Rail Cargo Hungaria extends its locomotive fleet and continues the digitalisation of its processes

Rail Cargo Hungaria enhances the quality of its rail logistics services with major investments and the digitalisation of its freight transport activity. The management of the market leading company informed senior representatives of its partners about these topics and the market trends influencing the conditions of the sector in 2020

Norbert Körös, Member of the Board of Rail Cargo Hungaria, CEO analysed the international economical processes highlighting the recession of the steel, machine and automotive industry as this has a high impact on the transport demands of the supplier industry. The negative market trends are reflected in the transport performance of the company: in 2017 RCH carried almost 33,2 million tons of goods, last year 32 million tons, and this year probably 31 million tons can be expected.

In order to stabilize the future operation of RCH, the company continues the optimization of its internal processes. Norbert Körös emphasized the importance of the strategic agreement between the Rail Cargo Group and the Ministry for Innovation and Technology with regards to the state support of single wagon transport, the development of combined transport and the modernization of the handling centre in Záhony.

Digitalisation continues

Román Kotiers, CFO informed the partners about the continuation of the digitalisation programme of the company in order the enhance effectivity. In its scope two applications will be developed which will put several manual tasks on a digital platform. These will support, simplify and optimize the wagon inspection, the train planning and controlling activities.

New locomotives

Román Kotiers explained that the company wants to further expand its own traction capacity. This year counts as a milestone in the company’s operation as the share of freight transport with own traction capacity was over 50% in the first 8 months of 2019. Due to the reduction of the capacity of the extern service providers this number will grow further in the future. Therefore, in the first half of 2019 the company will extend its assets with 5 electric locomotives, and 3 diesel shunters.

He also highlighted that Rail Cargo Hungaria is the first company in Europe who acquires eco-friendly e-hybrid locomotives which are optimized for freight transport. The subsidiary of the world’s biggest rolling stock manufacturer, the Chinese CRRC company develops these locomotives according to the specification of Rail Cargo Hungaria and manufactures them within 36 months. This technology will enable the forwarding of RCH-locomotives even on routes where no electricity is available.

With regards to the operation of the extended fleet, in 2020 thanks to the ongoing and new locomotive driver trainings 60 more locomotive drivers will be employed.

Freight charges for 2020

Rail Cargo Hungaria will raise its tariff rates for the next year with 8%. The company will individually analyse the parameters of the transports and based on that will discuss the new conditions – according to the actual market situation – with its partners.