Federation of metallurgists of Ukraine (FMU) and the Central Committee of trade Union of workers of metallurgical and mining industry of Ukraine (PMGU) urged the President of Ukraine to prevent the next increase of railway tariffs for cargo transportation, to initiate the revision of the balance of scrap metal and to review the situation in the mining and metallurgical complex on the National Council of reforms.
A letter, a copy of which is available to Interfax-Ukraine, the head of the FMU Sergei bilen'kii and the Central Committee of PMGO Sergei Kamyshev sent to the address of the President of Ukraine Petro Poroshenko.
In the letter they draw attention to the critical situation in the economy, you need to create and implement long-term balanced industrial policy that would define the national approach to the support and development of certain sectors, given their role in the economy of Ukraine, the potential for expansion of production and creation of prerequisites for growth in related industries, the impact on the labour market and the livelihoods of individual regions and local societies.
The head of the FMU and of the Central Committee of PMGO say the threat of further deterioration of the situation in the MMC in the case of a planned increase in tariffs for cargo railway transportation and implementation of the approved balance of ferrous scrap in 2016, providing a high level of scrap exports to 1.1 million tonnes and the shortage of this raw material for domestic steelmakers.
Please do not hesitate to take all possible measures to prevent the signing of the order of the Minister of infrastructure on the indexation of tariffs for cargo rail transportation in 2016, to initiate by the Cabinet of Ministers re a detailed analysis of the current revision of the financial plan of PJSC Ukrainian Railways for 2016 with the participation of representatives of shippers and industry associations, and preparing alternative version of the financial plan in the case of zero indexation of freight railway tariffs, including reserves, in terms of cost of fuel, electricity and other reserves operating expenses and the investment program for 2016 — said in the letter.
Steelmakers also asked the President to initiate before the Cabinet of Ministers and the Ministry of economic development and trade of the revisions to the balance of formation and consumption of ferrous scrap in the domestic market by 2016, given the stated plans of its main customers — ArcelorMittal Kryvyi Rih, Interpipe, Elektrostal, Azovstal, Mariupol metallurgical plant them.Ilyich, Zaporizhstal metallurgical plant them.Dzerzhinsky and the need for correction of lomozagotovki forecast for 2016, on the basis of actual data the beginning of the year.
Moreover, it is request to initiate the Cabinet of Ministers, the Ministry of justice and Nicholovos the verification of compliance with all applicable legislation when approving the current revision of the estimated balance of education and consumption of ferrous scrap in the domestic market in 2016.
Or no later than April 2016, to submit for consideration of the Council, or to hold a separate meeting under the chairmanship of the President and with the participation of relevant authorities, representatives of MMC, trade unions, expert organizations, and associations on which to consider the current situation and development prospects of MMC, state policy in this branch, the development and implementation of a comprehensive national strategy for the stabilization of the situation in the industry.
We understand the difficult conditions in which now was the Ukraine. However, in our opinion, today is the time that needs to take the only responsible, balanced and statist solutions. In the current situation is unacceptable to make short-sighted haphazard decisions, testing the strength of the remnants of the Ukrainian economy and the patience of industrial workers, as from-for doubtful positions of individual government officials can be a long time to lose industrial and labor potential of the country. These civil servants, are ultimately responsible only for its position and for the consequences of their irresponsible decisions will meet the next generation on whose shoulders will fall the burden of de-industrialization and long-term stagnation, — stated in the letter.
The head of the FMU and of the Central Committee of PMHW also expressed readiness to support and implement initiatives of the President, Parliament and government of Ukraine, aimed at resuming economic growth and preserving the industrial and employment potential of the state.