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Russia expects containerized export rebound

Russia expects containerized export reboundRussia’s exports may increase significantly this year because of further devaluation of the ruble, making Russian goods more competitive in the global market, according to recent statements from the Russian Association of Commercial Seaports and analysts of the Russian Ministry of Transport.

The biggest growth is expected in the country’s Far East, while the share of exports shipped via Baltic ports will gradually decline. With Russian exports to Southeast Asia growing, Far East ports’ will grow their market share of Russia’s containerized trade, according to Alex Misailov, CEO of FM Logistic Customs, one of Russia’s largest transport and logistics companies.

Imports in 2015 made up about 20 percent of Russia’s container traffic, and that figure is expected to decline in the future as exports grow. In the fourth quarter, imports were 18 percent of Russia’s container traffic, down from 25 percent in the same period of 2014. At the same time, exports have grown from 65 percent of Russia’s container trade in the fourth quarter of 2014 to 72 percent in 2015.

The projected export growth is the latest sign of modest recovery in Russia’s economy, with the enormous monthly and quarterly declines in Russia’s container traffic starting to slow.

Because of increasing demand in Asian markets for Russian goods, many Russian shippers have left Baltic ports and turned to rail in particular, as its tariffs are less vulnerable to currency fluctuations, according to an official spokesperson of Maxim Sokolov, Russia’s Minister of Transport.

Air cargo demand has also been increasing recently as “customers try to minimize transit time because of the drastic jumps in exchange rates,” the spokesperson said.

http://www.joc.com

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