What are the consequences of Ukrzaliznytsia’s tariff increase for freight transportation?

A possible increase in tariffs for freight transportation by Ukrzaliznytsia raises serious concerns among the business community, Landlord reports.
This was stated by ICC Ukraine President Volodymyr Shchelkunov, commenting on the monopolist’s initiative to increase freight tariffs by 37%.
Ukrzaliznytsia, which earned UAH 1.7 billion in net profit in the first three quarters of the year, has announced plans to raise freight tariffs by 37%. The company justifies the decision by citing rising operating costs.
“Decisions must be balanced. Solving the problems of one industry cannot jeopardize the livelihood of others. The real economy, unlike Ukrzaliznytsia, cannot count on financial assistance in the event of a crisis,” the expert emphasized.
He also suggested considering alternative sources of funding for Ukrzaliznytsia, such as grants or international lending, instead of putting an additional burden on the business.
Mr. Shchelkunov emphasized that industry is the backbone of the economy, providing tax revenues, foreign exchange reserves and supporting the needs of the army. Changing tariffs without taking into account the opinion of business can stop the economic recovery.