Ukraine and Moldova have opened a new border сheckpoint on the Berezine-Basarabeasca railway line. This will shorten the route of export and transit cargo to ports in Reni, Galati, and Giurgiulesti. The new checkpoint is an alternative to the Sokyryany-Oknytsia and Mohyliv-Podilskyi-Velchynets border crossings with Moldova.
Increased Cargo Transport and Reduced Transportation Costs
According to Valeriy Tkachev, Deputy Director of the Commercial Department of JSC “Ukrzaliznytsia”, the new route will increase the volume of export and transit cargo transportation to 4-10 million tons per year and reduce the time of delivery for export cargo. Moreover, it will reduce the cost of transportation of imported fuel and petroleum products to Ukraine from the ports of Reni, Galati, and Giurgiulesti. The estimated reduction in transportation costs ranges from $10-35 per ton depending on the cargo and route, while preliminary estimates suggest a savings of $18-44 per ton for imported fuel and petroleum products.
Rail Traffic Resumes After Repairs
Rail traffic between Ukraine and Moldova in this direction was agreed upon in June 2022. The countries repaired about 23 km of tracks, and the renovated section was ready for operation by the end of August. However, freight traffic was delayed due to the lack of the necessary checkpoint, which had its opening postponed several times. With the new checkpoint now operational, it is expected that the transportation of goods between the two countries will increase significantly, and the time and cost of delivery will decrease.
The opening of the new border checkpoint on the Berezine-Basarabeasca railway line is a positive development for trade between Ukraine and Moldova. It will increase the volume of cargo transportation, reduce the time and cost of delivery for both exports and imports, and provide an alternative transit route for goods headed to ports in Reni, Galati, and Giurgiulesti.
