Six industry associations have appealed to Oleksii Kuleba, Minister for Community and Territorial Development, urging him not to sign the draft order to increase Ukrzaliznytsia’s freight tariffs by 30%. The business community claims that the document was drawn up in breach of regulatory legislation.
- Six associations have written to Kuleba.
- Businesses oppose the tariff increase for 30%.
- The document has been drawn up incorrectly.
- There is a risk of significant economic losses.
Businesses are calling for a halt to tariff increases
Six sector-specific trade associations have written to the minister Alexey Kuleba requesting that the draft order, which provides for increase in freight rates «Ukrzaliznytsia» on 30%. The letter notes that the document has been drawn up in breach of regulatory legislation, and that responsibility for its adoption will lie with the official who signs it.
Complaints regarding the preparation of the document
Industry representatives point out that the draft order contains no economic justification, does not assess its impact on the economy, does not analyse possible alternatives, and was not included in the 2026 regulatory drafting plan. These circumstances indicate a failure to comply with the procedures laid down by law.
The economic consequences of tariff increases
According to calculations by «Ukrpromzovnishchexpertiza», the tariff increase could lead to decline in GDP a loss of 96 billion hryvnias, a fall in export revenue of 2.4 billion dollars, a shortfall in tax revenue of 36 billion hryvnias and a reduction in Ukrzaliznytsia’s freight volume of 27 million tonnes. This could have a negative impact on industry and the railway company’s financial performance.
A call for further work on the draft
Industry associations are calling on the Ministry of Development to return the document for further revision, to rectify the breaches of regulatory procedures, and only then to discuss it with the business community. At the time of publication, there had been no official comments from the Ministry of Community and Territorial Development or from Ukrzaliznytsia.
