In addition to grain trade, attendees of the 9th Grain Partnership Meeting held on June 7 and 8, at Baja, Hungary, paid particular attention to transport related issues as well. All attending businesses in the value chain could inform themselves of the crop expectations, processing and delivery capacities, seller and buyer intentions, as well as the prices prior to launching the campaign works. This year's promising harvest and the dynamically growing grain export volumes of late have drawn attention to river and railway logistic solutions.
The conference featured round table sessions of grain operators and logistic providers, including rail carriers, where, besides talking about sales and logistic chores in detail, they could discuss quality expectations related to stowage, turnaround cycles, capacities and progressive pricing. Operating grain shuttle trains among other services, Head of Business Unit MACE (Mineral oil/Agriculture/Chemicals/Environmental waste), Severin Göbl of Rail Cargo Hungaria (RCH) has announced at the meeting that the Hungarian market-leader freight railway undertaking is prepared for the season and offers turnkey railway logistic solutions to its clients.
As a rule, Rail Cargo Hungaria accounts for approx. 70 percent of Hungarian grain exports by rail i.e. 600 to 800 thousand tons in volume. Additionally, Rail Cargo Group's dedicated forwarding company, Rail Cargo Logistics – Hungaria organizes several hundreds of thousands tons of freight per annum.
As Severin Göbl pointed out, the company is most ready to tackle this year's record tonnage challenge. To this end, RCH possesses approx. 800 TA-type grain wagons, supplemented, if need be, by chartered fleet. Not to mention Rail Cargo Group's 23,000-car wagon pool offering a plethora of means of transport.
Rail Cargo Hungaria uses the majority of agricultural loading stations in Hungary to conduct business; see red dots depicting the key grain traffic points on the map. These are the loading sites where customers enjoy advantageous feeder costs.
It is in the mutual interest of customers and carriers alike to address this season's challenges by improving efficiency. Reducing turnaround times can best contribute to optimizing transport costs and meeting delivery deadlines.
E.g. in case of traffic to Italian destinations, the optimal turnaround cycle would be 10 days, however, the fact, more often than not, is practically a single turnaround a month. One of the underlying reasons could be that transports starting off in Hungary, continuing in Croatia and Slovenia and terminating in Italy require train paths and performing cross border operations on the railway infrastructure of a total of four countries. Wherever there is a delay, the schedule becomes disrupted and the train fails to reach the loading station in time or misses the vessel at the seaport, which would ship the grain further.
These nuisances can best be eliminated by joining transport operation services in a single hand, emphasized Severin Göbl. Rail Cargo Group features forwarding enterprises and railway undertakings in all countries of the region, so they can take matters into their own hands, coordinate the participants and intervene immediately and efficiently in the process whenever and wherever most needed.
He also mentioned that the smooth rail delivery of this year's above-average export volumes is feasible with regularly scheduled quantities and pre-disclosed deadline expectations. Were the complex operation of transporting large volumes be joined in the hands of a single entity, e.g. Rail Cargo Hungaria, it could result in providing the most advantageous rail logistics solutions.
Rail Cargo Hungaria's Head of Business Unit MACE also dwelt on evaluating other approaches aimed at increasing efficiency. As he pointed out, even though applying wagons over 100 cubic meters capacity to improve freight effectiveness would seem to be rational when considering the cost factor, public loading sites are yet to be brought up to date to allow this. There are few terminals in Hungary whose loading technology and rail service prerequisites meet today's proficiency requirements. It should also be considered that the railroad tracks are not suitable for trains with the highest axle load in many sections, so running such trains requires a special permit. A further cost increasing factor is that heavy-laden trains demand two locomotives along several stretches. Though faced with such obstacles impeding transit efficiency, nevertheless, Rail Cargo Hungaria will fulfill the orders completely.
Severin Göbl has also disclosed that Rail Cargo Hungaria enjoys an AEO (Authorized Economic Operator) certificate issued by the National Tax and Customs Administration of Hungary, which facilitates grain traffic by simplifying customs clearance. In line with EU requirements, on customer request, the company issues a certificate attesting that following the transportation of genetically engineered produce, no wagons used for such deliveries are permitted to be loaded with non-GMO products without first being cleansed by washing. In conclusion, the head of the business unit added that, in knowledge of such advantages, an increasing number of businesses entrust Rail Cargo Hungaria and Rail Cargo Logistics – Hungaria with the entire range of railway logistic operations in grain transport.
Veszprém, July 17, 2017. – Rail Cargo Hungaria Zrt, Hungary's market–leading rail freight transport company together with its partner, VERGA Veszprémi Erdőgazdaság Zrt.(VERGA Forestry of Veszprém) have organized a common waste collection campaign for the fourth time. This time the leaders of the two companies have cleaned the forest area in Bakony maintained by the forestry from the illegally deployed waste and litter. The railwaymen and the colleagues of the forestry were working together in the designated area.
Ugron Ákos Gábor, deputy state secretary for state-owned land of the Ministry of Agriculture was present as well, and together with dr. Kovács Imre, chairman of the board of Rail Cargo Hungaria, CEO, Schumacher István, director general of VERGA Zrt. and Varga László, director general of Bakonyerdő Zrt. took an active part in the nature protection activity.
During the waste collection the leaders of the railway undertaking and the forestry drew attention to the possibility of maintaining the economical rail transport of harvested wood with regard to the enlargement of the Pápa airport runway. The experts are working on proposals how to secure the future of a sawmill producing a value of HUF 800 Million p.a. and providing jobs for 110 people in a way not to endanger the environmental values of the Bakony forests.
The leading service provider on the market, Rail Cargo Hungaria Zrt. with its annual performance of hundreds of thousands of tons lays great emphasis on environmentally consciousness, reduction of environmental pressure, pollution prevention and the protection of the ecosystem. The common event in its informal way contributes to the further cooperation of the participating companies' as well.
Rail Cargo Hungaria Zrt.
Marketing és kommunikáció
Tel.: 06 1 512 7323
The National Tax and Customs Administration (NAV) has classified Rail Cargo Hungaria (RCH) as a reliable taxpayer after examining the company's compliance with the Administration's standards. Such standard is among others that the company must not be under intensive supervision of tax authorities in the past five years; the authority has not initiated an execution proceeding against the company as well as the company was not subject of bankruptcy, liquidation, or involuntary deregistration. A total of 11 criteria had to be met for this classification.
The positive result of the status of the reliable taxpayer compared to the general status is among others that RCH gets the VAT refunds already after 45 days instead of 75, a significant contribution to the company's liquidity. In case of omission the authority does not impose a fine, but invites the company to fulfil the tax obligations. The tax or default penalty is only the half of the amount the Administration would normally impose. Another advantage is the length of the official controls must not exceed 180 days. This classification overall is another confirmation towards our customers that our company is a reliable partner.
The authority reviews quarterly the criteria necessary for the status of reliable taxpayer. RCH is doing its best to comply with them in the future as well.
Rail Cargo Hungaria Zrt. is again a successful participant at the annual sugar beet tender of Magyar Cukor Zrt.
Viktor Lippai, former head of RCH's Business Unit MACE told that after several rounds of negotiations Rail Cargo Hungaria agreed upon the prices and the operative service quality with Magyar Cukor Zrt. This enabled Rail Cargo Hungaria to obtain the vast majority of the transportation tasks in the almost traditional sugar beet campaign. This year's tender presented several new challenges to the company, but eventually an agreement acceptable to both parties was reached.
The calculation of the upcoming campaign demanded extraordinary foresight from the colleagues of operation and commerce while preparing the offers. On one hand, the rail track closures planned by Vasúti Pályakapacitás-elosztó Kft., the distributor of railway capacities change unpredictably the well-established routes. On the other hand the capacity of wagons of type Ea has narrowed due to the simultaneous increasing raw material traffic and the starting infrastructure developments in Hungary. Furthermore in domestic sugar beet transportation relations the road transport has become competitive; in some geographical areas there are no significant differences between the costs of rail and road solutions.
A remarkably stable multi-level relationship has been established between the customer and Rail Cargo Hungaria thanks to their long-lasting cooperation. The parties were seeking possibilities to reach an acceptable agreement – although both represented firmly their own interests.
Viktor Lippai sees Rail Cargo Hungaria's real power in its good customer relations. These relations enable to handle and watch closely and protect long-term projects similar to the sugar beet campaign, which contributed to the success of the company in the intensifying transport market competition.
All colleagues working on all company levels throughout the sizing, project-planning, preparation of calculations and performance do their best to reach the successful outcome, which characterises such customer relations.
Budapest, May 25, 2017. – A further contribution to facilitate the Chinese-Hungarian economic relations was the business meeting called in by the Hungarian commercial representative of COSCO SHIPPING Lines, one of the world's leaders in integrated container shipping companies. Participants at the event in Budapest were COSCO's major partners in Hungary and leading representatives of authorities related to its activities. On the schedule were the use of undiscovered business opportunities and the role of the bilateral relations in the international presence of both parties.
During the event in a constructive atmosphere Luo Zhongming, Central-European executive director of COSCO SHIPPING Lines made an introduction to the Hungarian development plans of the global company, followed by Zhou Xinjian, commercial and economic councillor of the Embassy of the People's Republic of China in Hungary evaluating the bilateral commercial relations.
On behalf of the Ministry of National Development deputy state secretary dr. László Mosóczi greeted the participants, and emphasized the exceptional role of transportation and traffic in multilateral relations. He pointed out Hungary's central geographical position and advanced infrastructure, which could make the country a good distribution base for the export of Chinese goods to the European Union. . A In In this regard COSCO made exemplary steps: it sends Chinese goods via block trains from the port of Piraeus to the intermodal logistic centre Rail Cargo Terminal – BILK, enabling the further transport by rail or road to the European markets.
The eminent representatives of the Hungarian economy stressed their commitment for the common projects and confirmed that they would welcome if COSCO made Hungary for one of its central base of intermodal traffics. drs. Erik Regter, member of the board of directors of Rail Cargo Group underlined the key role of Budapest in establishing commercial relationships, for the city might be the hub of Europe in the Chinese-Hungarian transport of goods. In his speech he highlighted the major importance of the existing and growing volume business relations with COSCO for the railway company group. The Hungarian subsidiary of the group, Rail Cargo Hungaria already runs more and more block trains from COSCO's port in Piraeus to the Rail Cargo Terminal – BILK logistic centre.
Brigadier general Károly Szabó from the National Tax-and Customs Administration (NAV) emphasized the role of NAV in strengthening and developing the economy. The tax authority shall increase its activity to meet the needs of international freight transport more effectively.
The participants of the partners' meeting praised the successes of the emerging cooperation, under which Rail Cargo Hungaria, MÁV, NAV, Disaster Management and COSCO jointly engage against circumstances interfering smooth logistic processes. Recently the possibilities of accelerating the currently – due to the migration crisis – slow border transfers container trains was discussed by the parties. Christina Baboulaki the representative of COSCO's container terminal in Piraeus introduced her presentation the significant further perspectives of the recently initiated cooperation. After the meeting the participants agreed in tightening their relations in the future.
On behalf of the request of NAV (Hungarian Tax and Customs Authority) we hereby inform you, that for the sake of the unification of the forwarding of goods in the European Union, the indication of the destination's customs office code on the consignment note becomes necessary.
This change means that upon entry at the external border station (Eperjeske/Záhony/Kelebia) for non-EU consignments of all forwarding processes (dispatched by RCH or by other railway undertakings) the name and code of the customs office at destination must be provided.
Accordingly we request that the name and the 8-digit-code of the customs office at destination to be indicated in the field No. 7 "the consignor's statements" of CIM and CIM/SMGS consignment notes. (example.: HU101000; NAV Dél-Budapesti AVI).
Please apply the changes described above immediately after the receipt of this notification.
Please find below our notification about introduction of customs office code: