Limitations of the throughput rate of the railroad stage Kamysh-Zarya – Volnovakha results in the failure with raw materials delivery to Azovstal and Mariupol Ilyich Iron and Steel Works, that have to decrease output, while Ukraine loses some $1.5 billion of revenues per year.
According to Ilyich Works CEO Yuri Zinchenko, because of the lack of raw materials 4 of the 8 blast furnaces have been switched to low operation.
“If I have 4 blast furnaces operating, and we now have orders, that would additionally yield 1.5 million tons of pig iron. All this will be exported, as we now sell to US. Ukraine will get taxes, we will get half a billion dollars of additional revenues”, he said.
To increase the throughput rate of the railroad stage Ukrzaliznytsya needs some 200-250 million UAH.
“Ukrzaliznytsya investment budget for this year is 11 billion UAH. I’m sure they can find 250 million to increase the rate”, Zinchenko believes. (Ukrainian metal)
