USAID ERA completes pre-qualification of construction contractors, a significant milestone for commencing major construction of key Ukrainian border crossing points  

Modernization of the BCPs
30 December 2024

USAID’s Economic Resilience Activity (ERA) has completed the pre-qualification of construction companies, paving the way for the engagement of competent contractors to undertake the major construction of key border crossing points on Ukraine’s western borders. ERA issued a request for Expressions of Interest on August 8, 2024, to invite over 100 construction companies with experience and capacity in infrastructure, buildings, road, rail, utility, landscaping, electrical, and mechanical work throughout Ukraine to complete a pre-qualification package for upcoming major construction projects at these BCPs. Out of 24 submitted proposals, USAID ERA selected 16 companies qualified to carry out the required construction work, with 12 capable of undertaking major construction. 

This pre-qualification procedure allowed construction vendors to demonstrate that they are suitably qualified to perform this vital construction work. The purpose of pre-qualifying construction firms is to ensure that USAID ERA engages only those subcontractors with proven expertise and reliability. This process was critical to identifying vendors with the technical, financial, and ethical qualifications necessary to execute complex infrastructure projects. By pre-qualifying vendors, ERA aimed to mitigate risks and streamline the procurement process during the bidding phases by not requesting documents already on file and verified. The pre-qualified bidders will be placed on ERA’s shortlist of construction vendors to be solicited to bid on anticipated projects. Pre-qualification will allow ERA to move much more quickly through the bidding process and proceed to construction upon completing the BCP design phases. As a result of the evaluation, ERA pre-qualified 16 companies, out of which 12 qualified for major construction. 

ERA has identified 12 target BCPs for complex construction activities. These are the Yahodyn, Uzhhorod, Tabaky, Krasnoilsk, Diakivtsi, Mohyliv-Podilskyi, Chop (Tysa), Starokozache, Mamalyha, Rava-Ruska, and Rososhany road BCPs, as well as key railway BCPs. Construction at these sites will include new terminal construction, renovation, and reconstruction of new or existing cargo or passenger terminals, and major equipment installation. They also include constructing or reconstructing service and processing buildings, and landscaping, pavement, painting; sewage, utility, and lighting work. ERA launched the first major construction project tender on December 20, 2024 – the Mostyska II joint inspection container zone. This is a key rail BCP identified to receive “medium-lift” or less complex construction activities. 

Between 2023 and 2026, USAID, through ERA, is dedicating $115 million to support the Government of Ukraine. This support 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 ERA delivers mobile X-ray scanners to enhance customs operations at key border crossing points 

Modernization of the BCPs
27 December 2024

USAID, through its Economic Resilience Activity (ERA), has delivered the first two of five mobile X-ray scanners procured to enhance customs operations at key border crossing points (BCPs) along Ukraine’s borders with Slovakia, Romania and Moldova. These scanners will reduce inspection times, accelerate vehicle processing, and strengthen security, demonstrating USAID’s commitment to modernizing Ukraine’s border infrastructure and improving trade flow efficiency.  

By December 25, ERA’s vendor delivered two scanners to Ukraine, which were received at the Porubne-Siret (Romania) and Uzhhorod-Vysne Nemecke (Slovakia) road BCPs after customs clearance. In January 2025, the third scanner will be delivered to Orlivka-Isaccea (Romania) ferry BCP, providing a direct trade route to southern Europe and Turkey. Training for the relevant border personnel on commissioning, operation, and maintenance of all three scanners is scheduled for January 2025. The delivery of the final two scanners is scheduled for April 2025, to the Reni-Giurgiulești (Moldova) and Dyakove-Halmeu (Romania) road BCPs, further bolstering border management and trade facilitation. 

The state-of-the-art mobile X-ray scanners are used to inspect vehicles and cargo through employing high-energy X-rays, enabling customs officials to detect concealed items, threats, or illegal goods in real time without the need for the unpacking of cargo. These non-intrusive inspections prevent smuggling, ensure regulatory compliance, and streamline border operations. The scanners’ mobility allows flexible deployment, enhancing security and improving efficiency across various BCPs. Overall, USAID ERA’s improvements to Ukraine’s western border BCPs will accelerate trade flows, reduce delays, and directly benefit businesses while fostering economic growth and stability for local communities. 

Background: Between 2023 and 2026, USAID is allocating $115 million through ERA to support the State Agency for Restoration and Development of Infrastructure, Ukrainian Railways (UZ), and the State Customs Service. This funding will further modernize border crossings, enhance trade efficiency, and boost export volumes, contributing to Ukraine’s long-term economic resilience. 

USAID ERA Facilitates Strategic Cooperation and Formation of a Cross-Border Expert Group 

Grants
Modernization of the BCPs
23 December 2024

The USAID Economic Resilience Activity (ERA), in partnership with its grantee, the Western Ukrainian Resource Center (WURC) has facilitated the formalization of cross-border cooperation through the establishment of an expert (working) group. The group was formalized at a two-day strategic meeting, held on December 17-18 at the Warsaw University of Technology, which brought together experts from Ukraine and Poland to discuss critical improvements at three railway border crossing points — Chop, Mostyska II, and Vadul-Siret — aimed at streamlining exports to the EU. The experts are drawn from academia. 

The participants delivered presentations, engaged in deliberations, and collaborated in defining their roles and responsibilities, and the key activity deliverables, which will include an operational Action Plan to drive future initiatives. They emphasized the grant project’s role in promoting international cooperation, underscoring the critical need to optimize border procedures for grain exports. At the conclusion of the deliberations, the experts signed a Memorandum of Understanding, which formalizes their commitment to contributing to enhancing cross-border operations and improving the efficiency of railway border procedures. 

This cooperation marked a significant milestone in strengthening international collaboration, improving cross-border infrastructure, and supporting Ukraine’s economic resilience during a critical time. 

USAID ERA and NGO Center for Innovations Development Partner on Improving Export Processes for Ukrainian Agribusinesses  

Grants
Modernization of the BCPs
18 December 2024

In December 2024, the NGO Center for Innovations Development (CID), launched a project funded by the USAID Economic Resilience Activity (ERA) titled “Export Without Borders: Improving Export Capacity at Border Crossing Points”. This one-year grant project aims to develop systematic solutions to reduce the time required for processing export shipments at border crossings, and to grant agricultural companies the status of Authorized Economic Operator (AEO) in accordance with EU standards. 

The AEO status allows exporting companies to streamline border crossing procedures by preparing all necessary documents in advance and pre-sealing their cargo. For agricultural companies, obtaining AEO status ensures priority customs control, leading to reduced processing time, lower risks of supply chain disruptions or theft, increased trust, and an accelerated export process. 

“The full-scale invasion of Ukraine by Russia has created unprecedented challenges for exporting Ukrainian agricultural products. In this context, the status of Authorized Economic Operator (AEO) could become a key tool for Ukrainian agribusinesses to adapt to the new reality. Our goal is to help enterprises adopt advanced European practices, reduce border processing times, minimize supply chain risks, and boost international trust in Ukrainian exports,” said Kateryna Ivanchenko, Director of the Center for Innovations Development. 

Under the grant, CID will collaborate with government agencies and agricultural companies, organize roundtables and conferences, and develop recommendations for agribusiness on obtaining AEO status. The initiative will also focus on disseminating this information to interested audiences. As a result of the activities and consultations, ten agricultural exporters are expected to achieve AEO status, expediting the processing of export shipments at border crossing points. 

USAID Equipment Helps Ukrainian Grain Exporter Continue Key Operations During the War

AGRI-Ukraine Export Logistics Support
17 December 2024

USAID, through its Economic Resilience Activity (ERA), provided crucial grain logistics equipment to Ukrainian grain exporter Urochyshche Zhuravske, which helped prevent losses of around 20 percent in the harvest year 2024. The equipment included two 100 kW generators, a telescopic handler, bucket filler, trailer, and truck scales.

Russia’s full-scale invasion in February 2022 severely disrupted Urochyshche Zhuravske’s operations, with port closures forcing rapid logistics pivots. The USAID-provided trailer helped solve logistical issues, bringing crops to ports without relying on rentals, saving time and enabling faster contract fulfillment. Power outages posed another significant obstacle, bringing activities to a halt, but the USAID-provided generators helped the company continue operations.

According to Igor Novytskyi, Technical Director of Urochyshche Zhuravske,

“During the wheat and rapeseed harvest season, when power outages lasted for days, the generators enabled us to process the crops on time, preventing losses of 15-20%. The generators allowed us to weigh, clean, and unload grain without interruptions.”

The truck scales provided by USAID doubled the efficiency of load processing, allowing two trucks to be weighed simultaneously, which is critical for meeting contract deadlines when speed is paramount. In addition, the USAID-provided telescopic handler with bucket fillers significantly streamlined big bag loading, accelerating goods prepared for transport and export. According to Urochyshche Zhuravske, they processed 3,400 tons of rapeseed in the fastest possible time, fulfilling export and domestic contracts.

Ultimately, thanks to the new equipment, Urochyshche Zhuravske was able to continue business and contribute to national food security during wartime.

Background

LLC “Urochyshche Zhuravske” in Cherkasy Oblast is an agricultural enterprise that has been cultivating approximately 6,000 hectares of land since 2009. The company specializes in growing grain and oilseed crops, including wheat, corn, soybeans, sunflower, and rapeseed. A team of over 90 employees manages both owned and leased lands.

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.

USAID ERA grantee commences implementation of project to accelerate cargo processing at Mostyska, Vadul-Siret, and Chop rail border crossing points  

Grants
Modernization of the BCPs
13 December 2024

USAID Economic Resilience Activity (ERA) grantee the NGO Western Ukrainian Resource Center, has commenced its project to optimize railway border procedures to accelerate grain exports to EU countries.  On December 12, representatives of the NGO and ERA met with the Zakarpattia Oblast Military Administration and Ukrainian Railways. As part of the grant initiative, procedures at three railway border crossing points (BCPs) — Mostyska, Vadul-Siret, and Chop — are being improved, with Chop serving as the pilot site for the activities to be first implemented.

The main goal of the project is to enhance cross-border cooperation between Ukraine and the EU, promoting increased exports and harmonizing border crossing procedures with European standards. 

After the blockade of Black Sea ports, the western railway border crossings became critical for export flows. However, their throughput capacity proved to be insufficient. The volume of grain exports increased significantly. While approximately 79,000 tons were transported through Zakarpattia in 2022, this figure rose to nearly 2 million tons in 2023. At times, the border crossing wait time ranged from 2 to 15 days. The project therefore aims at addressing these challenges.

The modernization of BCPs infrastructure, as well as improvements to technical and customs procedures, will contribute to strengthening Ukraine’s export potential and its integration into the European Union.