Automatically translated version. May contain inaccuracies compared to the original.
Problems with sea logistics are hitting Russia’s economy more and more. The southern ports are suffering due to the deteriorating security situation in the Azov-Black Sea basin, but the Kremlin has left business to deal with the consequences of the war on its own.
What happened to Russia’s ports
In September, transshipment volumes at some southern terminals fell by 95 – 100%, according to the Foreign Intelligence Service of Ukraine.
Problems became especially noticeable for grain and agricultural exports. In July and August, transshipment volumes in the southern Russian ports collapsed by more than half. Instead of the usual 7,9 million tons, the occupiers managed to export only 3,8 million tons of cargo.
Freight traffic through the southern ports has almost stopped, and a significant portion of flows have been redirected to northwestern directions.
— notes the intelligence.
This creates additional difficulties for Russian exporters. After all, redirecting cargos to other directions does not allow fully compensating the losses of the southern ports.
Why local authorities are begging for help
Because of the catastrophic drop in exports, the port sector of the enemy is in a deep crisis. Regional authorities and representatives of the port industry have already appealed to the federal government for financial support.
Fuel
Average prices at the Amic Energy gas stations network as of
They want to receive:
subsidies for wages to workers;
compensation for maintenance of equipment;
preferential loans;
and deferral of tax and lease payments.
Separately, the industry asks to increase insurance cover for military risks. Because of a decline in export volumes, some workers have already lost their jobs or switched to a shortened work schedule.
However, the Russian government is not rushing to help, because it would be costly for the budget.
The unwillingness of the Russian authorities to help business indicates a reluctance to take on additional costs under the wartime burden on the budget.
— notes the SRV.
After all, only compensation of labor costs for port workers could cost the federal budget 6,6 – 8 trillion rubles per year.
The Ministry of Finance of Russia has explicitly stated that it will not administratively determine the conditions for reinsurance of military risks.
Note! Moreover, the deferral of lease payments for federal property to Russians is offered on hard paid terms. The rate implies the central bank’s key rate plus 5,18% per year, which means for Russian business, which has already lost income, only new debt.
As a reminder, problems with exporting food products from Russia began to intensify sharply at the beginning of autumn as well. In September, the occupiers managed to export through the Black Sea and Azov ports only 300 thousand tons of grain, which is almost 16 times less than last year’s figures. Then Russian companies began urgently shifting cargos to the Baltic Sea, but such deliveries cost 30 – 35% more.
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