Information for fruit and vegetables business in CIS
Competitiveness of Ukrainian ports dropped sharply
According to Transport Ministry of Ukraine, introduction of 20% VAT for transport cervices and for cargo-handling works has led to sharp decrease of Ukrainian ports competitiveness on the international freight market. According to the estimate of Pavel Ryabikin, Deputy Minister of Transport, since the moment of VAT introduction (Apr.1, 2005) vessel costs in ports of Ukraine increase those of Baltic Sea ports by 18-20%.
According to Minister of Transport, Yevgeniy Chervonenko, this is the most urgent problem of Ukrainian transport sector.
The dramatic situation is intensified by the problem of VAT non-refund to non-residents.
Taking into account these issues, Ministry of Transport initiates changes in VAT bill.