Ukrainian grain shipments resumed arriving by rail at the grain terminal in Romania’s Port of Constanta roughly 3 weeks before the report was filmed, after deliveries along this route had stopped in 2023, according to terminal manager Dan Dolgan, who attributed the return of rail shipments to Ukraine’s inability to use its seaports.
Russian attacks that disrupted Ukrainian ports and threatened others pushed more grain toward Romania, increasing pressure on the Port of Constanta, the railways and the Danube. Navigational risks and longer transport routes raised the cost of getting grain to importers, while cheaper Ukrainian wheat competed with Romanian crops.
Pressure on the Port of Constanta
Shipments from Romania, Ukraine and neighboring countries arrive at the grain terminal in the Port of Constanta, where documents are checked, samples are taken and the grain is tested for compliance with standards before being stored and loaded onto ships. But these procedures do not address the port’s limited capacity to handle additional flows of Ukrainian grain.
Viorel Panait, general manager of the company operating the grain port, said Romania could absorb part of Ukraine’s exports, but the Port of Constanta was designed to serve the Romanian economic area, not Romania and Ukraine together. The gap between shipment volumes and available infrastructure capacity has once again put railways at the forefront of alternative export routes.
Falling Danube levels narrow the alternatives
Transport along the Danube is also facing restrictions because of falling water levels. In some parts of the river, shallow water has made navigation impossible even for small boats, while other vessels remain stranded on muddy banks awaiting the return of rain.
Alex, a boat captain on the Danube, said he had been unable to work for 2 months because of the shallow water. He added that at this time of year, the depth at his location should be approaching 4 meters, but currently it is no more than between 40 and 60 centimeters.
Price competition and higher transport costs
Romanian farmers are facing pressure on crop prices as a result of competition from cheaper Ukrainian wheat. Romanian farmer Vanil Betansa said the risks involved in moving grain-laden ships add to shipping costs, while traders prefer to buy lower-priced Ukrainian wheat over more expensive Romanian wheat.
Costs are passed along the supply chain whenever the capacity of an alternative route becomes constrained. Disruptions at Ukrainian ports increase reliance on the Port of Constanta, railways and the Danube, while the port’s limited capacity and falling river levels lengthen the journey and raise the cost of transporting grain to markets.
