Russian shipping company Atomflot, part of the nuclear giant Rosatom, will organize at least two flights of its ship “Sevmorput” this year to test the economic and technical feasibility of fish transportation via the Northern Sea Passage. If successful, the project will significantly reduce the cost of fish logistics in Russia.
The Northern Sea Passage (NSP) is a 20,000 kilometer sea-way going through the Russian Arctic. It’s the shortest and fastest way to transport goods from the Russian Far East, where nearly 80 percent of the nation’s catch is harvested, to the European part of the country, where most of its population lives. The “Sevmorput” has been operating in the Arctic since 1988. It can carry 1,328 20-foot containers (TEUs), including up to 450 reefers. The vessel can also break through ice of up to one meter thick.
The idea to use the biggest non-military nuclear-driven ship in the world for fish logistics was approved at a session of the Marine Collegium of the Russian Federation. Rosatom’s calculations show that the price of transportation can be much lower than by rail, which is still the most popular means of transporting fish from the Russian Far East, Kommersant business daily reported.
In 2018, some companies tested the route, though not on a regular basis. and without an aim to turn it into an alternative to rail. The Russian Federal Agency reported NSP’s logistics cost were 11 rubles (USD 0.17, EUR 0.15) per kilogram, while rail’s is 15.5 rubles (USD 0.24, EUR 0.21). Delivery time can also be considerably reduced.
Railway companies have been steadily losing their share in the fish transportation market, the Russian Railway’s reports show. In 2018, only 582,000 MT of fish were delivered from the Russian Far East by rail, down 3 percent year-on-year, despite the record-breaking salmon season which brought 667,000 MT.
Now the Russian Federal Agency for Fisheries waits for information about fares of Atomflot and volumes fisheries are ready to transport.
Few details are known about possible routes and dates. It’s planned that “Sevmorput” will arrive at the port of Petropavlovsk-Kamchatski, the capital of the Kamchatka region, where most of Russian fish is caught, on 1 August 2019 after renovation. It’s suggested that the ship will be loaded with fish and other goods and go via the NSP till ports of Arkhangelsk or Ust-Luga near St. Petersburg. According to preliminary information, two trips will be made this year. The Russian Federal Agency for Fisheries will reportedly announce the details of the project in late April or May.
Industry experts say that it will be more economically profitable if fish on board will be joined by other, more expensive, goods to make the logistics less costly for fisheries.
It’s difficult to say if the ship will impact the fish transportation market significantly. According to the Russian Federal Agency for Fisheries’ calculations, during five months the ship could deliver up to 70,000 MT, Kommersant daily reported, which is a fraction of in the volumes transported by rail, let alone the total allowable catch for salmon set for 2019 at 461,000 MT (up 30 percent compared to 2017). Though, test runs by “Sevmorput” can help demonstrate that the idea of fish transportation via the Russian Arctic could economically feasible.
