KYIV. Nov 22 (Interfax-Ukraine) – One day of downtime due to a strike of Polish carriers at Ukrainian-Polish border crossing points (BCPs) costs an exporting company UAH 1 million, the European Business Association (EBA) reported based on the results of an express survey of 55 participating companies.
According to the study, the total estimated amount of damage caused to the surveyed companies since the beginning of the downtime reached at least UAH 305.88 million. At the same time, both importers and exporters suffer equally, because 49% of companies import products to Ukraine. At the same time, 25% of goods are sent to Poland, 15% to Germany, as well as to other Baltic countries, Western Europe, the United States, Canada, Asian and African countries.
“A strike by Polish carriers can significantly complicate and even paralyze the work of many companies in Ukraine. This affects the trust, including foreign partners, in Ukrainian companies. Due to the demands of Polish carriers, which are also not addressed to Ukraine, it is the Ukrainian ones that suffer business,” EBA Executive Director Anna Derevyanko said, calling for a constructive resolution of the situation.
The EBA said that blocking traffic at the border by Polish carriers has already led to numerous negative consequences for businesses in Ukraine and their counterparties abroad. Transportation costs have increased significantly, which affects the cost of production and the price competitiveness of companies. There is a change in routes, while at the same time queues at the Slovak and Hungarian borders are increasing. Businesses are already reporting a shortage of transport, including due to the reluctance of carriers to take orders during the strike.
Failure to fulfill obligations to Ukrainian and foreign customers will entail penalties from buyers, cancellation of further orders and loss of customers. The inability to import the necessary raw materials or components creates risks for Ukrainian production. All this has a direct impact on the access of the population in Ukraine to necessary goods and the uninterrupted operation of enterprises, the business association said.