Within the framework of the Eastern Economic Forum, FESCO Transportation Group and a Chinese trading company Flow Supply Chain Management Co. Ltd. signed an agreement of intent aimed at developing containerized grain export from Russia to China via Vladivostok. The document was signed by the President of FESCO Alexander Isurin and the CEO of Flow Supply Chain Management Co. Ltd. Wang Ming.
The parties agreed to explore the possibility of creating a joint-venture in Vladivostok with the purpose of grain accumulating and repacking into containers for subsequent shipment to the port of Ningbo (China).
In 2019, the parties intend to work out the technologies for transportation from Russia to Ningbo, which will base on FESCO's expertise in intermodal and international transportation and the competence of Flow Supply Chain Management in international trade and operation in the free economic zone of the Port of Ningbo. FESCO and Flow are planning to transport 100 thousand tons of wheat in 2019. Pursuant to the agreements, the parties will consider the possibility of mutual settlements in national currencies.