Who Will Carry Grain?

04.09.2008 (18:12)

 The company Rusagrotrans will be established soon. It is founded by First Cargo Company OJSC (FCC) and Russian Transport Company. This decision was approved by the Board of directors of OAO RZD.

It is known that the first Cargo Company plans to create the special company to transport grain. However, the main question is the impact of this step on grain transportation sector.

The new operator will own 7,997 wagons for grain transportation of the First Cargo Company at cost of 3.8 bln rubles and the wagons of Rustranskom at the cost 3.7 bln, thus authorized capital will amount to 7.5 bln rubles, FCC will own 51%, Rustranskom – 49%.

“It will be the largest owner of wagons for grain transportation and the largest company carrying grain”, Oleg Rogachev, Head of Rustranskom says.

The company will increase quantity of wagons. It is important due to annual lack of wagons. Park should be increased or renewed. There are wagon building plants which can supply their products, but there are no clients. Therefore they produce gondola cars and wagons for cement transportation which are in demand.

“Nowadays the plants produce gondola cars, but cost of these wagons are little more than cost of wagons for grain transportation despite that labor coefficient is 30-50% more”, Alexandr Bityutsky, Director of Engineering Center of the RF Wagon building Union confirms.

According to FCC, 226 wagons were produced in 2008 including 216 ones by Ruzhimmash OJSC. Only 302 wagons were produced in 2007. The market of grain transportation in private rolling stock is not developed. Private companies don’t purchase their own park due to high tariffs on the grain transportation and price of the wagons for this cargo transportation (2-2.5 mln rubles). “There is a problem of long term payback of investment, it is unacceptable for private investing”, President of Russian Grain Union Arkady Zlochevsky says.

However Rusagrotranc CJSC and Russia Transport Company want to change tendency and produce about 15,000 new generation wagons for grain transportation with increased carrying capacity. Majority of plants are ready to take part in the project.

“We are ready to invest into development and construction of new wagon”, O. Rogachev confirmed. “Our specialists prepared project of wagon which will be able to transport 75 tons of cargo”.

However necessary quantity of rolling stock is not one condition of successful transportation. Rail grain transportation has several features. Grain is transported from many shipping point (over 700 ones on OAO RZD network). “The condition of the handling infrastructure is unsatisfactory”, Vladimir Savchuk, Head of the Railway Transport Research Department IMEP says.

Nowadays shipping points, elevators, haven’t modern shipping equipment to make trains consisting of 50-75 wagons, destination points, port elevators are equipped with outdated unloading system. According to A. Zlochevsky, it is necessary to change structure of elevators to optimize process. It means special elevators for transshipment only and elevators for grain storing.

“We should increase quantity of shipping point and pick-up sections (on elevator or unloading point)”, O. Rogachev says. Also it is necessary to create additional capacities. The strategy of Rusagrotrans CJSC means participation in modernization of the infrastructure of 17 elevators on North-Caucasian, South-Eastern, Moscow and October railways to make trains for grain consisting of 50-75 wagons. “When we create strong shipping structure and routes and face the problem of port shipping, our technology will not be effective despite our efforts”, Director of Russian Transport Company notes.

The established company will develop network of grain transportation in route trains from the regions with grain shipment points to one destination point. It is known that a consolidated shipment with use of route trains is the most effective system of railway transportation. Five new modern terminal-elevators will be constructed in the places where grain is shipped.

It is still a question – will new company fulfill its tasks. Success of the enterprise depends on collaboration with consignors. The company will draw on the America experience where logistic task was on the first place. The new company shouldn’t try to create monopoly using its preferred position. However, optimists will be able to solve this problem. According to the experts, independent companies will create their own park of wagons for grain transportation, if Rusagrtrans dictates unacceptable terms.

Viktoria Merkusheva

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