Ukrainian Danube shipping: the reasons for the standstill of the fleet

The Ukrainian Danube Shipping Company (UDP), one of the key participants in the Danube transport market, is experiencing significant difficulties due to a general decrease in demand for water transportation. According to the press service of the company, most of the UDP's naval fleet is in abeyance.

Falling demand and minimum shipping rates have forced the company to ground a large part of its fleet. According to UDP representatives, even with the availability of cargo in Izmail, the return of ships to the base in Ukraine is ineffective from an economic point of view.

Unlike some private carriers that try to stay active, UDP recognized the need to suspend the operation of part of the fleet due to the instability of market conditions and low profitability of transportation.

Despite this, the shipping industry reported the successful recovery of two vessels - "Vilkovo" and "Izmail", which underwent major repairs and were put into operation again. Refurbished vessels are already in use on the market and show a high market value, confirmed by international experts.

However, the situation with the majority of the fleet remains difficult. According to the company, a lot of equipment has an exhausted technical resource, which complicates further operation without major repairs. This especially applies to vessels that were chartered by a Bulgarian company, where maintenance, according to the terms of the contract, was insufficient and only formally fulfilled the requirements.

In general, the problems of UDP reflect the general trend of the decline of water transport in the region and the need for a systemic approach to the support and development of maritime carriers in conditions of economic instability.