Tracks close to Terespol station, source: PKP PLK

How to turn rail freight into a profitable business?

How to turn rail freight into a profitable business? What is needed to attract new entrants and more competition in the rail freight market? These are the central topics to be raised at the annual event of interest group ERFA (European Rail Freight Association), to be held in Warsaw on 3 April.

“The failure of rail to make any significant gains from the modal shift is a key symptom of weak competition in the market. As such the rail freight offer is not in a strong position to compete with road on price, quality or innovation. Instead a market where there are too many dominant players fosters pricing distortion; limited customer-orientation and unsustainable business models”, said the Brussels-based company.

Open market

ERFA wants to create a marketplace that welcomes new companies entrants. The current business environment for rail freight continues to act as a barrier for private companies to invest in rail and support its growth and competitiveness, it believes. On this day, several expert speakers will argue how the barriers can be removed.

Gintautas Lukauskas, Commercial Director of the Lithuanian railway company Gargždų Geležinkelis will discuss which discriminatory practices still exist today. How can a railway undertaking best achieve a high level of efficiency in Poland? This question will be answered by Konstantin Skorik, CEO of Freightliner Poland.
Annika Kroon, Deputy Head of Unit SERA at the European Commission will elaborate how the climate ambitions of the freight industry can be achieved. ERFA itself will present its recommendations for minimising the impact of construction works on rail services.

The event takes place from 11AM till 1PM in the Marriott hotel, Al. Jerozolimskie 65/79, Warsaw 00-697 Poland. Registration for the event is still open.

Author: Majorie van Leijen

Majorie van Leijen is editor of RailFreight.com, online magazine for rail freight professionals.

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