The Lithuanian rail transport operator LTG Cargo has established a subsidiary in Ukraine, branded as LTG Cargo Ukraine, as part of company’s international development strategy and diversification of activities.
LTG Cargo Ukraine expects gradual development of the operations in Ukraine with the first stage of development, offering rolling stock rental, forwarding and other freight transport services by rail.
“We believe that by offering modern and reliable freight transport services by rail, we can become an essential link between Lithuanian and Ukrainian businesses and thus promote economic cooperation between the two countries. We also see opportunities to contribute to the development of the railway and the Green Course in Ukraine, where the volume of transported freight is one of the largest in the region,” Egidijus Lazauskas, CEO of LTG Cargo said.
The new business is seen as a strategic step for the development on the international market, focusing on the Eastern and Central European markets, where the company plans to expand the range of activities and to contribute to the increase of the competitiveness within the region where is carrying out its activities.
In the long term, the objective of the LTG Cargo Ukraine is to become an international freight transport provider in Ukraine where the annual volumes of freight transported by rail reach about 300 million tonnes, as much as 6 times more than in Lithuania.
As part of the international expansion strategy, last summer LTG Cargo established a subsidiary in Poland, LTG Cargo Polska, which, together with its partners, will develop freight transport activities on the Polish market.
LTG Cargo is the largest freight and logistics services company in the Baltic region while ensuring transport services to Scandinavia, Turkey, China and Western Europe.
The company‘s vision is to expand its transport activities to North and South, with the implementation of the Rail Baltica project, participation in the creation of VIII freight transport corridor – Rotterdam-Berlin-Warsaw – Terespol/Kaunas, as well as to participate at the construction of the Kaunas intermodal terminal logistics centre, collaboration with the Polish railways.