Russia’s Transit Potential: New Solutions for Developing Markets

Russia’s Transit Potential: New Solutions for Developing Markets

2 June, 12:00–13:15

Electronic and cross-border commerce is proving to be a powerful new tool for the development of rail transit. In the first quarter alone, East–West shipments of packages by major online retailers rose by 40%. At the same time, building capacity for transporting container cargo does not require significant investment. This is not the case with freight aviation, a method which is quicker but also more capital-intensive. Along with the growth in electronic commerce, shipments by traditional industries are also on the rise, with auto components showing 20% growth and shipments of wood products expanding by a multiple of 31! Currently, rail infrastructure operators and their partners can service clients more quickly and cheaply than sea transport, with almost none of the queues clients experience with air transport. What is still lacking in the development of the Russian transit sector? What difficulties do clients face, and what conditions should be put in place to further increase freight traffic?


Key moments

The volume of railway container transit from China to Europe is growing at a double rate, the potential is underused, and the reserves are huge. At the same time, there are no infrastructural limitations.
Oleg Belozerov
President, Chairman of the Board, Russian Railways
Customs should be easy and convenient for foreign economic activity but effective and safe as regards state secrets.
Vladimir Bulavin
Head, Federal Customs Service
Transport by its nature has an international dimension, you cannot have a strategy without thinking about your borders in terms of developing the infrastructure.
Maria Magdalena Grigore
Deputy Minister of Transport of Romania
Logistics are not a servant of e-commerce; they constitute an independent business and a key factor in the success of e-commerce.
Mark Zavadskiy
Business Development Director for Russia and CIS, Aliexpress; General Manager, Alibaba Russia
Russia should become an overland bridge from Asia to Europe, but a bridge cannot have freight travelling one way only.
Alan Lushnikov
Deputy Minister of Transport of the Russian Federation
We need full reliability. In logistics the information about delivery time is as important as the goods themselves.
Luc Nadal
Chairman of the Management Board, GEFCO Group
Currently, Russia is not part of post transit; our task is to learn to make money on this business model.
Dmitry Strashnov
General Director, Russian Post
Recently, measures have been developed to expedite customs procedures, which will cut business expenses by a third for transit freight shipping.
Vladimir Bulavin
Head, Federal Customs Service