Demetra-Holding and Novostal-M signed a Memorandum of intent for cooperation in freight rail transportation for entities of Novostal-M metallurgical holding during TransRussia 2024 exhibition.
The document was signed by Alexey Gribanov, the General Director of Demetra-Holding LLC, and Ivan Demchenko, the Chairman of the Management Board of Novostal-M LLC.
The scope of the Memorandum includes establishing partnership and developing effective and mutually beneficial cooperation in freight rail transportation.
In particular, the Parties agreed to sign legally binding documents providing for a long-term service agreement to be made between Demetra-Holding represented by its subsidiary Cargo Company and Novostal-M represented by its subsidiary NM Logistic.
Alexey Gribanov, the General Director of Demetra-Holding LLC:
“The metallurgical industry along with the agricultural sector is one of the few areas of the Russian economy that experiences active development and growth in recent years with emerging new sales markets and logistics destinations. As the leader of special-purpose segments of the rail market, we have all the opportunities to maintain extensive export potential and high competitiveness of Novostal-M products in the global markets. I have confidence in our effective cooperation.”
Ivan Demchenko, the Chairman of the Management Board of Novostal-M LLC:
“Our company’s plants produce about 3 million tons of products annually. We are the key exporter of structural steel and the third largest player in the global rolled steel market. We need a strategic partner who has, first of all, a sufficient fleet of modern railcars, and, secondly, extensive rail transportation experience. While working in close cooperation, we’ll be able to improve logistics and promptly deliver products to ports for exports.”
