The Finns Bring New Logistics Ideas to Ekaterinburg

02.04.2009 — News

THE SVERDLOVSK OBLAST.

The Finns perceive Ekaterinburg, one of the Russia's largest distribution centres, as a very attractive location for investment.Within the programme of the Days of Finland in Russia in 2009, managers of large logistics companies from Finland presented projects and drafted several proposals for mutually beneficial cooperation with their Ekaterinburg counterparts. Ekaterinburg is the gate to the Urals and Siberia attracting more and more businessmen form abroad; this is why high quality transportation services are of particular significance to the city, RusBusinessNews was informed by Silja Ruokola, the Director of the Department for Logistics and Cooperation with Russia of the Ministry of Transport and Communications of Finland.

According to VR Cargo, the Finland's main railway carrier, the volume of freight transportation between the countries reached 11.2 million tons in 2008 which is 12.9% higher than in 2007. Cars, metallurgical products, and chemicals are transported most frequently. The financial crisis caused a decrease in freight transportation; however, the representatives of Finnish logistics companies are confident that this is only temporary and the work should be continued with a long term perspective in mind. The share of container traffic in Sverdlovsk Oblast's is 10 times lower than the world's average (4-5% compared to 45%).

Eduard Rossel, the Governor of the Sverdlovsk Oblast, has set a goal for the logistics companies to develop this type of cargo transportation further and to engage into active collaboration with the foreign companies. The Innorail company suggested launching a direct train link between the cities of Kouvola and Ekaterinburg; these cities are 3 thousand kilometres apart. Kouvola is the largest freight terminal in Finland. Its territory hosts approximately 200 thousand square meters of modern class A warehouses and railway and road transport terminals. It is a transhipment point for Russian metal processing plants products on their way to Northern Europe. It is possible that the first direct train from Ekaterinburg to Finland will depart at the end of this year.