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WhatWood Logistics Timber cargo transport volume in Russia grew based on performance over 9 months of 2021

Timber cargo transport volume in Russia grew based on performance over 9 months of 2021

28 December 2021 ` 16:51  

According to data from TransLes Analytical Center, the volume of railway transport of roundwood and sawn timber, including container traffic, grew by 4% YoY, up to 33.8 million tons, in January – September 2021. As the rail operator reports, in Q3 2021, the demand for timber processing products was still growing rapidly in the domestic and foreign markets, which made it possible to achieve a positive shipping trend. For instance, transport of unprocessed wood for Russian companies’ needs increased by 8% YoY, up to 15.5 million tons, over the reporting period.

Roundwood and sawn timber export by railway remained at the last year’s level of 18 million tons over 9 months of 2021. Export transport of sawn timber reduced by 5% YoY, down to 11.1 million tons. The key sawn timber destinations were: China — 7.5 million tons, -8%; Uzbekistan — 0.8 million tons, -18%; Azerbaijan — 0.5 million tons, -9%; Japan — 0.3 million tons, +11%. The key driver affecting the change of volumes was disruptions in container supply logistics all over the world, followed by a maritime freight price hike. For instance, Drewry index over the reporting period was almost three times higher year-on-year.

Export railway transport of roundwood increased by 8.8% YoY, up to 7.2 million tons, in January – September 2021. The key destinations were China — 3.8 million tons, +14.5%; and Finland — 2.9 million tons, +1.4%.

The transport volume at border crossings reduced by 2%, down to 9.9 million tons, due to infrastructure restrictions at border crossings with China and enhanced competition for the throughput capacity between different types of cargo that followed. This led to cargo base redistribution – consignors were looking for alternative sales markets and new transportation opportunities, which is why the traffic through ports grew. For instance, timber products supplies via Far Eastern ports surged by more than a third, reaching 1.5 million tons.

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