Grain season gets off to a record start in rail transport
LTG Cargo, a freight transport company of LTG Group, transported a record amount of grain in Lithuania this July – about 270,000 tonnes, according to preliminary data. This is 80% more than in the same month last year.
“In recent years, we have been witnessing an increase in the volume of grain transport by rail, and the impressive result in July demonstrates LTG Cargo’s readiness to respond promptly to the needs of the agricultural production sector and the growing competitiveness of railways in the freight market for which efficiency and sustainability aspects are becoming more and more important – one railroad car carries 2.5 times more grain than road transport, and the carbon footprint of rail freight is reduced by a factor of about 6,” says Eglė Šimė, CEO at LTG Cargo.
According to Laimonas Nekrošius, Head of Sales and Service Development at LTG Cargo, the record volumes of grain shipments in July this year were due to the harvest being about two weeks earlier than usual.
“Farmers, taking all conditions into account, predicted an earlier cereal harvest this year, so similar transport results were to be expected. Normally, the busiest period of grain transport would start in early August and last until September. The first railroad cars with the new harvest were transported at the beginning of July, so it is likely that the July record is due to the peak achieved earlier this year,” says L. Nekrošius.
Grain transport currently accounts for about 13-14% of LTG Cargo’s total rail freight volumes and is growing steadily year on year, so in view of the growing market demand for efficient and sustainable grain transport in the country and to the Port of Klaipėda, the grain transporter fleet will soon be expanded by 500 new railroad cars – it is planned that the first 300 railroad cars for grain will be delivered to Lithuania this year, and the remaining 200 will arrive in the first quarter of next year.
LTG Cargo currently has a fleet of around 1,200 railroad cars for grain transport, the number of railroad cars offered for this year’s grain season.
Around 1.2 million tonnes of grain—wheat, rye, barley and rapeseed—were transported in Lithuania between January and June this year.
In July 2023, 150,000 tonnes of grain were transported by rail in Lithuania.
LTG Cargo is an LTG Group company, which is currently continuing its active integration and expansion efforts in the West. The company provides freight transport, logistics and freight forwarding, freight loading, locomotive and wagon repair and wagon rental services in Lithuania and abroad. LTG Cargo has established and manages LTG Cargo Polska in Poland and LTG Cargo Ukraine in Ukraine. The company has a team of 1,800 logistics professionals to develop greener rail freight transport. LTG Cargo transported 27.2 million tonnes of freight in 2023. The company’s revenue last year was approximately EUR 286 million and net profit was EUR 17.5 million.
LTG