll on/roll of
4%
wood products
7%
ferrous metals
0% other
15%
CONTAINERISED CARGO TURNOVER IN PORTS
GENERAL OVERVIEW
2005.-2014. (TEU)
172 681
198 876
236 351 229 248
184 399
256 271
305 939
366 824385 665 391 218
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
07.05.2015.
4
Container terminals
•Baltic Container terminal
•Riga Container terminal
•Riga Universal terminal
•Man-Tess
Lines
Containerships
Riga –Teesport – Rotterdam – Aarhus - Helsinki –
St.Petersburg – Klaipeda – Sodertalje – Sheerness –Gent –
Hamburg
French Baltic Line (CMA-CGM)
Hamburg – Bremerhaven– Riga- Klaipeda – Hamburg
UniFeeder Container Service
Hamburg – Bremerhaven – Riga – Klaipeda
Mann Lines Multimodal
Riga – Rotterdam – Bremerhaven - Kaliningrad – Gdynia –
Riga
Mediterranean Shipping Company (MSC)
Antwerpen – Bremerhaven – Riga – Tallinn
Team Lines
Hamburg – Klaipeda – Riga – Hamburg
Maersk Line
Bremerhaven - Riga – Klaipeda –Aarhus – Bremerhaven
Tallink
Riga – Stockholm
Man-tess Line
Kiel-Petersburg - Riga - Kiel
Other lines - OOCL, CSCL, Evergreen, etc. using services
of common feeders
Terrabalt
Stena Line
Travemund – Liepaja -
Travemund
Nord Natie Terminal
Stena Line
Ninesham-Ventspils-Ninesham
Travemund – Ventspils-Travemund
GENERAL OVERVIEW
Port of Riga Port of Ventspils Port of Liepaja
GENERAL OVERVIEW
BENEFITS
1520
There is no need:
to spend time at bordercrossings
to change wheels
to change the documentation
to make customs clearance on the border
single infrastructure
single rolling stock
unified information exchange system
single documentation
07.05.2015.
5
CARGO TURNOVER IN RAILWAYS
GENERAL OVERVIEW
2004-2014. (thsd.t.)
51058
54861
4873152164
5606153681
49165
59386 60603
55832 57040
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
CARGO STRUCTURE BY TYPE OF GOODS
GENERAL OVERVIEW
2014
Coal
36%
Oil and oil products
37%
Ferrous metals
3%
Fertilizers
8%
Wood products
2%
Chemicals
8%
Containers
2%
Other
4%
07.05.2015.
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CONTAINERISED CARGO VOLUMES
GENERAL OVERVIEW
2004.-2014. (TEU)
23 485 25 199
32 657
55 334 52 759
71 142
98 223101 099
111 117
97 710 97 028
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Railways
Almaty
Moscow
Bishkek
Kabul(Bagram etc.)
Tallinn
Ilyichevsk Odessa
Baltica Transit
NDN(Northern Distribution Network)
Zubr
Riga Express
CONTAINER TRAINS FROM LATVIA
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Railways
Almaty
BALTICA TRANSIT
� Established in 2003
� Connects Baltics with Central Asia
(Kazakhstan, Uzbekistan, Turkmenistan,
Kirgizstan and Afganistan
� Operated by FESCO (LDz Cargo Logistika)
Riga - Alma-Ata 12 daysAshabad 18 daysBishkek 13 daysDushanbe 18 daysTashkent 17 daysHairaton 16 days
Advantages:� regular service 2-3 times a week� 12 years experience� collects cargo from all Baltic ports� short transit times� tracking and tracing online� electronic priarival declaration� simplified customs transit procedures
Railways
Almaty
BALTICA TRANSIT – NEXT STEPS
Dostyk
Horgos
Urumqi
48 h
26.4 mln
customers
� Connections with China� Main market – Urumqi city and
Xinjiang region� Distribution in the Baltics and
Scandinavia
07.05.2015.
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Transport mode index:
CN-KZ by rail (switch gauge: Alashankou-Dostik)
KZ-RU-LV by rail (gauge 1520mm)
LV-CZ/NL by truck
LV-EU by seafreight
Test train was organized in 2008
4 countries were involved:
China, Kazahstan, Russia, Latvia
Cargo: 96 TEU with tomato pasta
Further form Latvia cargo was deliverad partly to
Germany and Italy using road and sea transport
Demonstrated results:
10 day transit time from Dostyk to Riga terminal
14 days in total from Urumqi to door in Central EU
TEST TRAIN: URUMQI - LATVIA
Urumqi
Urumqi – Riga
13 days(according to test train organized
in 2008)
Sea route around the
continent
35 days
ALTERNATIVE COMPARISON
TIME SAVING – 25 DAYS
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Railways
Tallinn
Ilychevsk Odessa
CONTAINER TRAIN - ZUBR
� Launched in 2009
� Railway companies from 5 countries:
Latvia, Belarus, Ukraine, Estonia and
Moldova
� operators: Latvia: LDz Cargo Loģistika SIA;
Belarus: BELINTERTRANS (BTLC State
Enterprise), Estonia: AS EVR Cargo,
Ukraine: UGCTS „Liski”,
Moldova: „ Union ekspedicya „)
Cargo delivery route Delivery time
Tallinn - Odessa/Ilyichivsk83 hours or 3 days 11
hours
Riga - Odessa/Ilyichivsk66 hours or 2 days 18
hours
Odessa/Ilyichivsk - Riga63 hours or 3 days 15
hours
Odessa/Ilyichivsk - Tallinn83 hours or 3 days 11
hours
Railways
Tallinn
Ilychevsk Odessa
CONTAINER TRAIN - ZUBR
Main markets for Development:
� Black sea region: Turkey, Georgia, Azerbaijan and
connections over Caspian sea to Kazahstan and
Turkmenistan
� On the north – Baltic and Scandinavian countries:
Latvia, Lithuania, Estonia, Finland Sweden, Denmark,
Poland and Germany
48 h
26.4 mln
customers
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Railways
Bishkek
Kabul(Bagram etc.)
NORTHERN DISTRIBUTION NETWORK
� Riga including port and airport as the
main hub of the NDN
� Fully recognized by the US and
NATO partners
� Total cargo volumes trasshipped by
NDN reached 100 000 containers in
June 2013
� Launched in 2009
� NDN has developed in to multimodal transport
corridor using all transport modes: rail, road, air, and
sea
� Most of cargo were shipped for the US to Afganistan
� Since 2010 road transport has been involved on
regular bases
� Since 2012 air transport has been involved on
regular bases
Railways
Moscow
CONTAINER TRAIN: RIGA EXPRESS
� Since 2010 private rail operator
SRR started weekly containerservice on the route Riga – Moscow
� Full package of services such as rail
transportation, customs clearance,
door to door deliveries, FCL, LCL and
project cargo transportation included
07.05.2015.
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Latvia is perfectly located to provide
logistic and distribution services in Baltics
and Scandinavia;
Within 24 hours goods can be delivered to
any customer in the Baltic states and even
till Helsinki, Stockholm and Warsaw;
In 48 hours we provide deliveries to any
consignee within Scandinavia with total
consumer market 26.4 million people;
We can use any type of transport: road,
rail, sea and air;
Wide range of customs warehouses,
logistic centers, forwarding companies
available.
DISTRIBUTION SERVICE
26,4 MILLION CONSUMERS
REACHABLE WITHIN 48 HOURS
FREEPORT OF RIGA
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Main infrastructure figures
FREEPORT OF RIGA
Total port area: 6 348 ha
Land area: 1 962 ha
Water area: 4 386 ha
Available land: 445 ha
Total berths length: 13.8 km
Max. depth: 16.0 m
Max. vessel draft: 14.7 m
Total terminal cargo handling capacity:
45 mln.t/year
Vessel max. capacity: 118 590 DWT
Freeport of Riga
2004-2014 (thsd.t.)
TOTAL CARGO TURNOVER
23 991.3 24 429.1 25 357.0 25 932.8
29 565.9 29 724.4 30 475.6
34 053.636 051.9 35 466.7
41 080.6
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
07.05.2015.
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Freeport of Riga
2014
PROPORTION OF FREIGHT BY TYPES OF GOODS
Chemicals
6%
Coal
37%
oil products
25%
Containers
10%
Roll on/
Roll of
1%
wood products
6%
metals
1%other
14%
Freeport of Riga
2004-2014 (TEU)
CONTAINARIZED CARGO TURNOVER
152166168978 176826
211840 210953
182980
254475
302973
362297381099 387603
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
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Freeport of Riga
TERMINALS, COMPANIES
33 stevedoring companies
28 ship agencies
37 companies provide different
facilities for cargo warehousing
16 companies operate customs
warehousing
7 companies provide different added
value services
12 companies offer cargo forwarding
services
Freeport of Riga
Dry bulk handling
19 terminals
main types of cargo: coal,
fertilizers, ore, woodchips, grain
total handling capacity 31 mln.t
max draft at dry bulk berth 14.7 m
TERMINALS
Liquid bulk handling
10 terminals
main types of cargo: fuel oil, gas oil, gasoline, jet fuel, kerosine
total handling capacity 11 mln.t
tank farm – 350 thsd.m3
max draft at liquid bulk berth 12.5 m
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Freeport of Riga
General cargo handling (excludingcontainers)
20 terminals
Main types of cargo: timber, ro-ro, refrigerated cargo
total capacity 6 mln.t
refrigerated storage 13 000 t
max draft at berth 10.3 m
TERMINALS
Container handling
3 terminals
total capacity 560 thsd. TEU
max draft at container berth 13.5 m
Freeport of Riga
Port Authority’s Investments:
1. Deepening of the fairway to 15 – 17m;
2. Multifunctional dry bulk terminals on the Krievu sala;
3. Modernization of the port’s railway network;
4. Construction of a new railway bridge
Private Investments:
5. Oil products terminal in Bolderaja;
6. Liquified natural gas (LNG) terminal in Daugavgrīva;
7. Terminals on the Kundziņsala island (fertilizers, containers,
grain and logistics park);
8. Terminal for production and handling of bioethanol
445 ha of land available for development in Spilve greenfield
areas; large scale industrial projects for cargo handling and
processing, logistics and regional distribution (orange colour on map).
Total port investment portfolio 1.1 bln EUR
- Port Authority’s investment 300 mln EUR
- Private investment 757 mln EUR
DEVELOPMENT PROJECTS
07.05.2015.
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FREEPORT OF VENTSPILS
Main infrastructure figures
FREEPORT OF VENTSPILS
Total port area: 2 623.9 ha
Land area: 2 357.1 ha
Water area: 265.9 ha
Available land: 1 000 ha
Total berths length: 11 km
Max. depth: 17.0 m
Max. vessel draft: 15.0 m
Total terminal cargo handling capacity:
43 mln.t/year
Vessel max. capacity: 150 000 DWT
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Freeport of Ventspils
2004-2014 (thsd.t.)
TOTAL CARGO TURNOVER
27 805.3
29 863.0 29 062.231 037.3
28 569.626 640.2
24 816.0
28 451.730 346.1
28 765.8
26 205.6
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Freeport of Ventspils
2014
PROPORTION OF FREIGHT BY TYPE OF GOODS
Chemical
6%
Coal
22%
wood products
0%oil products
58%
Roll on/Roll of
7%
timber
2%other
5%
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Freeport of Ventspils
TERMINALS
Dry bulk handling
6 terminals
main types of cargo: coal, fertilizers,
woodchips, grain
Max vessel lenght at berth 275 m
max draft at dry bulk berth 14.7 m
Liquid bulk handling
4 terminals
main types of cargo: petroleum products, liquefied gas, diesel fuel, other chemicalcargoes
total liquid bulk storage tank volume –1500 thsd.m3
max vessel length at berth 275 m
max draft at liquid bulk berth 15 m
Freeport of Ventspils
TERMINALS
Oil product pipeline
Connected with Belarus/Russia
Pipeline capacity 6 mlj.t/year
General, ro-ro and containarized cargo handling
3 terminals
main types of cargo: timber, ro-ro, refrigerated
cargo
max vessel lenght at berth 240 m
max draft at dry bulk berth 12.5 m
container terminal total capacity 150 thsd.
TEU/year
refrigerated cargo terminal capacity 150 thsd.t
/year
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Freeport of Ventspils
PASSENGER TRAFFIC
2009-2014
15741 18194
53127
61626 60103
82952
2009 2010 2011 2012 2013 2014
Freeport of Ventspils
Finnlines
Lubeck – Ventspils – Saint Petersburg
Stena Line
Nineshamn – Ventspils – Nineshamn
Travemund – Ventspils – Travemund
REGULAR LINER SERVICES
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Freeport of Ventspils
DEVELOPMENT PROJECTS
Northern Port Project
Area: ~100 ha + possible landfill in the sea
Long term (45+45 years) land lease agreement
~100ha
Freeport of Ventspils
DEVELOPMENT PROJECTS
Development sites for technology, industrial
and logistics companies
Large scale industrial sites located in the special
economic zone and available for rent or purchase
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Freeport of Ventspils
INDUSTRIAL ZONE
Since 2002, the operation of Ventspils has attracted 20 new (foreign and domestic) companies.
At present, in the Ventspils Freeport industrial zone works (few of them):
SIA Ventspils Metināšanas Rūpnīca (Latvia)
• Production of steel products, including
oversize constructions
• ~120 employees
SIA «Malmar Sheet Metal» (Belgium)
• Metalworking products for automotive industry,
supplier of Scania, Volvo, MAN, Caterpillar etc.
• ~100 employees
Freeport of Ventspils
INDUSTRIAL ZONE
SIA “EURO LCDs”
• Manufacturer of LCD pannels, light polarizing
modules, 3D displays
• Premisses ~4200sq.m with integrated
cleanroom~2000sq.m under construction
• ~50 new workingplaces
SIA “Ventspils Elektronikas Fabrika”
• Belongs to the group of the largest latvian
electronics components producer
• ~40 employees
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LIEPAJA SPECIAL ECONOMIC ZONE
Main infrastructure figures
LIEPAJA SPECIAL ECONOMIC ZONE (SEZ)
Total port area: 1 182 ha
Land area: 372 ha
Water area: 810 ha
Available land: 170 ha
Total berths length: 8.17 km
Max. depth: 12.0 m
Max. vessel draft: 10.8 m
Total terminal cargo handling capacity:
9.2 mln.t/year
Vessel max. capacity: 50 000 DWT
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Liepaja Special Economic Zone
2004-2014 (thsd.t)
TOTAL CARGO TURNOVER
4 474.1 4 508.4
4 000.7 4 038.7 4 187.74 381.3 4 383.8
4 856.8
7 431.4
4 838.2
5 299.8
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Liepaja Special Economic Zone
2014
PROPORTION OF FREIGHT BY TYPE OF GOODS
grain
52%
oil products
3%
oil
2%
containers
1%
Roll on/Roll of
15%
timber
9%
metal
0%
wood materials
1% other
17%
07.05.2015.
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Liepaja Special Economic Zone
TERMINALS
Dry bulk handling
8 terminals
main types of cargo: grain (wheat, barley, rapeseeds, etc), peat, woodchips, buildingmaterials (crushed stones, limestone, cement, etc), ore, scarp
max length of vessel at berth 240 m
max draft at dry bulk berth 10.80 m
Liquid bulk handling
6 terminals
main types of cargo: oil, crude oil, gas oil, baseoil, molasses, vegetable oil, coal tar
total liquid bulk turnover volume – 1 milj.t/year
total reservoir capacity 75 000 m3
max length of vessel at berth 165 m
max draft at liquid bulk berth 8 m
Liepaja Special Economic Zone
TERMINALS
General, ro-ro and containarized handling
5 terminals
main types of cargo: timber, ro-ro, containers, fertilizers in big-bags, frozen cargo, metals –ferrous and non-ferrous
max vessel length at berth 240 m
max draft at berth 10 m
Container/ro-ro terminal total capacity 100 thsd. TEU/year
refrigerated cargo terminal storage 25 200 m3
07.05.2015.
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Liepaja Special Economic Zone
OTHER SERVICES
In port operates ship repair and shipbuilding
companies:A/S «Tosmares Kuģubūvētava»
SIA «Liepājas Kuģu Būves rūpnīca»
Main activities:
• ship and boat building
• ship and boar repair at berths and in dry and
floating docks
• special hardware repair
Yacht service:
• facilitaded guarded berths
• draft restrictions 3.8 – 4.4 m
Liepaja Yacht Centre provides the necessary
services to the quay – moorings, water supply,
power supply, security guards berth.
Liepaja Special Economic Zone
PASSENGER TRAFFIC
2007-2014
1162115
20041
10674
18586
33361
42607 42305
2007 2008 2009 2010 2011 2012 2013 2014
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Stena Line
Travemund – Liepaja – Travemund
Nineshamn – Liepaja - Nineshamn
REGULAR LINER SERVICES
Liepaja Special Economic Zone
Liepaja Special Economic Zone
BUSINESS INFRASTRUCTURE
Special Economics Zone
• direct tax reductions forthe Liepaja SEZ
companies
• ice free port / logistic
services
• integrated anddeveloping transport
infrastructure
Territories for development
• industrial and businessparks
• greenfield and brownfieldterritories
• supportive back-up team for
development projects
Industrial capacity
• strong industrialbackground
• competitive labourand resource costs
• high productivity
07.05.2015.
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Liepaja Special Economic Zone
DEVELOPMENT PROJECTS
Greenfield territory for development of combined general
cargo, RO-RO and container handling terminal:
Land territory: 16 ha, by executing land reclamation
works: 30 or more ha
Coastline length: 700 m
Liepaja Special Economic Zone
DEVELOPMENT PROJECTS
Greenfield territory for development of combined
general cargo, RO-RO and container handling terminal:
Land territory: 25 ha, by executing land reclamation
works: 50 or more ha
Coastline length: 1000 m
07.05.2015.
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