USAID Improves Agromino’s Grain Loading Operations at the Black Sea

AGRI-Ukraine Export Logistics Support
10 November 2024

USAID, through its Economic Resilience Activity (ERA), delivered a mobile loader with two feed hoppers to Agromino, a Ukrainian grain and oilseed producer operating in the eastern and central regions. Installed in Odesa Oblast, the equipment will double the grain loading efficiency onto cargo ships. This boost in speed will reduce ships’ exposure time at the port, minimizing vulnerability to potential Russian missile strikes and helping maintain critical grain exports through Ukraine’s Black Sea ports.

Agromino expects that the new mobile loader with feed hoppers will enable the company to reduce the time loading grain onto a 22,000-ton cargo ship from 10-12 days to 5 days. From a security standpoint, shorter loading times minimize the exposure of crew, vessel, and cargo to potential Russian missile strikes. Economically, faster loading improves ship turnover and reduces logistics costs. In addition, the new equipment will optimize labor efficiency, addressing labor shortage issues directly. Instead of maintaining a port team of laboratory technicians, weighers, and loading personnel for 12 days, the same work will be completed in less than half the time, with a more intensive and productive use of the labor force.

Moreover, the new equipment will replace a labor-intensive and dangerous loading method. Previously, Agromino relied on ship cranes to load grain, lifting 12-ton buckets and emptying it into the ship’s hold controlled by certified slingers—physically strong, specialized workers trained in cargo strapping for loading operations, all of whom are male and subject to military conscription during wartime.

In 2022, Russia’s missiles heavily damaged a modern elevator in Vovchansk, Kharkiv Oblast, and their soldiers pillaged the crops stored there. Despite Russia’s constant shelling, Agromino maintains its operations in Eastern Ukraine. Also, the company cooperates with more than 80 small and medium-sized farmers from the eastern regions, ensuring the delivery of their grain to the world market.

Background: Assistance to agricultural producers and infrastructure companies is part of the Agriculture Resilience Initiative (AGRI) – Ukraine, implemented by the United States Agency for International Development (USAID). It aims to help Ukraine increase its capacity to produce, store, transport, and export grain.

LDC’s Elevator Day: how agro-exporters cooperate with small farmers

AGRI-Ukraine Export Logistics Support
20 June 2024

On June 12, USAID’s Economic Resilience Activity (ERA) attended Louis Dreyfus Company’s (LDC) Elevator Day in Vinnytsia Oblast. More than 50 local farmers were invited to the event to showcase the Rakhny elevator operated by UkrElKo, part of LDC, and promote future cooperation. LDC’s last Elevator Day was in 2019, before the Covid-19 pandemic and the full-scale war.  

At the event, the Rakhny elevator representatives highlighted their grain storage capacity, modern upgrades, a new wagon rental service, and laboratory, to entice future cooperation. The elevator has a storage capacity of more than 140,000 tons. With the help of the onsite laboratory, UkrElKo can dry, ventilate, conduct pest control measures, and maintain proper conditions for the grain with modern equipment.   

       

Grain moves from the Rakhny elevator using LDC’s 1,200 wagons to the Black Sea ports. USAID provided LDC with 85 additional wagons to build their fleet and accelerate the export of grain.  

“In May, LDC transported 245,000 tons of grain – 10% by USAID wagons – reducing logistics costs for farmers” says Bohdan Shveda, the Head of the Wholesale Trade Group at LDC Ukraine. 

This season, LDC is testing a wagon rental service to farmers because transportation by rail is twice as cheap as by road. Bohdan Shveda explains how it works, “a farmer can bring several batches of grain to us at the elevator, we will collect and store the grain in a separate silo. Then the farmer will load their grain into a wagon rented from us and transport it independently for export. So far, this is only an experiment, but if we see farmers interested, we plan to make it permanent. In May, dozens of farmers used this service.”  

Mrs. Tetiana Kokyza is a farmer from the Shargorod district of Vinnytsia Oblast. Her family cultivates more than 2,000 hectares of leased land, where they grow wheat, rapeseed, barley, and other crops. She has been cooperating with Rakhny elevator for more than 20 years and attended the Elevator Day event.  

“We are interested in reliable partners. We have never been disappointed here; if we bring grain in the morning, the next day we collect our money,” explains Mrs. Kokyza, Head of the Agricultural Enterprise Khliborob. She continues, “If in addition to a good purchase price, Rakhny can also help with logistics, provide wagons and trailers, it will greatly help us to independently export, so we are interested.” 

The harvest will begin in Vinnytsia Oblast in July. Despite the challenges—weather conditions, war, and labor shortages—farmers hope for a good harvest and to get market prices for their grain which is bound for export to countries around the world to ensure global food security. 

USAID ERA suports Ukrzaliznytsia employees complete kaizen training to optimize production

Increasing Capabilities
Increasing Opportunities
19 June 2024

USAID, through its Economic Resilience Activity (USAID ERA) supported 22 Ukrzaliznytsia (UZ) representatives working in wagon maintenance plants complete a Kaizen Training in Kyiv aimed at optimizing and improving processes.  

Ukrzaliznytsia requested this training conducted by the Lean Institute of Ukraine and implemented by the organization International Development Foundation with the support of USAID ERA’s grant called “Workforce Development for Ukraine”. 

Before the training, participants completed a theoretical online section called the Lean Yellow Belt Basic course so that during the practical training they could dive right in. The practical training took place at the UZ repair and assembly shop where the inefficiencies were identified in real time and theories for testing more efficient processes also happened on the spot.  

Volodymyr Romanenko, Head of the repair and assembly shop shared, “Wagon repairs are time sensitive. Streamlining these processes at our site will reduce the wagon’s idle period, allowing it to transport more cargo, including grain. Some of the ideas I heard today are quite simple to implement, they will save time, and are possible.” 

Serhii Komberianov, President of the Lean Institute of Ukraine, notes, “To raise workforce productivity, we need to remove unnecessary movements and actions, this will help keep employees engaged, particularly at state-owned enterprises. We do not need more workers; we just need to be able to do more with less to solve the workforce shortage. And at the same time, we will focus on preserving employee health. When things like this are highlighted in a training, the solutions seem easy, and they don’t require investing money! Automation and additional robotics tools are very expensive, not everyone can afford it. For businesses to succeed, inefficiencies must first be removed then additional investments can be made. This is why we train our employees to be as efficient as possible, review processes, and remove excess.” 

Kaizen Trainings to optimize UZ processes and allow employees to inspect and repair wagons more efficiently will ultimately benefit Ukrainian agribusinesses move agricultural goods.  

 

USAID ERA finalizes predesign work of the Yahodyn–Dorohusk road border crossing point 

Modernization of the BCPs
14 June 2024

In cooperation with the Ministry for Communities, Territories and Infrastructure Development of Ukraine and the State Agency for Restoration and Development of Infrastructure of Ukraine, USAID Economic Resilience Activity (ERA) subcontractor Miyamoto Ukraine finalized the predesign work for the reconstruction of the Yahodyn–Dorohusk road border crossing point. 

The predesign work consisted of completing a feasibility study (FS)/Technical economic Justification (TEJ) and pre-design work for the new cargo terminal at the BCP.  

The new facility will enable the implementation of an enhanced system of modern control processes based on paperless technologies and automated traffic management that will increase throughput capacity by 10-15%.  

Therefore, the completed pre-design and FS/TEJ is a significant milestone that paves the way for the next stage of work, the detailed design work, which has already begun. The final stage of the process is the major construction of the new cargo terminal, supported by USAID. Major construction of the new cargo terminal at the additional territory includes constructing new transport and pedestrian routes and building necessary structures and control locations, to be completed by the end of 2025.  

“The specialists of our company cooperated closely with all the relevant stakeholders during this important process of improving the operation of the BCP. We are also introducing international experience into the BCP’s operation, and the newest materials and technologies.  We make every effort to achieve the set goals within the specified timeframe in compliance with the requirements of Ukrainian and international legislation. We aspire to improve the process of our western border crossings through comfortable conditions for travelers and BCP staff members,” Nataliia Chukanova, the chief engineer of Miyamoto International Ukraine said.

Further, ERA and Miyamoto Ukraine will develop limited FS for the current BCP and proposed bridge by October 2024 and provide these to the Government of Ukraine for future implementation through the EU-funded Connecting Europe Facility-2 (CEF-2) Activity.

Both the newly reconstructed area of the existing terminal and the new cargo terminal will incorporate gender-sensitive and inclusive design features such as well-lit pathways, separate sanitation facilities, and designated areas for women, children, and persons with disability to enhance safety and comfort for all users, in alignment with international best practices. 

Currently, the Yahodyn-Dorohusk BCP processes 340 trucks, 25 buses, and 550 cars during a 12-hour shift. After the reconstruction, the addition of a cargo terminal and pedestrian crossing (as well as the reorganization and optimization of the transport scheme to 20 lanes for trucks, 12 lanes for cars, four lanes for buses, and a pedestrian corridor) will potentially increase the BCP’s capacity to 640 trucks, 50 buses, and 1,000 cars per each 12-hour shift. The expected results are that the BCP will operate permanently with an annual flow of 3,519,000 people, 242,000 car units, 331,200 cargo units, and 31,050 buses, significantly boosting Ukraine’s export and economic recovery.  

 Background: Between 2023-2026, USAID, through the Economic Resilience Activity (ERA), is dedicating $115 million to support the Government of Ukraine. This includes the Ministry for Communities, Territories and Infrastructure Development of Ukraine (Ministry for Restoration), the State Agency for Restoration and Development of Infrastructure of Ukraine (Agency for Restoration), the State Customs Service, and Ukrainian Railways (UZ), to upgrade 42 of Ukraine’s border crossing points (BCPs). 

 

USAID improves the efficiency of rail cargo operations at the Railway Border Crossing Points

Modernization of the BCPs
14 June 2024

USAID improves the efficiency of rail cargo operations at the Railway Border Crossing Points

 USAID, through the Economic Resilience Activity (ERA), is providing 20 bogie exchange lifts to the Railway Border Crossing Point (BCP) operated by Ukrainian Railways (UZ) in Lviv Oblast on Ukraine’s border with Poland.  

Bogie exchange lifts are used to efficiently change wheel bogies to move trains and wagons from wider gauges (1520 mm) used in Ukraine to standard gauges (1435 mm) used in Europe and vice versa.

Using these new lifts will contribute to more precise rail car rearrangement and, ultimately, to the efficiency of rail freight transportation between Ukraine and the European Union. It will also increase transshipment capacity by 40 wagons per day. 

At the beginning of June, the USAID ERA contractor installed the first three sets of four, each with the capacity to lift railcars weighing more than 100 tons, at the rail BCP in Lviv Oblast. The remaining two sets are to be installed by the beginning of July.   

 In February 2024, USAID ERA also supported the installation of 12 bogie exchange lifts at the rail BCP in Chernivtsi Oblast, on the Ukrainian-Romanian border, to boost rail operations.  

 Ongoing upgrades at the rail BCPs will collectively contribute to a more robust and efficient transportation network, bolstering trade and economic growth for Ukraine. 

Background: Between 2023-2026, USAID, through the Economic Resilience Activity (ERA), is dedicating $115 million to support the supports the Government of Ukraine, including the Ministry for Communities, Territories and Infrastructure Development of Ukraine (Ministry for Restoration), the State Agency for Restoration and Development of Infrastructure of Ukraine (Agency for Restoration), the State Customs Service, and Ukrainian Railways (UZ), to upgrade 42 of Ukraine’s border crossing points (BCPs).   

 

Procurement Officer

13 June 2024

Kyiv/Lviv

AGRI-UKRAINE GRAIN EXPORT LOGISTICS

USAID’s Economic Resilience Activity (ERA) is one of USAID’s core partners implementing the $350 million Agriculture Resilience Initiative – Ukraine (AGRI-Ukraine) that was established in 2022 to bolster Ukrainian agricultural exports and alleviate the global food security crisis exacerbated by the war. Under AGRI-Ukraine, ERA partners with public and private companies to complement and leverage urgently-needed grain transportation and transshipment investments.

INFRASTRUCTURAL IMPROVEMENTS

 ERA also directly supports the Government of Ukraine, including the State Agency for Restoration and Development of Infrastructure of Ukraine (SARDI), the State Customs Service and Ukrainian Railways, to upgrade 42 of Ukraine’s border crossing points (BCPs). Modern and more efficient border infrastructure and customs procedures will reduce export costs and increase export capacity, enabling  Ukraine to scale trade and advance its path to EU integration.

About the job

The Procurement Officer will help USAUD ERA by developing and procuring optimal and sustainable solutions to meet cost, quality, and service targets as defined and aligned with our procurement, supply chain, and partners and stakeholders. The Procurement Officer plays a pivotal role in ensuring integrity, fairness, and openness in procurement processes as well as adherence to policies, procedures, and controls. One of the core responsibilities of this position is to oversee and conduct the procurement of goods and services. The position requires relevant work experience in the field of large-scale procurements of sophisticated equipment and contracting, contract management, dispute resolution, managing interpersonal relationships and communication, and investigating/following up on vendor issues. The Procurement Officer will be responsible for overseeing and ensuring that complete procurement-related backup documentation is provided prior to submission to the Finance Team. The Procurement Officer reports to the Senior Procurement Manager and is located in Kyiv or Lviv or Odesa office.

RESPONSIBILITIES:

  • Liaise with Program staff to ensure any requirements for procurement support are identified approved and procured in a timely, well-documented, and cost-efficient manner. Implement an annual planning process to streamline repetitive procurement of goods to increase competitive tendering and internal processes
  • Monitor and track procurement activities and delivery status of goods/services.
  • Ensure complete backup documentation for procurement purchases is submitted to Procurement Manager and Finance Team
  • Perform regular spot audits of procurement files to ensure completeness, accuracy, and compliance
  • Participate in external or internal audits as necessary
  • Ensure integrity, fairness, accuracy, and openness in procurement processes
  • Ensure DAI/USAID and FAR policies, and procedures are followed and enforced
  • Enforce the use of DAI’s operations & procurement system (TAMIS), etc.
  • Maintain electronic procurement records & files in various DAI system platforms
  • Manage solicitation bids and quotes from vendors in adherence with policies & approved requisitions and quarterly procurement plans
  • Oversee, monitor, track, and expedite all project procurement activities and delivery status of goods/services
  • Ensure pricing information is accurate and aligns with acquisition policies
  • Conduct price/cost/reasonability analyses
  • Review requisition documentation, cost estimates, statements of work, etc.
  • Help non-procurement staff understand the requirements for submitting accurate and thorough requisitions, cost estimates, statements of work, or determine other technical specifications
  • Determine source selection methods for complex procurement to ensure compliance
  • Prepare cost evaluation data and source selection documentation.
  • Through market research efforts, identify and qualify potential suppliers (and products/services)
  • Ensure that beneficial, ethical, and open supplier relationships are created and maintained according to procurement policies
  • Maintain procurement file system in DAI’s system
  • Help maintain an up-to-date list of providers by obtaining and organizing supporting documentation on activities
  • Effectively serve as a liaison between the program team and the financial team to provide the documentation necessary to issue the payments related to the activities.

 

About you

  • BA or Specialist degree or equivalent in Logistics, Management, Economics.
  • Minimum of 3 years’ experience in logistics and/or procurement.
  • Experience in the procurement of equipment for the transshipment of agricultural products may be an asset.
  • Strong knowledge of grain and bulk cargo export procedures may be an asset.
  • Strong knowledge of multi-modal transportation (truckload, intermodal, railcar, less-than-truckload) market including suppliers, industry information, and key cost drivers may be an asset.
  • Experience proactively engaging internal and external partners to identify and define potential opportunities and issues.
  • Excellent communications and personnel management skills and ability to relate to people at all levels of an organization and of different multi-cultural backgrounds.
  • Well-organized and self-directed individual with sound technical skills, analytical ability, good judgment, and strong operational focus. Excellent organizational skills with a willingness to take initiative and be proactive.
  • Proven integrity and ability to adhere to the rules, honor commitments, and meet the spirit as well as the letter of those commitments, stand up for what is right.
  • Strong time management skills, capability to manage time effectively and maintain control of all current project responsibilities, follow-up requests in a timely manner.
  • Ability to manage and prioritize multiple responsibilities and respond effectively to the most sensitive inquiries or complaints; experience with enterprise accounting software, and Microsoft office suite; demonstrated knowledge of internal controls and processes.
  • Experience with USAID-funded projects is preferable.
  • Fluent in English and Ukrainian are mandatory, both written & spoken.

WE OFFER

Contract length: 12-month employment agreement with a possibility of extension.

Benefits Package:

  • 28 calendar days of annual leave
  • 10 days of internal well-being paid leave per annum
  • Medical Insurance for ERA staff and their families
  • Life Insurance for ERA staff
  • Coverage of all expenses for the business trips
  • Military reservation is possible and granted if you are on a relevant military register

Start date: July 2024

Application process

All applicants must send a cover letter and updated CV (no longer than four pages) in English to ukraine@dai.com

All qualified applicants will receive consideration for employment without regard to race, color, religion, sex, sexual orientation, gender identity, national origin, disability, age, or status as a protected veteran.

Closing date for applications: June 27, 2024.

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