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

BCP Renovation and Reconstruction
Grants
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. 

USAID ERA tours completed rapid upgrade improvements at Chop (Tysa)-Zahony road border crossing point in Zakarpattia Oblast 

BCP Renovation and Reconstruction
13 December 2024

On December 10, representatives of the USAID Economic Resilience Activity (ERA), led by ERA Chief of Party Timothy Madigan and ERA Border Crossing Points (BCP) Director Cameron Berkuti, visited and observed the rapid upgrade work completed at the Chop (Tysa)-Zahony BCP at the Hungarian border in Zakarpattia Oblast, along with representatives from State Agency for Restoration and Development of Infrastructure in Zakarpattia Oblast. 

USAID ERA and its subcontractors carried out the upgrades at Ukraine’s largest border crossing with Hungary between May and December 2024. Specialists upgraded the freight transport section, replaced asphalt pavement, applied new markings, installed 288 road signs and 256 LED lights, and replaced road slabs and barriers. To better control traffic, 6 hydroelectric traffic stoppers and 12 traffic arms were installed. They also repaired pedestrian paths, guardrails, and canopies.  

“Developing border crossing points is a priority for the Government of Ukraine, and we are honored to be able to do our part in modernizing this critical infrastructure,” stated Timothy Madigan, ERA Chief of Party.

ERA also installed and fully fitted 16 permanent modular buildings for customs and passport control. These facilities are equipped with office furniture, air conditioning, and heaters, providing improved working conditions for customs, passport controllers, and border units. Additionally, ERA provided two commodity scales, one forklift, and two handheld backscatter scanners, and plans to deliver 36 pieces of ICT equipment.  

“Reconstruction of border crossing points with all EU countries to increase throughput capacity is not just necessary for Ukraine – it is vital. We are deeply grateful to our partners who understand the urgency of prioritizing work at the largest border crossing points with Hungary and Slovakia. We appreciate our partners for their joint efforts at the Chop (Tysa) border crossing and are ready to continue working together for the development and victory of our country,” stated Stanislav Baluyev, Deputy Head of Border Crossing Development for the State Agency for Restoration and Development of Infrastructure in Zakarpattia Oblast. 

USAID ERA is also collaborating with the U.S.-based consulting firm Tetra Tech and the French company Egis to develop project documentation for Chop (Tysa). The technical requirements have already been approved by the Agency for Restoration, necessary geodetic and technical surveys have been conducted, and project documentation for future reconstruction is under preparation. 

The total budget for modernizing the Chop (Tysa) border crossing under the USAID ERA is approximately $4.5 million. This includes all planned equipment procurement, rapid upgrade improvements, engineering services, and reconstruction. 

Background:
Between 2023 and 2026, USAID is allocating $115 million through the Economic Resilience Activity to support the State Agency for Restoration and Development of Infrastructure, Ukrainian Railways (UZ), and the State Customs Service. This funding aims to modernize border crossings, enhance trade, and increase export volumes. 

USAID ERA representatives attended the conference Doing Agribusiness in Ukraine

AGRI-Ukraine Export Logistics Support
12 December 2024

On December 11, the USAID Economic Resilience Activity’s (ERA) representatives attended the conference Doing Agribusiness in Ukraine, advancing Ukraine’s export capacity enhancement. DoAgro brings together senior business representatives, government policymakers and other industry stakeholders to promote and enhance agribusiness in Ukraine with presentations on topics such as expanding Ukrainian grain’s export potential, industry best practice, and investment needs and market opportunities.  

During the conference, ERA’s representative Tetiana Trympol, moderated a panel discussing challenges and new opportunities for agri-businesses in Ukraine. UCAB exporting members IMC, TAS Agro, AGROTRADE, Nibulon, Agro-Region,and Agrovista  shared their experiences over the last two years of doing business during the war.  

DoAgro is organized by ERA’s grantee, Ukrainian Agribusiness Club Association (UCAB). 

USAID ERA helps Ukrainian Society of the Blind Establish Production Facilities in Kyiv Oblast 

09 December 2024

Last month, the Ukrainian Society of the Blind (UTOS) completed installation of a corrugated cardboard production line worth $367,000 provided by USAID’s Economic Resilience Activity (ERA) in their Yahotyn facility. The new facility will produce various cardboard products such as boxes and corrugated rolls and employ 24 people, including individuals with disabilities and internally displaced persons (IDPs).

UTOS first started producing cardboard packaging more than 20 years ago for local consumers in their Kramatorsk facility in Donetsk Oblast. They also produced items such as metal chains, engines, and Christmas lights. In 2022, UTOS received a grant from USAID ERA to modernize their facility, but the procurement process was halted due to Russia’s brutal invasion of Ukraine in February.

UTOS’s old production line had been sent to Krasnohorivka, Donetsk Oblast for repairs in January 2022, but UTOS was unable to retrieve the equipment due to heavy shelling. Later that year, the company managed to save a small portion of their equipment and relocate 23 employees to Dnipro.

In September 2022, heavy shelling in Kramatorsk completely destroyed UTOS’ premises and adjacent buildings. Unable to find a suitable production site in Dnipro, they moved to Yahotyn, Kyiv Oblast, where demand for corrugated cardboard products is higher.

“We chose to relocate to Yahotyn in Kyiv Oblast, because it’s a convenient location,” said Yurii Shuharov, Director of the Kramatorsk UTOS training and production facility. “We rented a building and prepared to install the equipment. It’s difficult to start everything from scratch, but we have experience and partners, and we hope for new business contacts.”

USAID ERA delivered the new production line to UTOS in June 2024, but installation was delayed due to almost daily power outages. The new, modern equipment includes an electromechanical rolling machine, preheating device, corrugator, gluing module, drying table, longitudinal cutting module, and other components.

UTOS is now fulfilling its first order and negotiating with potential customers. The facility will employ 24 people, including 12 equipment operators. Through the grant from USAID ERA, employees also received training in accounting and sales to attract new clients, which they are putting to use.

“We have 12 people who came with us from Kramatorsk, all of whom are displaced persons in need of housing and work,” said Director Shuharov. “This new line will help us hire another 12 people and increase our employees’ salaries by 30% thanks to new orders. Despite all the challenges of the war, we continue to live and work, seeking opportunities for our people to have jobs and decent salaries, integrating into the communities they find themselves in because of the war.”

USAID Enhances Export Capacity of the Danube Port 

AGRI-Ukraine Export Logistics Support
Grants
05 December 2024

On November 11, USAID, through its Economic Resilience Activity (ERA), delivered a belt loader to Orlivka River Port through a grant, increasing export efficiency.   

With the new equipment, the time required to process a vessel will decrease from 72 hours to 60 hours for loading 6,000 tons of grain shipments. Additionally, the time needed to unload a single truck will drop from approximately 30–40 minutes to just 10–15 minutes. 

Vitalii Nikula, Director of River Port Orlivka, says,

“This equipment will help us offer competitive logistics and transshipment services on the Danube using modern equipment and robust machinery. It is essential to keep the port dynamic, increase cargo handling capacity, and stimulate the growth of exports from Ukraine.” 

Currently, the enterprise operates five belt loaders—two owned and three rented—and one wheel loader, running in four shifts around the clock. 

Agro-Region Reduced Grain Transportation Costs by 30% Thanks to Its Own Fleet of Wagons 

AGRI-Ukraine Export Logistics Support
05 December 2024

Agro-Region reduced the cost of transporting grain and oilseed crops by up to 30% compared to last year. This achievement was made possible by expanding its own fleet by 40 wagons. In April, the USAID Economic Resilience Activity (ERA) provided the company with 25 wagons, and Agro-Region invested its own funds to purchase an additional 15 wagons. 

According to Alexander Tymoshenko, the Commercial Director of Agro-Region, having an in-house fleet allows them to be more flexible in logistics and maintain fixed transportation costs. 

As of early December, Agro-Region had exported 58,000 tons of grain and oilseed crops. 

Previously, Agro-Region relied on renting wagons, which during peak times (such as the harvest season) led to delays and increased transportation costs. 

In 2024, USAID ERA also provided Agro-Region with 3 grain trailers, 2 generators, 2 truck scales, and 2 telescopic loaders.