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LTG Cargo: Poland is Our Gateway to Europe

2024-04-23

A 1.9% share of freight by freight work, a more than doubled increase in operating work, and a nearly tripled increase in weight carried – this is the balance of last year for LTG Cargo Polska. The company prides itself on ranking among the 12 largest rail carriers in Poland.

In 2023, the weight of cargo transported in Poland by LTG Cargo Polska increased year-on-year by 271.5% (from 439.6 thousand to 1.63 million tons). Freight work increased even more markedly (from 187.1 million to 823.5 million t/km – an increase of 340.06%). The increase in operating work was 214.74% over the same period, reaching 1.3 million train kilometers.

Advancement to the Top Players in Three Years

Another success was a 3.35% share of intermodal shipments by weight in the third quarter of last year. It is intermodal that accounts for 59% of realized freight work in the fourth quarter of 2023. LTG Cargo Polska has achieved these results in just three years, since its founding in 2020

“LTG Cargo Polska is a rapidly growing player in the Polish rail transportation market. According to data from the Railway Transport Bureau for January, our company has already gained a 1.9% share of freight shipments (by freight work), which places us in the TOP 12 of the largest rail carriers in Poland,” emphasizes Mindaugas Skunčikas, CEO of LTG Cargo Polska, Director of Intermodal Development and International Business at LTG Cargo. Performance in individual months has been even better: at the end of 2023, LTG Cargo Polska achieved a record 5.08% by freight work.

The Polish market is an extremely competitive environment. Interestingly, LTG Cargo Polska was more than the 100th entity to apply for a carrier’s license in Poland. Every year, the number of freight carriers increases.

“In Poland, we see great potential and growth in the volume of goods transported – both on international and local routes. Last year, to be exact, LTG Cargo Polska carried 1,715 trains. In comparison, the number of trains carried in 2022 was 583, and in 2021 – 68,” he says.

Purpose: to Enter Western Markets

Entering the Polish market is expected to help LTG Cargo achieve one of its strategic goals – to enter and fully integrate into Western freight markets. Poland is an axis of international expansion and diversification of business.

The Lithuanian operator intends to develop both intermodal and conventional bulk transport in Central Europe. Their plans also include a consistent expansion of services to Western and Southern Europe. – The railroad gateway from Lithuania to Europe runs through Poland, so it was a natural direction for Lithuanian Railways to expand. LTG Cargo Polska is part of our ecosystem, helping us create connections and offer quality solutions to the intermodal market, emphasizes M. Skunčikas. The company continues to conquer new market segments, increasing shipments and investing in its fleet.

Currently, LTG Cargo Polska has 32 locomotives, including 20 electric ones. “Our plans include further expansion of our rolling stock, especially our locomotive fleet, which will further increase the company’s growth momentum,” declares the CEO of LTG Cargo Polska.

LTG Cargo Polska Focuses on Meeting Customer Needs

There is fierce competition in the Polish rail freight market, according to the Lithuanian carrier’s representatives. Recent years have seen an increase in the number of primarily small carriers who are able to offer competitive prices. In addition to low prices, the current freight market is increasingly asking for high quality. LTG Cargo Polska emphasizes that they are able to offer on-time arrival and additional services, all together forming a comprehensive and reliable service. A personalized approach and commitment also helps in attracting new customers.

Today, transports from Lithuania towards Poland consist primarily of transit trains between Kaunas and Duisburg, as well as fuel transports to Ukraine (Mockava – Yagodzin route). The

company is also focusing on developing an intermodal connection between Kaunas and Sławków. “Together with the entire LTG Cargo Group, we are striving to develop new routes and services for customers in the region,” concludes M. Skunčikas.