READER THE MARKET OF DANUBE NAVIGATION

Transcription

1 READER THE MARKET OF DANUBE NAVIGATION Extract of relevant passages from the Manual of Danube Navigation, via donau (2012) and the Annual Report 2014 from via donau

2 The Danube region as an economic area The Danube as an axis of economic development In its function as a transport axis the Danube connects key procurement, production and sales markets that have significant European importance. The gradual integration of the Danube riparian states into the European Union has led to the establishment of dynamic economic areas and trading links along the waterway. Slovakia s and Hungary s accession to the EU in the year 2004 followed by Bulgaria and Romania in 2007 saw the start of a new phase of economic development in the Danube region. Accession negotiations got underway with Croatia in October 2005 and Serbia received accession candidate status in March With approximately 90 million inhabitants, the Danube region is of great economic interest. The economic and political heterogeneity that distinguishes the region is coupled with a dynamic development that is unparalleled anywhere else in Europe. The focus of this economic development lies in the capital cities of the Danube countries. Other urban areas are also playing an ever increasing role, in particular as consumer and sales markets. The Danube waterway as a transport mode can make a major contribution here with the provision of these centres with raw materials, semi-finished and finished products as well as the disposal of used materials and waste. The Danube is of particular importance as a transport mode for the industrial sites that are located along the Danube corridor. Bulk freight capacity, the proximity to raw material markets, large free transport capacities and low transport costs all add up to make inland navigation the logical partner for resource-intensive industries. Many production facilities for the steel, paper, petroleum and chemical industries along with the mechanical engineering and automotive industry are to be found within the catchment area of the Danube. Project cargo and high-quality general cargo are now being transported on the Danube in ever increasing numbers in addition to traditional bulk cargo. Due to its fertile soil, the Danube region is an important area for the cultivation of agricultural raw materials. These not only serve to ensure the sustainable provision of the conurbations in the vicinity of the Danube, but are also transported along the logistical axis of the Danube to be further processed. The ports and transhipment sites along the Danube play an important role here as locations for storage and processing and as goods collection points and distribution centres. A not inconsiderable part of these agricultural goods are exported overseas via the Rhine-Main-Danube axis and the respective seaports (North Sea and Black Sea). 134

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6 The current trend towards replacing fossil fuels with biogenic raw materials for the generation of energy and in the chemical industry has opened up new potential for Danube navigation specialised in biomass logistics and for the establishment of new value-added chains in the field of renewable raw materials (e.g. starch and oilseeds). Competitiveness and growth One of the most striking characteristics of the Danube region is the substantial discrepancy in national income and macro-economic productivity. The income and productivity levels measured in purchasing power parity of per-capita gross domestic product (GDP) ranged from approximately EUR 32,300 in Austria to EUR 5,800 in the Ukraine in the year 2011, thus constituting a ratio of almost 6:1. A clear picture emerges if you take a detailed look at the development of GDP in the individual Danube riparian states in recent years: For the most part, the economic crisis has been overcome in the EU member states and the road to continuous growth resumed. The latest EU member states Romania and Bulgaria, for example, managed to double their GDP in the period between 2002 and In 2011 the GDP in the Danube region again increased on average by more than 5% compared to the previous year. In contrast, the 27 EU countries in total only achieved an increase of barely 3%. This trend reflects 35,000 Per-capita GDP measured in purchasing power parity (EUR) 30,000 25,000 20,000 15,000 10,000 5, Development of GDP in the Danube region Austria Germany EU 27 Slovakia Hungary Croatia Romania Bulgaria Serbia Ukraine Source: Eurostat, Wiener Institut für Internationale Wirtschaftsvergleiche 138

7 The market for Danube navigation the high dynamic growth of the Danube region and the increasing economic integration of the Danube riparian states. Austria s foreign trade links in the Danube region Increasing deregulation of the European internal market and the integration of the Central and South-Eastern European states into the European Union has led to a fundamental restructuring of the flow of foreign trade in recent years. The Danube riparian states, Austria in particular, have reaped great benefits from this development. With an annual trade volume of almost 44 million tons (imports and exports together), Germany is by far Austria s most important trade partner. However, the data for Germany has been purposely omitted from the diagram below in order to focus more on Austria s trading relationships with Central and Eastern Europe. 9,000 8,000 1,000 tons 7,000 6,000 5,000 4,000 3,000 2,000 1, Austria s foreign trade links in the Danube region In 2011 the total volume of Austrian foreign trade in the Danube region had already regained its level from the pre-crisis year of 2007 or had even exceeded it. With an increase from 13.6 million tons in the year 2001 to 24.3 million tons in 2011 (excluding Germany), the total volumes traded in the Danube region almost doubled during the period. Hungary Hungary Slovakia Ukraine Romania Croatia Serbia Bulgaria Moldova Source: Statistics Austria 139

8 6,000 5,000 1,000 tons 4,000 3,000 2,000 Hungary Ukraine Slovakia Romania Croatia Serbia Bulgaria Moldova 1, Austrian imports from the Danube region Source: Statistics Austria is Austria s most important trade partner in Central and Eastern Europe, followed by Slovakia and the Ukraine. The rate of growth in the trade volume with Romania is remarkable: a total of 1.9 million tons of goods were traded between the two countries in 2011, the equivalent of a fourfold increase since the year Hungary, the Ukraine and Slovakia respectively rank highest as far as imports to Austria are concerned. However, Romania has also gained significantly in importance here over the last few years. In the year 2011, a total of 17.4 million tons of goods were imported to Austria from the Danube riparian states (excluding Germany). This is equivalent to a rate of growth of 75% since If exports to the Danube countries are considered individually, Hungary takes first place well ahead of Slovakia and Romania who take 2nd and 3rd places respectively. A total of 6.8 million tons of goods were exported from Austria to the Danube riparian states (excluding Germany) in the year This is equivalent to a rate of growth of almost 88% since

9 The market for Danube navigation 3,500 3,000 1,000 tons 2,500 2,000 1,500 1, Austrian exports to the Danube region Hungary Slovakia Romania Croatia Serbia Bulgaria Ukraine Moldova Source: Statistics Austria The Danube as a link to the Black Sea region Because the European Union has managed to intensify its utilisation of the economic potential of Eastern and South-Eastern Europe in recent years, the next logical step is to focus more strongly on the countries of the Black Sea region. With more than 140 million inhabitants the Black Sea region is a market with considerable development potential. The Black Sea region as a future market Source: via donau 141

10 More information on the Danube Strategy can be found in the chapter Targets and Strategies. According to the final report of the Integrated Regional Program for the Black Sea Region ( Federal Ministry of Economy, Family and Youth 2010), this region encompasses Armenia, Azerbaijan, Georgia, the Republic of Moldova, the Russian Region Krasnodar (Sochi), Turkey and the Ukraine. The two EU member states Romania and Bulgaria must also be included here due to the fact that their national economies are becoming increasingly linked with the Black Sea riparian states via the seaports (e.g. Constanţa, Varna). For the European Union, the Danube represents an important link to this region. The EU Strategy for the Danube Region could open up further opportunities for cooperation with the Black Sea region. There has been a dynamic development in trade with Turkey in particular over the last few years. This country has become an important economic partner for the European Union both with respect to imports as well as exports. Austria s foreign trade links with the Black Sea region With an annual trade volume of almost 7.3 million tons (imports and exports combined), the Russian Federation is by far Austria s most important trade partner among the Black Sea riparian states. However, as there is no data material that is clearly attributable to the Krasnodar 6,000 5,000 1,000 tons 4,000 3,000 2,000 Ukraine Romania Turkey Bulgaria Azerbaijan Moldova Georgia 1,000 0 Armenia Source: Statistics Austria Austria s foreign trade links in the Black Sea region

11 The market for Danube navigation region, which borders the Black Sea, Russia has been purposely left out of the following diagram in order to maintain the regional focus. As the diagram indicates, the Ukraine clearly took 1st place in 2011 with 5.6 million tons. With approximately 850,000 tons Turkey took 3rd place after the EU member state Romania (1.9 million tons). With an increase from 4.3 million tons in the year 2001 to 8.9 million tons in 2011 (excluding Russia), the total volumes handled in the Black Sea region more than doubled during the period. Machines and vehicles, chemical products and processed goods constitute the largest proportion of Austrian exports, while raw materials (ores and steel from the Ukraine), foodstuffs (Georgia, the Republic of Moldova) and consumer-related finished goods (clothing) make up the lion s share of imports ( Federal Ministry of Economy, Family and Youth 2010). Almost a fifth of the total export volume to the Black Sea region involves the non-eu member state Turkey (2011: 480,000 million tons). Over the last few years, the country on the Bosporus has become an important sales market for Austrian goods. This is of great relevance for Danube navigation in that the large volumes of imported raw materials (e.g. ores and coal) which are transported upstream the Danube could be evened out by exports in order to avoid empty runs of vessels. Goods transported by vessels on the Danube to the Black Sea port of Constanţa and then on to Turkey by sea/short sea vessels could in fact ensure a higher parity of traffic on the Danube and in turn boost the overall competiveness of Danube navigation. Transport volume The latest figures available for the overall volume of goods transported on inland waterways within the Danube region date from the year 2010 ( via donau 2012). These provide a good overview of the volumes transported, major transport relations and the importance of Danube navigation in the riparian states. In total, more than 43 million tons of goods were transported on the Danube waterway and its tributaries in the year These and all the following figures include both transport by inland vessels and river-sea transport on the maritime Danube (Sulina and Kilia arm) up to the Romanian port of Brăila (river-km 170) as well as goods transported on the Romanian Danube-Black Sea Canal. 143

12 Danube SK 9.85 DE 7.11 Prut AT Tisza MD 0.14 HU Sava Drava UA 7.14 B A 0.07 HR 8.15 RO Danube Adriatic Sea RS BG 8.82 Black Sea Million tons DE AT SK HU HR BA RS BG RO MD UA Export Import Transit Domestic Total Transport volume on the Danube and its navigable tributaries in 2010 Source: via donau By far the largest transport volume for 2010 was chalked up by Romania with 21.6 million tons, followed by Serbia with 14.3 million tons and Austria with 11.3 million tons. The Ukraine was again the largest exporter on the Danube in the year 2010, which saw a total of 6.8 million tons being shipped out. Of all the Danube riparian states, Romania had the biggest volume of imports in the year 2010 standing at 7.1 million tons. As far as transit traffic on the Danube was concerned, the largest transport volume of 7.6 million tons was registered in Croatia. Romania was again by far the most important country for domestic transport, with 7.6 million tons. Transport volume in Austria As the following diagram shows, there has also been an upward trend in goods transport on the Austrian section of the Danube over the long term. The key contributing factor here is the intensification of trade with the Central and South-Eastern Danube region and the Black Sea region resulting from the gradual implementation of the EU eastern enlargement. 144

13 The market for Danube navigation transported goods in million tons Transport volume on the Austrian Danube Total Import Transit Export Domestic Source: via donau Economic and financial crises have, of course, also had an impact on the transport volume on the Danube (most especially in the year 2009). Several severe periods of low water levels in the second half of the year 2011 also encumbered economic development, even bringing navigation on the Lower Danube to a standstill. The development of transport volume on the Danube had already been impacted by similar unfavourable water conditions in the year These pronounced periods of low water levels clearly indicate the urgent need to take action in transport policy in order to remedy the nautical bottlenecks along the Danube as quickly as possible. Traditional bulk cargo (coal, ore and grain) and liquid cargo (predominantly mineral oil) currently account for the largest share of goods transported. It is the resource-intensive industries located in Austria that reap particular benefit from the utilisation of this bulk freight capacity and, at the same time, economical form of transport. One example of this is the voestalpine steel plant in Linz, whose supply of raw material is transported for the most part by inland vessels. On the westbound route to the North Sea ports of Amsterdam, Rotterdam and Antwerp semi-finished and finished products are transported to a large extent. As far as transit traffic is concerned it is mainly the transport of agricultural products from Hungary, Bulgaria and Romania to Western Europe that plays a major role. However, there is also an upward trend in the transport of high-quality general cargo by inland vessels on the Austrian Danube. The Danube is 145

14 also used for the repositioning of empty containers in addition to Ro-Ro cargo (new vehicles, agricultural and construction machinery etc.) and project cargo (heavy and oversized cargo). Market characteristics Liberalisation and deregulation of the transport markets have made great headway within the European Union. In the Danube region, however, the political and legal framework conditions remain relatively heterogeneous due to the recent, or rather not yet concluded, accession of individual Danube riparian states to the European Union. In this respect, greater harmonisation is expected over the coming years and this will favour the entry of additional buyers and sellers in the market and in turn promote the opening up of new transport potential. To date, the largest portion of goods transported on the Danube waterway originate from a few major shippers who deal with only a relatively small number of service providers. The large shipping companies are, for the most part, derived from former state-owned enterprises mainly and provide cargo space for the transport of traditional bulk goods based on long-term open policies. Smaller shipping companies and independent ship owners (private vessel owner-operators) often have to be more flexible in finding cargoes and for the most part serve economic niches and short-term requirements for transport services. Transport operations are carried out on the basis of a freight contract (or contract of carriage) which is concluded between the consignor and the freight carrier either directly or indirectly. In the case of direct conclusion, the contract is concluded directly between the shipper and the shipping company. In contrast, there is at least one other party involved who acts as an intermediary if a contract is concluded indirectly (e.g. a forwarder or freighting company). The freight contract is concluded consensually between the parties. There is no special form required (freedom from any formal requirements). A consignment note that serves as documentation for the transport operation is drawn up for each individual freight order. A bill of lading often regulates the legal relationship between the freight carrier and the consignee in inland navigation. The bill of lading provides the consignee with evidence of the right to receive the consignment and obliges the freight carrier to hand over the goods only on submission of the bill of lading. This transport document is customary in inland navigation and constitutes a document of title, the submission of which leads to a transfer of ownership of the goods. In other words, the bill of lading functions as a certificate of receipt for the goods, as a carriage promise 146

15 The market for Danube navigation for the transport of the goods and a promise to hand over the goods to the legitimate owner of the bill. The parties involved in the inland waterway transport market will be dealt with in detail in the following. The different forms of contract used in Danube navigation and the transport solutions upon which these are based will also be explained in this section. Supply side of Danube navigation Logistics providers on the Danube navigation market include primarily transport companies, port and terminal operators and companies that act as intermediaries (freighting companies, forwarders). Transport companies Shipping companies are commercial ship transport companies that professionally organise and implement the transport of goods using their own vessels or those from other companies. They always operate several vessels. Shipping companies are distinguished by the fact that they prepare and direct transport from land (in contrast to independent ship owners who usually do not have such a land-based organisation ). In addition to such shipping companies, the independent ship owners private vessel owner-operators mentioned above are also active on the market. Most of these operate a single motor cargo vessel, some own up to three vessels. As a rule, independent shippers also act as captains of their own ships and do not normally run any land-based commercial offices. In many cases they are organised into co-operatives. i Further information on ports and terminals can be found in the chapter Ports and Terminals ) Motor cargo vessel Source: via donau 147

16 Demand side of Danube navigation The demand side of the inland waterway transport market includes, for the most part, shippers, i.e. industrial companies that receive or convey goods. Although forwarders and logistics service providers are also active in carrying out transport for third parties as well. Traditional markets of Danube navigation Due to the large volume of goods that can be transported on a vessel unit, inland navigation vessels are ideally suited to the transport of bulk cargo. If planned and carried out correctly, transport costs can be reduced in comparison to road and rail and this in turn compensates for longer transport times. The inland vessel is especially suitable for the transport of large quantities of cargo of low-value goods. However the system requires the availability of high-quality logistics services along the waterway (transhipment, storage, processing, collection and/or distribution). Many companies use Danube navigation as a fixed part of their logistics chain. Currently, the great bulk freight capacity of inland vessels is utilised predominantly by the metal industry, agriculture and forestry and the petroleum industry. Inland navigation is an extremely important mode of transport for the steel industry. Approximately 25-30% of the total amount of the raw material ore, for example, is transported on the Austrian stretch of the Danube. Due to their heavy weight, semi-finished and finished goods such as steel coils can also be transported economically using inland navigation. Transhipment of steel coils The most important steelworks in Austria is voestalpine, which is located in Linz. This company operates a factory port on its own premises that has an Source: Mierka Donauhafen Krems 150

17 The market for Danube navigation annual waterside transhipment of 3 4 million tons. This is also Austria s most important port in that it has handled almost half of all waterside transhipment in Austria in recent years. Other major steel plants in the Danube region are located in Dunaújváros/ Hungary (ISD Dunaferr Group) and Galaţi/Romania (ArcelorMittal). The demand and, therefore, also the flow of goods from the agriculture and forestry sector can fluctuate greatly from one year to the next. Agriculture is dependent to a great extent on weather conditions (precipitation, temperature, days of sunshine per year). Crop failures in a region due to bad weather conditions can lead to a fluctuation in the volume of transported goods required to cover the needs of the affected region. Grain and oilseed are the main products transported on the Danube. Although the transport of wood is also growing in importance due to the increasing demand from the processing industry and biomass plants. Log wood Agricultural and forestry products together account for around 20% of the total volume of goods transported annually on the Austrian stretch of the Danube. Many Austrian companies trading in agricultural products or involved in the processing of such goods (i.e. starch, foodstuffs and animal fodder, biogenic fuel, log wood) have settled directly on the waterway. Many companies have already set up factory transhipment sites or have settled in a port where they operate their silos or processing facilities. This enables transport on inland vessels with no pre- or end-haulage, thereby enabling companies to benefit from particularly low transport costs. Source: via donau 151

18 Tanker Petroleum products from the mineral oil industry account for another 20% of the total transport volume on the Austrian stretch of the Danube and therefore constitute a major market. In the Danube region there are many refineries located either on or near the Danube. Due to their great bulk freight capacity, low transport costs and high level of safety, inland vessels are predestined as a significant means of transport for petroleum products in addition to pipelines. The fuel tanks of around 20,000 cars can be filled up with the cargo of a single tanker. Petroleum products and their derivatives are classed as hazardous goods and for this reason are transported in special vessel units equipped with the Source: via donau High & heavy goods transport Source: via donau 152

19 The market for Danube navigation respective safety equipment. European regulations and national hazardous goods legislation have particular relevance for tanker shipping. Other branch-specific potential for Danube navigation In addition to traditional bulk cargo transport, there are numerous sectors involved in the transport of high-value goods, which, due to their specific requirements, represent a great challenge but at the same time a substantial potential for the development of logistics services along the waterway. Due to their size and the available infrastructure, inland vessels are ideally suited for special transport such as heavy goods or oversized loads ( high & heavy ), e.g. construction machinery, generators, turbines or wind power plants. The greatest advantage here compared to conventional road transport is that no special modifications need to be made along route, e.g. the dismantling of traffic lights and traffic signs or protective covers for plants. Another benefit is the fact that there is no inconvenience to the general public due to street closures, restrictions on overtaking or noise when such goods are transported by inland vessel. The Danube has also developed today to become a logistics axis of pan- European importance for the bundling, storage and processing of biogenic Rapeseed (renewable) raw materials (e.g. grain, oilseed, log wood). The increasing shortage of non-renewable resources and the creation of cross-sector valueadded chains that result from this (e.g. the food and fodder industry, chemical industry and energy generation sector) enable the development of new types of cargo on the Danube. Transport costs can be reduced and the negative impact on the environment minimised thanks to targeted improvement in logistic Source: via donau 153

20 Construction material services available on the Danube (port infrastructure, special transhipment equipment) and the operation of inland vessels along the resource-intensive value-added chains. This entails the necessity of logistics chains that meet the high requirements of the respective goods. A favourable development can also be expected in Central and South- Eastern Europe as far as the construction material industry is concerned. This is due mainly to the high requirements of renovating and expanding the infrastructure, although structural and civil engineering as well as residential construction also play a significant role. The resulting transport volumes and growing exchange of goods with South-Eastern Europe suggest a high potential for inland navigation. Inland vessels could be used here for both bulk Source: via donau Transhipment of waste paper Source: EHG Ennshafen GmbH 154

21 The market for Danube navigation New cars on board an inland vessel cargo (e.g. mineral raw materials) as well as general cargo (e.g. construction materials, construction machinery). Inland vessels come up trumps where the paper industry is concerned, thanks to their low transportation costs over long distances and the fact that it can be integrated so easily in multimodal logistics chains. Finished and semi-finished products (paper, carton, cardboard) as well as raw, additional and auxiliary materials (log wood, waste paper, bulking agents and pigments) are among the goods transported for the paper industry. Paper products, in contrast to many other bulk cargo, are sensitive logistics goods which place high demands on transport, storage and transhipment. Strategies such as just-in-time or just-in-sequence are among the determin- Source: via donau Storage of chemical products Source: via donau 155

22 ing factors for success or failure in the automotive industry. Due to their long transport times inland vessels only play a role in the logistics chain here where the transport of less time-critical components is concerned. However, specific carrier potential can be exploited (high transport capacity, low transport costs) with the use of Ro-Ro vessels for the transport of new vehicles due to the high concentration of production plants in the Danube region (e.g. in Slovakia and Romania). Another major sector is fertilisers, which are currently being transported in large quantities on the Danube. These account for approximately 10% of the total transport volume on the Austrian stretch of the Danube. Plants from the petrochemical industry are often found in the immediate vicinity of refineries; these plants manufacture plastics and other oil-based products from the oil derivatives. Due to its great bulk freight capacity Danube navigation is also the ideal solution for this market segment. However, economical concepts for pre- and end-haulage are required here. Combined transport represents an attractive alternative for integrating the inland vessel into the logistics chain of the chemical industry in addition to the construction of warehouses for bulk cargo. Used materials and waste are bulk goods of relatively low value and are therefore not usually associated with time-critical transport. Because of these characteristics, inland navigation is an interesting alternative to road and rail for waste management. In principle, all waste material can be transported by inland vessels, regardless of whether it is in the form of bulk cargo or containers. The major urban areas located directly on the Danube (e.g. Vienna, Bratislava, Budapest and Belgrade) are reliable suppliers of waste metal, household refuse and other waste materials. Energetic utilisation by waste power plants is leading to an additional demand for the transport of waste. Scrap Source: via donau 156

23 figures_data_facts Freight transport on the Austrian Danube ,106,540 tons ,208,711 tons 9,321,810 tons 11,052,079 tons ,943,288 tons ,714,007 tons 10,709,847 tons 10,121,726 tons

24 Page 14 Transport volumes Transport volumes Page 15 transport volumes Difficult conditions Fewer imports from the Ukraine figures_data_facts Freight traffic on the Austrian Danube Low water periods led to a reduction in volume of goods shipped and at the same time, an increase in journeys made Imports from the Ukraine via the Danube fell by 82% 2.2% increase in exports via the Danube Inland navigation on the Danube had to cope with extended periods of low water in In addition, the significant reduction of imports from the Ukraine also had a pronounced effect on transport volumes. Around 10.1 million tons of goods were transported on the Austrian stretch of the Danube in 2014, corresponding to a decline of 5,5%, or 588,120 tons, in comparison to This decrease was primarily the result of a reduction in quantities of goods transported as import and transit traffic. A slight increase in domestic traffic and export was recorded in Transport performance (the product of transport volume and distance travelled) in the federal territories fell in 2013 by 7.5% to around 2.2 billion ton-kilometres. The entire transport capacity both within and outside of Austria declined by 11.0% to just over 9.9 billion ton-kilometres. The number of trips made by loaded vessels on the Austrian section of the Danube, however, rose by 2.5%, from 9,470 to 9,706. This increase in loaded vessel journeys compared to the decline in transport volume can be explained by the lower utilisation of vessels. The average transport distance per ton for transit traffic was 1,395 kilometres, 976 kilometres for import, 863 kilometres for export and 97 kilometres for domestic traffic. A drop in cross-border freight traffic (the sum of export, import and transit) of 6.9%, or 685,798 tons, compared to 2013, was recorded. The greatest reduction of transport volume on the Austrian Danube in 2014 was in transit traffic. Goods transported in this sector decreased by 9.8% or 250,281 tons to 2.3 million tons. Transport volumes for imports also fell in comparison to 2013 by 8.8% or 479,700 tons to around 5.0 million tons. The decrease in imports from Ukraine of 82.0% or 404,328 tons, to a mere 102,874 tons is of particular significance. With over 2.0 million tons of freight transported, exports registered an increase of 2.2% or 44,183 tons. Domestic traffic on the Danube waterway also rose by 13.9% or 97,678 tons to 798,797 tons Transit* Export Total Domestic Import In millions of tons Transport volumes in tons Import Export Transit* Domestic Total ,982,130 2,031,587 2,309, ,797 10,121, ,461,830 1,987,404 2,559, ,119 10,709, ,438,844 1,623,701 2,411,351 1,240,111 10,714, ,564,222 1,545,722 2,268, ,187 9,943, ,199,870 1,667,805 2,727, ,632 11,052,079 * Due to a lack of statutory resources, there are no complete records for transit data for the years 2004 and Since 2005 figures have been extrapolated by Statistics Austria. Source: Statistics Austria, adapted by viadonau

25 Page 16 Port transhipment Port transhipment Page 17 figures_data_facts Waterside transhipment at Austrian Danube ports and transhipment sites 2014 port transhipment A slight decrease in total volumes Krems shows a significant increase F Krems 7.5% 641,641 tons (+30.1%) E Enns 8.2% 708,244 tons ( 0.8%) D Linz AG % 1,103,026 tons ( 5.5%) D E F A A Linz voestalpine % 3,193,494 tons ( 10.3%) B Others % 1,593,371 tons (+27.2%) C Port of Vienna % 1,371,534 tons ( 17.6%) In 2014, a total of 8.6 million tons of goods were handled waterside at Austrian Danube ports and transhipment sites. Compared to 2013, this represents a decrease of 2.7% or 240,162 tons. With a total handling volume of around 3.2 million tons, the port of voestalpine in Linz was once again the most quantitatively significant port on the Danube in Austria in Despite a turnover decrease of 10.3% or 366,921 tons compared to 2013, the port still handled 37.1% of the total waterside transhipment of all ports and transhipment sites on the Austrian Danube. The other private ports and transhipment sites (including Aschach, the heavy-cargo port at Linz, Pöchlarn, Pischelsdorf and Korneuburg), were in second place with just under 1.6 million tons and 18.5% of the total volume of goods handled at Austrian loading and unloading points. A detailed analysis of the other ports and transhipment sites is not possible due to data protection laws. voestalpine industrial port, with 3.2 million tons waterside transhipment, most important port on the Danube in Austria Significant plus of 30.1% at the Port of Krems Other ports and transhipment sites in second place for total transhipment in Austria with 18.5% C The Port of Vienna (Freudenau, Lobau and Albern along with the transhipment sites Lagerhaus and Zwischenbruecken) recorded a total of almost 1.4 million tons in water-land transhipment in This represents a decrease of 17.6% or 293,000 tons. The Port of Vienna accounted for 15.9% of total waterside transhipment in the Austrian section of the Danube. B The commercial port and the oil port owned by Linz AG saw a slight decrease of 5.5% or 63,759 tons of goods handled. With a total volume of around 1.1 million tons, the two ports accounted for 12.8% of all goods loaded and unloaded at Austrian ports and transhipment sites. The Port of Enns remained relatively stable, handling 708,244 tons or 8.2% of Austria s total transhipment volume. This represents a slight decline of 0.8% in comparison to The Port of Krems was the only public port on the Danube to increase its water-land transhipment in With a significant increase of 30.1% or 148,370 tons, the port accounted for 7.5% of the total goods handled at Austrian ports and transhipment sites. A total of 641,642 tons went through the port in Including waterside transhipment at Industrie Logistik Linz GmbH. 2 Other ports and transhipment sites include: Aschach, the heavy cargo port at Linz, Pöchlarn, Pischelsdorf, Korneuburg. 3 The three ports of Freudenau, Albern and Lobau (oil port), and the two transhipment sites Lagerhaus and Zwischenbrücken have been grouped together to compile the total turnover figures for the Port of Vienna. 4 Data from both the commercial port and the oil port in Linz have been grouped together to compile the total turnover figures for the Port of Linz. Source: Statistics Austria; adapted by viadonau

26 Page 18 Commodity groups Commodity groups Page 19 commodity groups Ore and metal waste at the forefront Increase in solid fuels figures_data_facts Transport volumes by commodity groups on the Austrian Danube 2014 We, the Team Transport Development, always have an open ear for users of the Danube waterway. We support the Danube logistics sector with customised services and initiatives, thereby opening up new markets and attracting new customers. simon hartl Head of Transport Development As in previous years, ores and metal waste accounted for the highest volume of transport in 2014 with an amount of over 2.6 million tons, despite a drop of 11.3% compared to This group of goods was transported mainly as imports into Austria along the waterway and enjoyed a share of 25.8% of total volume shipped. The transportation of agricultural and forestry products achieved a volume of around 1.8 million tons and, despite a decline of 12.5% or 260,996 tons, was in second place. More than 60% of these products were shipped in transit through Austria, with imports registering approximately 30% or 546,877 tons. The transportation of petroleum products decreased by 13.0% or 271,609 tons compared to 2013 and, with a total volume of 1.8 million tons, accounted for 17.9% of the total volume shipped. These goods were primarily shipped in or out of Austria as cross-border traffic (74.0% or 1.3 million tons) with transit traffic playing only a minor role. After a two-year decline in fertiliser shipments on the Austrian stretch of the Danube, transport volumes for this commodity group increased in 2014 by 6.8% amounting to just under 1.1 million tons, with more than half being exported. In contrast to 2013, when metal products posted a strong increase, the transportation of this group of goods decreased in 2014 by 8.0% and amounted to 964,630 tons. Metal products were transported on the Danube predominantly as export and transit goods. The transportation of crude and manufactured minerals registered an increase of 23.3% with a total volume of 870,654 tons. This corresponds to a share of 8.6% of total volumes. This increase can be explained by the fact that after the floods in 2013, extensive dredging had to be carried out on the Danube which continued into the first half of The figures for this commodity group therefore include the substantial quantities of material removed from the fairway. A slight increase of 5.4% or 21,298 was recorded for foodstuffs and animal fodder. In total, 418,634 tons of this commodity were shipped on the Danube, with more than half recorded as imports. The largest percentage increase is attributable to the commodity group solid fuels. Goods volumes for this segment increased by 106.7%, or 144,681 tons and were almost entirely imports. With a total of 280,324 tons, solid fuels enjoyed a share of 2.8% of the total transport volume. The commodity group machinery, vehicles and other articles accounted for 260,214 tons of goods shipped a decrease of 14.7% compared with Nearly 70% of goods from this group were shipped as transit traffic through Austria. A relatively high increase of 51.1% was recorded for chemical products. However, with a mere 19,053 tons, the volume of goods transported was relatively low compared to the other categories. J Chemical products 0.2% I Machinery, vehicles, and other articles 2.6% H Solid fuels 2.8% G Foodstuffs and animal fodder 4.1% F Crude and manufactured minerals 8.6% * NST/R = Standard Goods Classification for Transport Statistics/revised. Source: Statistics Austria, adapted by viadonau E D F G H C I J A B A Ores and metal waste 25.8% B Agricultural and forestry products 18.1% C Petroleum products 17.9% D Fertilisers 10.4% E Metal products 9.5% Goods classification according to NST/R* Domestic Import Export Transit Total 2014 Change Agricultural and forestry products , ,274 1,126,238 1,832, % Foodstuffs and animal fodder 223,915 71, , , % Solid fuels 234,765 5,443 40, , % Petroleum products 407, , ,992 63,395 1,813, % Ores and metal waste 2,586,284 25,829 2,612, % Metal products 16, , , , , % Crude and manufactured materials, building materials 370, , , , , % Fertilisers 1, , , ,820 1,050, % Chemical products 8,265 10,788 19, % Machinery, vehicles, and other articles ,519 64, , , % Total 798,798 4,982,129 2,031,586 2,309,211 10,121, %

27 Page 20 Passenger transport Passenger transport Page 21 figures_data_facts Passengers on the Austrian Danube 2014* passenger transport Substantial increase in passenger numbers Plus of around 100,000 passengers A Total 1,145,000 B Liner services 655,000 A B C River cruises 375,000 D Nonscheduled services 115,000 In 2014, passenger transport on the Austrian stretch of the Danube was able to record an increase in numbers for the first time since A total of approximately 1,145,000 passengers were transported, representing an increase of 10.1% in comparison to This increase was partially due to the high availability of the waterway during the course of the year, which stood at 99.7%. The number of river cruises continued to increase in 2014 and, with 375,000 passengers transported (+17.2% compared to 2013), reached a new record. The considerable number of 23 new vessels was brought into service on the Austrian section of the river, thereby increasing the number of cabin vessels to 151 (+10.2%). In total, 4,141 trips (+19.1%) were completed. Due to the continuing growth of the existing fleet, the capacity for river cruises increased to 24,652 passengers (+10.4%), this corresponded to an average of 163 passenger places per ship. 17.2% more passengers on river cruises An increase of 6.9% in day river trips 23 new cruise ships in operation on the Danube C D In 2014, liner services carried approximately 655,000 people (+7.4% compared to 2013). The DDSG Blue Danube recorded a total of 205,000 passengers (+7.9%) transported in the Wachau and Vienna in ,903 passengers ( 2.4%) were transported between Vienna and Bratislava on the two Twin City Liners. 50,600 passengers (+3.4%) took advantage of the services offered by Donau-Schifffahrts- Gesellschaft mbh (formerly known as Donau Touristik). The Slovakian and Hungarian hydrofoil ships, operating between Vienna and Bratislava and Vienna and Budapest, transported a total of 44,460 passengers (+30.5%). Dockings and passengers at passenger ports in Vienna** Dockings ships % to previous year Passengers processed % to previous year , , , , , , , , , , Nonscheduled services carried approximately 115,000 passengers in 2014 (+4.5% compared to 2013). The DDSG Blue Danube carried 58,000 passengers (+23.4%) on theme, special and charter cruises. 10,500 passengers ( 4.5%) travelled on board of the MS Helene (owned by schiffart Linz). The MS Kaiserin Elisabeth (owned by the Donau-Schiffahrts-Gesellschaft mbh) recorded 8,120 (+5.0%) passengers, and the steamship Schoenbrunn carried 6,000 passengers ( 9.1%). Passenger traffic at companies which carried less than 5,000 passengers in 2014 is not reported separately here, and there are no figures available for other scheduled and nonscheduled services operated on the Austrian section of the Danube in * Due to the fact that passenger traffic on the Danube ceased to be statistically compiled in Austria in 2003 (due to a change in legislative basis), the above figures include additional estimates in passenger numbers on liner services and nonscheduled traffic, based on an assumed average capacity utilisation of 40% on passenger ships. The calculation of the total number of passengers on cabin vessels is based on the number of trips these ships made through the locks at Aschach and Freudenau, with an assumed average capacity utilisation of 75%, whereby a deduction of 30% for double counting has been estimated. ** Landing stages at Handelskai, the Danube Canal and Nussdorf, including cabin vessels and the Twin City Liners. Source: DDSG Blue Danube Schiffahrt GmbH, Donauschiffahrt Ardagger GmbH, Donauschiffahrt Wurm + Köck GmbH & Co. OHG, DSGL Donau-Schifffahrts-Gesellschaft mbh, Event Schifffahrt Haider, MAHART PassNave Shipping Ltd., Nostalgie Tours, Video & Consulting Ges. m. b. H., Schiffahrtsunternehmen Wilhelm Stift GmbH, Slovak Shipping and Ports Passenger Shipping JSC (SPaP-LOD, a. s.), viadonau, WGD Donau Oberösterreich Tourismus GmbH, Wiener Donauraum Länden und Ufer Betriebs- und Entwicklungs GmbH

28 Page 28 Transport density Transport density Page 29 figures_data_facts Density of freight traffic on the Austrian Danube 2014 transport density 350 kilometres of waterway 10 million tons of goods >> Downstream 4,843 4,878 6,815 6,615 6,601 6,655 6,617 7,156 6,788 A total of 10.1 million tons of goods were transported along the kilometre long Austrian section of the international Danube waterway in Total transport volumes by segment ranged from more than 4.8 million tons (Upper Austrian segment from the German-Austrian border to Aschach) to around 7.2 million tons (between Korneuburg and Vienna). In 2014, almost 2.1 million tons of ore were imported from Eastern Europe to the industrial port of the steel company voestalpine. This was mostly from Romania (Port of Constanta), Slovakia (Port of Bratislava) and the Ukraine (Port of Izmail). The transhipment location Korneuburg was in second place with an import volume from the East of more than 0.5 million tons. The Port of Linz (voestalpine) also had the highest import volume of goods from Western Europe, with around 0.5 million tons, followed by the port of Enns with just over 0.4 million tons. Around 27,000 tons of goods per day transported on the Danube Greatest volume of import and export goods handled at the voestalpine port in Linz << Upstream The industrial port of voestalpine was also the leader in exports with almost 0.6 million tons of goods, closely followed by the oil port Lobau and the oil port of Linz AG, each with around 0.5 million tons. DE/AT Aschach Linz Enns Pöchlarn Krems Pischelsdorf Korneuburg Vienna AT/SK Transit Import Export Domestic Section Length Import Import Export Export Domestic Domestic Transit Transit Total Total In sum in 1,000 tons in km upstr. d str. upstr. d str. upstr. d str. upstr. d str. upstr. d str. Border DE/AT Aschach ,335 1, , ,077 1,766 4,843 Aschach Linz ,291 1, , ,156 1,722 4,878 Linz Enns , , ,217 1,598 6,815 Enns Pöchlarn , , ,321 1,294 6,615 Pöchlarn Krems , , ,336 1,265 6,601 Krems Pischelsdorf , , ,451 1,204 6,655 Pischelsdorf Korneuburg , , ,617 1,000 6,617 Korneuburg Vienna , , ,152 1,004 7,156 Vienna Border AT/SK , , ,525 1,263 6,788 Source: Statistics Austria, adapted by viadonau Due to the fact that it is the largest waterside transhipment location on the Austrian Danube, the industrial port of the voestalpine steelworks in Linz stands out amongst all other ports and transhipment sites with regard to the quantity of goods transported. In 2014, the freight density being shipped upstream to the German-Austrian border was again significantly lower compared to goods shipped downstream as far as the Austrian-Slovakian border. A comparison of traffic flow by direction shows again a ratio of 4 to 1 (upstream/ downstream) for transit volumes in With around 2.3 million tons transported, transit traffic accounted for the second largest volume of goods shipped and was second only to the import traffic. The daily volume of goods transported on the Austrian Danube was an average of 26,506 tons (excluding dredged gravel and cargoes transported within the ports). This is equivalent to 1,060 fully loaded lorries (25 net tons per vehicle) or 663 railway wagons (40 net tons per wagon) per day. Over the total length of the Austrian section of the Danube, an average of 17,718 tons of goods per kilometre was transported in On the section between Korneuburg and Vienna, the busiest section of the Danube in Austria, an average of 19,605 tons of goods per day was transported.

29 Page 30 Locked-through vessel units Locked-through vessel units Page 31 locked-through vessel units 101,000 units locked through Substantial plus for passenger shipping figures_data_facts Vessel units* in freight and passenger transport locked through Austrian Danube locks in 2014 Increase of 19.8% in locked through passenger vessels in comparison to 2013 Decrease of 1.1% in freight traffic A total of 101,165 passenger and cargo vessel units, travelling both upstream and downstream, were locked through the nine Austrian lock facilities in 2014 (excluding the Jochenstein power station on the Austrian-German border). Included in this number were 43,543 motor cargo vessels and motor tankers (+0.2% compared to 2013), 18,906 pushers ( 4.1%) and 38,716 passenger vessels (+19.8%). 47,989 cargo and tank lighters or barges (+5.3%) were also locked through as part of coupled and pushed convoys. When taking all types of vessels and convoys into consideration, the total number of locked-through vessel units in freight and passenger transport showed a plus of 6.0% over ,000 10,000 8,000 6,000 Freight traffic Total Freight transport on the Austrian Danube saw a slight decrease in locked-through vessel units ( 1.1% or 692 fewer units locked through than in 2013). By contrast, passenger vessels saw a sharp increase in locked-through traffic (+19.8% or 6,387 more locked-through vessel units than in 2013). In 2014 freight transport had a share of 61.7% of total shipping volumes ( 4.4% compared to 2013) with passenger traffic accounting for the remaining 38.3% (+4.4%). Over the whole of 2014, the average volume of vessels passing through an individual Austrian Danube lock facilitiy amounted to 11,241 convoys and individual vessels (a plus of 633 vessel units compared to 2013). This is equivalent to 937 (+53) vessel movements per month and an average of 31 locked-through vessels per lock per day. As in previous years, the highest vessel volume was once more recorded at the Freudenau lock in Vienna with 14,195 vessels and convoys passing through the lock (+5.4% over 2013), followed by the Greifenstein lock with 11,506 units. Although, the Aschach lock recorded the smallest amount of locked-through vessels (9,822 units) it saw a significant increase in traffic volume compared to 2013 (+9.3%). In addition to commercial freight and passenger vessel units, 8,177 small sports and leisure boats also passed through lock facilities on the Austrian Danube in 2014, together with a further 1,794 vessels which included public authority and rescue crafts. These figures are not included in the current statistics for locked-through freight and passenger vessel units. 4,000 2,000 0 Jan Passenger traffic Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Freight traffic % to previous year Passenger traffic % to previous year Total % to previous year , , , , , , , , , , , , , , , * Vessel units in freight transport include convoys (pushers, motor cargo vessels or motor tankers with cargo and tank lighters or barges) and individual vessels (motor cargo vessels and motor tankers or individual pushers and tugs). Passenger vessels include day-trip vessels and cabin vessels. Source: viadonau

30 Page 38 Modal split Modal split Page 39 modal split Dominance of road transport unbroken Danube s share around 12% figures_data_facts Cross-border freight traffic in the Austrian Danube corridor 2014 Road transport increased its share of the market by 4.2% Growth for rail The Danube achieves a modal split share of around 30% for imports from Eastern Europe and around 17% for upstream transit Transport volumes along the Austrian Danube corridor have increased rapidly since the mid-1990s. In 2014 they summed up to nearly 79.3 million tons, an amount which corresponds to a growth of nearly 124% over the last 20 years ( ). (Data on road transport for 2014 is based on estimates by the Austrian Institute for Spatial Planning, as official data is still pending.) Compared to 2013, transport volumes in the corridor increased by 3.4% or 2.6 million tons. The chart shows the cross-border transport volume (net tons) for the three transport modes of rail, road and waterway in the Austrian Danube corridor according to transport type. A look at the figures for all transport modes reveals that the quantity of goods transported to and from the west is significantly higher than the volume of goods crossing the eastern border of Austria: In 2014, approximately 58.8 million tons of goods, including transit transport, passed through the western border of the Austrian Danube corridor (+5.1% compared to 2013), while approximately 41.7 million tons (+2.7%) crossed the eastern border. With about 58.0 million tons transported, the level of originating and terminating traffic (western and eastern borders taken together) was significantly higher in 2014 than transit transport with 21.3 million tons. However, transit transport in particular has increased significantly over the last 20 years; today, its volume is 2.6 times higher than in 1995, with transit road transport having increased by a factor of 5.7. Following a significant growth in 2013 (+5.6%), 2014 saw cross-border freight traffic fall by 6.9% to 9.3 million tons. Only westbound traffic saw an increase in volumes shipped (+11.9% compared to 2013). All other transport types suffered a slowdown in After a slight decrease in 2013 ( 3.7%), the volume of goods transported by rail increased by 6.2%. Road traffic once again increased its market share by 4.2%. In 2014, the modal split along the Austrian Danube was as follows: 58% road, 30% rail and 12% Danube. The largest percentage of traffic volume on the Danube in 2014 was 30% imports on the eastern border and 17% in upstream transit traffic. In 1,000 tons UPSTREAM Export 13, DOWNSTREAM Import 23, Road: 58% Rail: 30% Danube: 12% 65 Western border Total 79, % compared to UPSTREAM Transit 11,295 DOWNSTREAM Transit , Danube corridor Eastern border 18 Western border Danube: Passau Road: Suben, Neuhaus, Simbach Rail: Passau 30 DOWNSTREAM Export 8, Eastern border Danube: Hainburg Road: Berg, Kittsee, Nickelsdorf, Klingenbach, Deutschkreutz Rail: Marchegg, Kittsee, Hegyeshalom, Sopron, Deutschkreutz UPSTREAM Import 12, Source: Austrian Institute for Spatial Planning (ÖIR), adapted by viadonau

31 Page 40 Freight transport on the entire Danube Freight transport on the entire Danube Page 41 figures_data_facts Freight transport on the entire Danube 2013 freight transport on the entire danube Nearly 38 million tons Moderate plus of 1.7% DE 7.05 AT Sava SK 8.15 HU 8.51 Drava Tisza Prut MD 0.21 UA 3.07 The most current available figures regarding the volume of freight transport on inland waterways in the Danube region are from the year In total, 37.7 million tons of goods were carried on the Danube waterway and its tributaries that year. This represents a plus of 1.7% or around 0.6 million tons more than in The figures for inland waterway transport on the Danube (including tributaries) are laid out in the following paragraphs and the chart opposite. River-sea transport will be dealt with further below. In 2013, the largest transport volume was again achieved by Romania, amounting to over 16.9 million tons, followed by Serbia with nearly 12.4 million tons and Austria with around 11.2 million tons. While countries in the upper and middle regions of the Danube recorded a slight increase in the amount of goods shipped on the waterway compared to 2012 (Germany: +7.0%, Austria: +0.7%, Slovakia: +1.6%, Hungary: +3.6%, Croatia: +2.5%, Serbia: +2.1%), transport volumes in the lower Danube regions suffered a dramatic average decrease in traffic volumes of 10% (Romania: 4.0%, Bulgaria: 15.5%, Ukraine: 16.1%). Total transport volume on the Danube in 2013 at about the previous year s level Romania is the most significant exporter (+22.7% on 2012) and importer ( 3.9%) on the waterway 4.5 million tons of maritime traffic on the Danube (+29.5% on 2012) Export Import Transit Domestic Adriatic Sea BA 0.06 HR 5.94 RS Danube RO BG 5.48 Black Sea The largest exporter on the Danube in 2013 was Romania with almost 3.5 million tons (+22.7% compared to 2012), followed by Hungary with around 3.4 million tons ( 15.0%) and the Ukraine with just under 3.0 million tons of goods ( 14.9%). Romania, with more than 5.5 million tons ( 3.8% compared to 2012), was also the largest importer. The second strongest importing country on the Danube in 2013 was once again Austria with nearly 5.5 million tons ( 1.1%), Germany imported a little less than 2.3 million tons (+11.2%). In millions of tons DE AT SK HU HR BA RS BG RO MD UA Export Import Transit Domestic Total A total of nearly 13.9 million tons were transported on the Romanian Danube- Black Sea Canal (including its side channel). This figure includes river-sea shipping amounting to approximately 0.3 million tons. This represents a slight increase of 0.1% over In 2013, maritime transport on the Danube, i.e. transport by river-sea vessels or by sea-going vessels, accounted for a total of around 4.5 million tons a significant increase of 29.5% or 1.0 million tons compared to This represents a remarkable turnaround from the previous year and more than compensates for the 24.5% downturn suffered in The majority of this traffic, amounting to nearly 3.2 million tons of goods, was shipped via the Romanian Sulina Canal (+33.5% compared to 2012), while about 1.0 million tons were transported via the Ukrainian Bystroe or Kilia arm (+52.6%). Source: Eurostat, national transport statistics, viadonau, adapted by viadonau

32 The market for Danube navigation Transhipment of concrete sections in Bad Deutsch-Altenburg Source: via donau Success stories in Austria Wind power plants on board of vessels environmental friendly transport for clean energy A special project launched at the transhipment site of Bad Deutsch-Altenburg in the year 2011 now ensures the supply of parts and components to a neighbouring wind park. The companies Mierka Donauhafen Krems and Prangl organize the transhipment of turbine components on the transhipment site belonging to via donau east of Vienna. Concrete sections of the towers for the wind turbines are unloaded along a 100-metre transhipment point. One to two inland vessels arrive every week. Ideally, each vessel can transport a complete 135-metre high tower comprising of around 50 concrete sections with a total weight of 1,600 tons. Transhipment is effected by a mobile 400-ton caterpillar crane. The parts each weigh between 20 and 52 tons and are either loaded directly onto special trucks or held temporarily in special storage areas. Delivery by ship and unloading is generally carried out step-by-step taking around two days to completely discharge each vessel. Utilisation of the transhipment site in Bad Deutsch-Altenburg means that the parts can be transported almost to their final destination by means of environmentally-friendly inland vessels. In doing so, the use of road to transport the parts to the wind farm around 100 special transportoperations per wind turbine has been reduced to a minimum. 165

33 Location of LINZER AGRO TRADE GmbH Source: LINZER AGRO TRADE GmbH LINZER AGRO TRADE utilises the advantages of Danube navigation LINZER AGRO TRADE GmbH is one of Europe s leading wholesalers for fertilizers. Around 1.2 million tons of fertilizers a year are produced at its headquarters in Linz. The main focus of the company s business is the Danube region. Inland waterway transport is the best option for transporting the granulated fertilizers economically as bulk cargo. Its distribution network is also governed by this principle with almost all storage locations to be found along the Danube. Around 700,000 tons of fertilizers a year are currently transported on the Danube waterway: about half of this is shipped via the Main-Danube Canal to Germany and France and the other half goes to the Central and South-Eastern European market. The demand for fertilizers fluctuates greatly according to the season and is at its highest between the months of February and May. Transport must be carried out in advance and storage locations filled in order to cover demand. Growth potential for the fertilizer industry is to be found primarily in the South-Eastern European states with their extensive areas of agricultural land. The demand for fertilizers is expected to rise hand-in-hand with the increasing of efficiency in the agricultural sector. This in turn will result in the need for new storage facilities along the Danube. 166

34 The market for Danube navigation Conveyor in Pischelsdorf Source: via donau From ship to power plant on the conveyor A conveyor was put into operation in 2010 that connects the transhipment site in Pischelsdorf to the Dürnrohr power plant. The companies Donau Chemie AG (as the operator of the transhipment site), EVN AG and VERBUND-ATP formed a cooperation to finance the sustainable project. The new conveyor ensures the environmentally-friendly supply of coal to the power plant. The coal is first unloaded from the inland vessel at the site with a crane, then dumped into a loading hopper which in turn discharges it to a feeding conveyer. Separated from metal and impurities, the coal is loaded onto the conveyer where it sets off on its 3.2-kilometre route to the power plant. Around 2 million tons of coal per year can now be transported with a maximum conveyor capacity of 660 m 3 an hour. In order to minimise dust and prevent the loss of material the conveyer is designed in such a way that it is transformed into a tube at its feeding point and does not open up again until shortly before the open storage site at the power plant. It is planned that around half of the coal required by the Dürnrohr power plant will be delivered in the long term by inland vessels. This means that the end haulage from the transhipment site to the coal storage location directly at the power plant is virtually CO 2 and NO x neutral. Regular transport operations have been carried out from the transhipment site to the power plant since April Donau Chemie, as the operator of the port, has expanded the unloading capacity of the transhipment site and also procured Austria s largest mobile excavator to handle the transhipment of the coal. EVN and ATP were responsible for the installation of the pipe conveyor from the transhipment site to their location. 167

35 Automotive logistics with inland vessels New vehicles/cars have been transported regularly on the Danube since As one of Europe s largest providers of automotive logistics, BLG LOGISTICS utilises the advantages of Danube navigation for its multimodal transport. New Mitsubishi, Ford und Renault vehicles are transported from Kelheim to Budapest on two motor cargo vessels. On the way back, Suzuki cars are transported from Budapest to Kelheim. The Suzuki vehicles constitute the framework of Danube transport, as the downstream trips avoid empty runs which in turn increases the cost efficiency of waterway transport. There is a regular timetable with two departures a week. Runs may be added or cancelled at short notice in order to respond quickly and flexibly to sector-specific fluctuations in demand. Intermediate stops at other ports are arranged on request. The motor cargo vessels used have three decks and can load 200 to 260 cars depending on the type of vehicle. The vehicles are loaded on and unloaded from the vessel via a bow ramp lowered onto the Ro-Ro ramp of the port. BLG LOGISTICS uses Danube navigation due to the low transport costs, the environmental-friendliness of this mode of transport ( green logistics ) and the high quality of the transport. Around 250,000 new vehicles had already been transported on the Danube by the beginning of The motor cargo vessel Kelheim in Ro-Ro operation Source: via donau 168

36 The market for Danube navigation Logistical utilisation of RIS by Industrie-Logistik-Linz The company Industrie-Logistik-Linz (ILL) has taken on a pioneering role in the utilisation of River Information Services (RIS) for the planning and handling of inland waterway transport. River Information Services were conceived with the aid of European funding, and in close cooperation with via donau, with the aim of networking all companies in the logistics chain of transport electronically (e.g. shipping companies, port/terminal operators) thus making data exchange simpler. With the aid of the so-called TES service (Transport Execution Status), ILL can access the current transport status of the inland waterway transport of an order. This also includes cargo-related information (type and quantity), the estimated arrival time at the port of destination as well as position and vessel data. In addition, ILL uses the DoRIS value-added services which it links with its in-house system i-logistics. In doing so, the latest water levels and operating status of locks for the Austrian stretch of the Danube provided by via donau can be displayed both in table form and graphically on a chart. Combined with the position and cargo data, this allows ILL to optimise and enhance the management of the transhipment including all the resources and infrastructure this requires. It also enables the calculation of the stock levels for a specific period of time. The i-logistics system of Industrie-Logistik-Linz Source: Industrie-Logistik-Linz 169