Agro-Region saves $1.5 per ton with a temporary customs control zone at its own elevators

Thanks to the establishment of temporary customs control zones on the premises of the enterprises, the elevators of the Agro-Region Group of companies can carry out customs clearance of goods in export mode in 2023.

As noted by the director of the contract execution service, Mykola Ostapchuk, thanks to customs clearance of goods in railcars directly at the elevators, the companies managed to save at least $1.5 per ton.

“Previously, we would call a locomotive, place the railcars on the track at the dispatch station where there is a temporary customs control zone, conduct customs inspection, seal the railcars, and prepare the necessary documentation. After that, we would call the locomotive again, which would take the railcars from the track belonging to the dispatch station and place them on the one directly involved in sending the railcars to the destination. These are additional maneuvering operations, hence additional costs ranging from 25 to 40 UAH/ton,” Mykola Ostapchuk says.

According to him, if we are talking about the elevator in Zavorich, railcars need to be delivered to the station, which adds an extra 30-40 km, which also adds to the logistics cost, in addition to maneuvering costs.

“The temporary customs control zone allows us to call a State Customs Service inspector directly to the elevator, where he conducts customs inspection of the goods, seals them, and then processes the goods for export. Then the goods in railcars proceed to the dispatch station, which saves both financial resources and time,” says Mykola Ostapchuk.

At the same time, he adds that all clients of the Agro-Region Group of companies’ elevators can take advantage of the temporary customs control zone.