Monday, November 16, 2009

RZD VP Talks of Expansion Plans

New Horizons for Russian Railways
Shipping News Feature

RUSSIA - Speaking at a conference last week Vadim Morozov, First Vice-President of Russian Railways (RZD), laid out the company’s ambitious ideas for the future by expanding the use of containerisation on the Russia railway network and increasing their logistics business interests.

Container traffic on Russian railways made up less than 2% of total traffic in 2008 but increased emphasis on inter-modal operations, particularly due to the improved efficiency containerisation offers, means that the company aims to have more than 5% of total rail freight containerised by 2012.

With increased emphasis on gaining traffic from the shipping lines by improving the Trans-Siberian railway RZD also plans to build a series of logistics centres throughout Russia to both encourage transit shipments and greater trade opportunities for the country’s interior.

‘The Company’s work is designed to ensure the growth of transit shipments through Russia by a factor of 2.8 by 2030, as provided for in the Rail Transport Development Strategy,’ said Vadim Morozov.

‘We expect to increase the competitiveness of Russian Railways by entering the logistics market. This is virtually a declaration of our intent to eventually become one of the leading international transport and logistics companies.’

RZD has already begun planning a major new logistics hub at Bely Rast in the Moscow region as the first stage in carrying out its plans.

(pic: Vadim Morozov)