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Transportation and Trade Facilitation in Ukraine CROSS-SECTOR OVERVIEW

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Transportation and Trade Facilitation in Ukraine CROSS-SECTOR OVERVIEW MINISTRY FOR DEVELOPMENT OF ECONOMY, TRADE AND AGRICULTURE OF UKRAINE Transportation and trade facilitation in Ukraine CROSS-SECTOR OVERVIEW Ukraine is a convenient hub that connects Europe and Asia. The country is located at the crossroads of major trans-European corridors, which ensures favorable conditions for the development of inter-regional economic relationships. A number of international transport corridors pass through its territory, in particular Pan-European transport corridors № 3, 5, 7, 9; corridors of the Organization for Cooperation of Railways (OSS) № 3-5, 7, 8, 10; transport corridor Europe - Caucasus - Asia (TRACECA). Trade facilitation components Favorable public policy All transportation means are available Harmonization with EU standards Developed infrastructure Qualified human capital Rapidly developing logistics Key Figures 24 336 600 28.6 million tons of grain passenger traffic in 2019 cargo transported by Ukrzaliznytsia 230 checkpoints 19 800 km total length of Ukrainian railway networks 8 200 km total length of airlines 58 international routes in Ukraine 21* international airports 4 800 km total length of national routes 13 sea ports 36 700 km total length of gas pipelines 27 river ports 152 100 km total length of gas distribution networks thousand tons 160 001 km length of the main oil and gas pipeline cargo turnover in 2019 4 500 230 million tons per year Ranked 66th among 160 countries by cargo handling capacity World Bank Logistics Performance Index (LPI) 2018 6,4% – GDP in 2018 by type of economic activity “Transport, warehousing, postal and courier activities” * temporary occupied territories and Crimea exclusive Transportation and trade facilitation in Ukraine, 2018-2020 Trade facilitations efforts Customs reform (single window, e-cabinet State policy addressed Membership in reputable launched; automated customs procedures at elimination of international trade organizations introduced; single treasury account for non-tariff barriers (WTO, EU AA, other FTA agreement; customs duties introduced) agreements in progress like ACAA, etc.) Promising business Reform of State Service of Ukraine on deregulation initiatives State digitalization program Food Safety and Consumers Protection Harmonization of trade National transport strategy Concession projects rules with EU acquis of Ukraine 2030 adopted Kyiv Dnipro Lviv 8 Kharkiv 1 14 2 14 1 2 3 3 6 5 15 10 13 11 9 16 9 11 12 7 4 10 13 7 5 5 6 4 2 4 7 12 Major international airports 12 8 1 Boryspil International Airport 8 6 * temporary occupied 2 Kyiv International Airport 13 10 territories and Crimea 3 Lviv International Airport 1 exclusive 9 4 Odesa International Airport 11 3 Odesa 5 Kharkiv International Airport 6 Zaporizhzhia International Airport Main railroad 7 Dnipropetrovsk International Airport interconnection 8 Kherson International Airport Sea ports stations 9 Ivano-Frankivsk International Airport 1 Bilhorod-Dnistrovskyi Sea Port 1 Kyiv 10 Chernivtsi International Airport 2 Berdyansk Commercial Sea Port 2 Lviv 11 Vinnytsia International Airport 3 Izmail Sea Port 3 Kharkiv 12 Mykolaiv International Airport 4 Mariupol Commercial Sea Port 4 Dnipro 13 Kryvyi Rih International Airport 5 Mykolaiv Sea Port 5 Zaporizhzhia 14 Rivne International Airport 6 Odesa Sea Port 6 Fastiv 15 Poltava Airport 7 Specialized Sea Port Olvia 7 Debaltseve 16 Uzhhorod International Airport 8 Pivdennyi Sea Port 8 Kovel 9 Reni Sea Port 9 Zhmerynka 10 Skadovsk Sea Port 10 Smila Network of trunk roads 11 Ust-Dunaisk Sea Port 11 Lozova M-highways 12 Kherson Sea Port 12 Znamyanka 13 Chornomorsk Sea Port 13 Koziatyn 14 Shepetivka Transportation and trade facilitation in Ukraine, 2018-2020 Rivne Chernihiv Volyn Oblast Oblast Oblast Sumy Oblast Zhytomyr Oblast Lviv Kyiv Khmelnytska Oblast Oblast Oblast Poltava Kharkiv Oblast Ternopil Oblast Oblast Vinnytsia Oblast Lugansk Cherkasy Oblast Ivano-Frankivsk Oblast Dnipro Zakarpattia Oblast Kirovograd Oblast Oblast Oblast Chernivtsi Donetsk Oblast Oblast Mykolaiv Zaporizhzhia Oblast Oblast Kherson Oblast Odesa * temporary occupied Oblast territories and Crimea exclusive Major oil and gas pipeline Dolyna – Drohobych Bytkiv – Nadvirna (within Ivano-Frankivsk Oblast) Kachanivka – Okhtyrka Hnidyntsi – Pryluky – Kremenchuk – Kherson, Kremenchuk – Cherkasy Samara – Lysychansk – Kremenchuk – Kherson – Odesa The Druzhba pipeline is the world's longest oil and gas pipeline and one of the biggest oil pipeline networks in the world. It carries oil and gas from Russia through the territory of the western regions of Ukraine (Volyn, Lviv and Zakarpattia Oblasts) to Belarus and Europe Kremenchuk – Lubny – Kyiv Hnidyntsi – Rozbyshivka – Kremenchuk Odesa – Brody Six logistics hubs are to be built by Ukrainian railway operator – Ukrzaliznytsia. Kovel, located 65 km away from the border with Poland, was found to be a promising location as one of the most powerful railway junctions in Western Ukraine. The hub has two major conveniences - easy access from the territory of Ukraine and available capacities. In addition, the hubs are planned to be located in Chop and Mukachevo, near Lviv and in Central Ukraine. River transport is a promising segment, as well. In 2019, river vessels were used for the first time to deliver sunflower oil for export. The growth of grain exports contributes to the development of river logistics; so, we are about to see new vessels transporting grain by river. Transportation and trade facilitation in Ukraine, 2018-2020 WHY UKRAINE Competitive geographic position Dynamic progress in trade facilitation efforts Implementation of key TFA provisions Consultancy in trade area is easily accessible and affordable Digitalization of customs procedures Diverse transport infrastructure Full transport cycle TRACECA Pipeline facilities Historically convenient sea routes Skilled personnel Trade in services Paperless trade Diverse system of free trade agreements Transportation and trade facilitation in Ukraine, 2018-2020 CROSS-SECTOR EXPORT STRATEGY FOR TRANSPORTATION AND TRADE FACILITATION Creating a favorable regulatory and managerial environment to ensure Vision the growth of Ukraine's export potential and improve business conditions while enhancing competitiveness and efficiency of the national economy Strategic objectives Strengthen interagency Enhance cooperation in the field coordination and ensure of customs information exchange strategic development with EU Member States in international trade Implement strategic reforming of international trade Create conditions for Increase awareness of trade efficient trade-related services rules for businesses for companies to accelerate and reduce the cost of trade Improve the quality of operations business services in commercial infrastructure Improve the regulatory Improve legislation to facilitate environment in trade and export international trade Create conditions to foster export potential of enterprises and expand trade Transportation and trade facilitation in Ukraine, 2018-2020 Transportation and trade facilitation in Ukraine, 2018-2020 MINISTRY FOR DEVELOPMENT OF ECONOMY, TRADE AND AGRICULTURE OF UKRAINE.
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