Arkhbum CEO: Growth of railroad tariffs will switch loggers to truck transportation

Arkhangelsk, February 12. On January 28, Russian Railways made another tariff hike by 2.4% on transporting pulpwood in carriages of 13-4012-17, 13-4012-16, 13-401-06, 13-401-07, 13-198 models as well as open wagons. Transporting logs by 23-4000 and 23-469М2 wagons is now 3% more expensive. Russian Railways also raised prices on January 01 by 7%.

Arkhbum CEO Vasily Knyrevich reminded that in 2012 share of railroad transportation in delivering pulpwood to Arkhangelsk pulpmill fell down to 68%.

“With constantly growing price trend for Russian Railways services companies will inevitably switch to trucks and transportation by water in order to cut logistic costs”, Mr. Knyrevich concluded.