Exclusive Problems with Ukrainian Railways freight transport

Key challenges include queues and idle railcars, as well as the late return of empty railcars

The management of Ukrainian Railways’ (UZ) freight division held a meeting with shippers, during which systemic problems in rail freight transport were identified and necessary measures for reforming the industry were outlined.

Freight railcar backlogs and unequal access to infrastructure

One of the most pressing issues remains the queues of railcars on the approaches to the ports of Greater Odesa. More than 13,500 railcars are currently loaded there, of which nearly 7,900 are carrying grain. According to Ukrainian Railways’ standards, the queue should not exceed 5,000–6,000 railcars; the actual load is significantly higher.

Meeting participants pointed out uneven access to certain port routes. In particular, on the Kolosivka–Pivdennyi Port section, throughput capacity has been reduced due to power restrictions — only about 15 trains per day can pass through here.

A similar situation has developed on the route to Chornomorsk Port. Following the shelling, the volume of railcar deliveries has not returned to previous levels and remains consistently in the range of 1,400–1,500 railcars per day.

Shippers have also noted a bias toward ore routes compared to grain routes, despite assurances of an equal approach to different cargoes. This is explained by the capacity structure of the Pivdennyi port’s transshipment facilities and the higher level of ore routing: for grain, this figure is only 28%, and carload shipments predominate.

Shipment delays and railcars downtime

Shippers are noting a critical increase in railcar downtime from loading to departure. At stations on the Dnipro and Southwestern Railways, the number of railcars idle for over 24 hours reached 299 and 253 units, respectively. The average railcar turnaround time is approximately 280 hours. It is in transit for only 25–28 hours, while the rest of the time it is idle at transit stations (up to 140 hours) or undergoing loading operations (over 100 hours). Experience shows that railcars dispatched later often arrive at the port faster than those loaded a week earlier.

Lack of timely information and conventional restrictions

A separate issue is the lack of timely information regarding traffic restrictions—both commercial and safety-related. Shippers describe situations where trains are stopped en route without any warning. For example, a loaded train arrived in Kremenchuk and was only there that it was turned back due to locomotive malfunctions.

Participants insisted on the introduction of timely conventional restrictions, which would allow customers to plan shipments and avoid financial penalties. There is currently no centralized system for such notifications.

Delays in the return of empty railcars

A major obstacle to efficient logistics is the long wait for empty railcars after unloading. Company representatives reported that railcars remain at intermediate stations for 5–10 days or more. In particular, delays of over 7 days were recorded at the Uman station before they were sent in the opposite direction. This significantly increases the rolling stock turnover cycle and makes effective transportation planning impossible.

Normative and regulatory barriers

Meeting participants raised the issue of the regulatory environment, which complicates the work of shippers. In particular, private carriers pointed out the lack of regulation regarding the admission of their own locomotives to public railways. Resolving this issue depends on the position of the Ministry of Development.

A separate topic is the entry into force of the technical regulation on rolling stock safety (Resolution No. 1194), which introduces mandatory certification for all enterprises engaged in rolling stock repairs. Some participants expressed concern about the excessive cost and complexity of certification procedures, seeing this as a risk of placing an additional burden on the industry without a corresponding improvement in safety.

Liability for delivery delays

Shippers drew attention to the planned tariff increases amid systemic delays in transportation. Participants highlighted the imbalance in liability: the railway is raising tariffs, while liability for late deliveries is effectively not enforced. The issue of Ukrainian Railways’ liability for missed delivery deadlines during wartime remains unresolved.

What Ukrainian Railways is doing to address the issues

Reorganization and formation of management structures

Ukrainian Railways is in the process of a large-scale reform of its organizational structure: the Locomotive Company, UZ Vagonservice, and the Traffic Control Center have already been established. A key element of the reform will be the formation of two functional verticals: infrastructure and freight. The latter will include the Locomotive Company, the Traffic Department, and the Traffic Control Center as the rolling stock operator. Starting in July 2026, there are plans to create a separate company — UZ Cargo — based on the freight segment. The restructuring is scheduled to be completed this year. This will allow for the consolidation of responsibility for the entire transportation chain — from loading to unloading — within a single structure.

Digitalization and transportation analytics

Ukrainian Railways is launching a pilot project to analyze average transit speeds for four categories of cargo: grain, metals, construction materials, and petroleum products. Speed will be tracked for both individual cargo types and specific shippers on specific routes to identify disparities and address them at the system level. Downtime monitoring is conducted in two stages: from loading to departure and from arrival to unloading, broken down by categories (1 day, 2 days, over 10 days).

Operational monitoring of freight movement to ports

Daily monitoring of train arrivals at the ports of Greater Odessa is maintained at a rate of 50–55 per day — this figure is considered key to reducing the queue. Following shelling and during periods of adverse weather conditions, this rate dropped to 35–40, and the queue only grew longer. Ukrainian Railways specialists review every railcar that has been idle for more than 24 hours during conference calls and monitor the even distribution of cargo across all terminals. Trains left at intermediate stations are prioritized for movement to the ports.

Route safety

Ukrainian Railways has an internal monitoring center that tracks hazardous sections and high-risk zones. Ukrainian Railways supported the meeting participants’ proposal to publish a list of high-risk stations where shelling is possible, so that shippers can reroute their shipments in advance.

It can be stated that a dialogue between Ukrainian Railways and shippers exists, but so far without results. The new freight division team, represented by Ukrainian Railways JSC Board Member Oleksandr Nosulko and Head of the Transportation Technology Department Volodymyr Ivashchenko, has declared a transition to a partnership-based model of interaction with the market. The true measure of this declaration will be concrete results: reduced queues, transparent access to infrastructure, and balanced responsibility on both sides for meeting delivery deadlines.