Businesses suffer losses due to strikes at the border
Business in Ukraine has been severely affected by the strikes on the western border, which have led to long queues at the border crossings with Poland and other neighboring countries. Currently, there is a large-scale accumulation of trucks entering and leaving Ukraine.
As previously noted by the European Business Association, the protesters' actions affect the activities of both exporters and importers. Of the companies reporting the impact of the strikes on their operations, 66% are exporters and 91% are importers.
Goods transported by trucks often have a limited shelf life, so any downtime leads to significant financial losses. According to EBA estimates, the total amount of losses since the beginning of the strikes per company averages almost 700 thousand euros. In addition, 98% of the companies surveyed by the EBA report an increase in prices for transportation services.
In addition to the strikes on the Polish side, local Ukrainian carriers have also gone on strike. Recently, they have been blocking cargo imported into Ukraine, in particular, perishable goods (fresh meat and fish, vegetables and fruits), directly after the customs zone, practically on the roads. By blocking the trucks, the strikers not only cause losses to Ukrainian importing companies, but also harm European manufacturing companies.
Given the agreement to ensure unimpeded traffic for perishable goods, the business community emphasizes the importance of preventing the blocking of trucks with such products from happening again.
Due to the actions of protesters on both sides, the expected delivery time has increased by an additional 11 days for non-food products and 2-7 days for food products, especially perishable goods. The situation remains unresolved and unpredictable.
The EBA emphasizes the importance of ensuring the free movement of goods and cargo across the Polish-Ukrainian border, in particular, perishable goods, as well as military and humanitarian goods, and fuel . In this regard, the EBA appealed to the Prime Minister of Ukraine and the Head of the Office of the President of Ukraine to ensure priority, unimpeded access to the border crossing from both the Ukrainian and Polish sides, defining a separate fair queue for these goods.
Buhgalter 911 notes that the content of the author's materials may not coincide with the policy and opinion of the editorial team. The authors of the published materials include not only representatives of the editorial team.
The information presented in a particular publication reflects the position of the author. The editorial team does not interfere with the author's materials, does not edit the texts, and is therefore not responsible for their content.