Private operators ride high

摘要

Ukraine's state-controlled port operators, which dominated the country's port sector for decades, have been losing out to their private counterparts. Having started virtually from zero in the 1990s, private firms accounted for 64% of total cargo volumes (82.17 Mt) during the first seven months of this year. This included privately owned termi- nals (30%) and public berths leased to private operators (34%), according to Ukraine's Seaports Administration. The government-managed operators claim they face unfair competition from their private peers, who allegedly offer their service at reduced prices. However, performance at the state-run ports would have been worse, had they not enjoyed support from other publicly controlled bodies, such as national rail operator Ukrzaliznytsia (UZ), which offered discount rates to selected port operators.