One of 1,000 truckloads of pipe for Naftogaz delivered in a global operation carried out by Pennsylvania-based Logistics Plus and Vorex USA. (Company photo)
The joint operation between Logis-ukraines-port-of-chornotics Plus and Vorex, LLC, an American oil and gas equipment supplier that won the contract to supply the pipe to Ukrainian state gas producer Naftogaz, entailed $100 million worth of gas pipes, delivering $100 million worth of gas pipes, weighing over 22-thousand tons, to hundreds of sites in Ukraine in a complex effort that involved filling and then offloading four break bulk ships onto 1,000 trucks to avoid anti-ship mines and missile attacks. The entire project took 14 months to order, fabricate, and prepare, then eight months to deliver.
“It’s hard to think of a more complex operation from all my years in the business,” said Fedor Zakusilo, the Ukrainian-American founder and president of Vorex USA, who started out in the oilfield supply business in 2000. “At times, the staff was pushing it dangerously hard, and we had to rein them in – people were actually unloading pipe while a factory just across the road was exploding from a Russian attack. The dedication to getting the job done was off the charts.”
“Everyone was quite on edge throughout this operation,” said Chief Operating Officer Yuiry Ostapyak, a Ukrainian-American who, at 39 years of age, has worked for 20 years for the Erie, Pennsylvania-based Logistics Plus. “This was definitely one of the biggest logistics challenges we have seen – it’s one that a lot of companies would have shied away from.”
“I think the future in logistics will go to the companies that learn to find a way to say ‘yes’ quicker, even as circumstances get more and more difficult,” Ostapyak said. “When the war broke out, many Western companies were running away. We were running toward Ukraine, to help. That attitude will become increasingly essential in the future.”
Ukraine Rebuild Newswire is the brainchild of Adam Brown, a foreign correspondent with 35 years of experience in Latin America, West Africa, Eastern Europe and Southeast Asia for The Associated Press and Bloomberg News. His work has appeared on the front page of virtually every major newspaper in the world and he has appeared on CNN, BBC, ABC, CBS and elsewhere from Afghanistan, Kosovo and many other wounded places.
About Vorex USA
Wherever there’s oil and gas, Vorex USA has the equipment and expertise you need to extract and transport it. They distribute products for more than 40 North American and European manufacturers in more than 15 countries around the world. Its goal is to provide the expertise to help you meet any technical challenge. Their products meet the industry’s highest standards and they deliver them on schedule, at the lowest cost to you. Learn more at usavorex.com.
About Logistics Plus, Inc.
Logistics Plus, Inc. (LP) is a 21st-century logistics company and a leading worldwide provider of transportation, warehousing, fulfillment, global logistics, business intelligence, technology, and supply chain solutions. LP works in the background to help businesses manage their supply chains in an ever-changing world. Founded in 1996, today LP has annual global sales of over $500M with more than 1,000 employees located in 50+ countries worldwide. LP is recognized as one of the fastest-growing privately-owned logistics companies, a top 3PL provider, a top 100 logistics company, a top freight brokerage and warehousing provider, and a great place to work. With a Passion For Excellence™, its employees put the PLUS in LOGISTICS by doing the big things properly, plus the countless little things that together ensure complete customer satisfaction and success.
Logistics Plus Manages Complex Delivery of First Non-Grain, U.S.-Managed Ship To Ukraine’s Port of Chornomorsk Since the Onset of the War
The overall project comprised 22 thousand tons of pipes and ended with over 1,000 trucks making the final, successful deliveries.
ERIE, PA (December 8, 2023) – Logistics Plus, Inc. (LP), a leading worldwide provider of transportation, logistics, and supply chain solutions, has successfully completed a challenging shipping operation in support of the reconstruction and development of Ukraine’s energy infrastructure. This accomplishment reaffirms the company’s commitment to excellence and efficiency under the most demanding circumstances.
In this operation, Logistics Plus was tasked by its client, Vorex USA, with transporting thousands of tons of essential gas pipe into Ukraine amidst the ongoing war. During the project’s execution, Ukraine’s Black Sea ports were cut off when the Russian government withdrew from the international agreement securing port access for humanitarian reasons, and soon after, the Russian military began its bombings of Ukraine’s port infrastructure and vessels anew.
Adapting, Logistics Plus relied on its problem-solving expertise by rerouting the shipment through Romania’s Constanta Port. This strategic move facilitated the safe and efficient transport and delivery of 22,000 tons (47 million pounds) of gas pipe to Ukraine via ship, then onto dozens of barges, and lastly to end destinations across Ukraine utilizing over 1,000 truck shipments. This big, complex undertaking required prompt decision-making and effective communication across various branches of the global company. Logistics Plus teams in China, Poland, Ukraine, Turkey, and the USA played a pivotal role in planning and executing the entire project, including running operations at Constanta Port and ensuring the vessels were unloaded swiftly in the face of significant complexity and security risks.
Most recently, and despite the ongoing assaults on Ukraine’s port infrastructure by Russian forces, Logistics Plus delivered the final shipment of these materials directly to Ukraine’s Black Sea Port of Chornomorsk to meet the needs of Vorex USA and the people of Ukraine. This accomplishment marked the first time a non-grain, U.S.-managed ship successfully delivered and unloaded at the port since the onset of the war, a significant precedent-setting accomplishment made possible by the increased security provided by the Ukraine government in the region and the dynamic risk management capabilities of Logistics Plus. The Logistics Plus Ukraine team worked tirelessly to secure the necessary berthing permits and operational approvals, a testament to their perseverance and dedication. Their efforts culminated in the vessel’s successful docking at the Port of Chornomorsk in late November, with the final truckloads of the 22,000 tons of pipe being delivered successfully to their end destinations this week.
“This operation stands as a testament to the ability of Logistics Plus to handle complex logistical challenges and our unique global risk management capabilities,” said Jim Berlin, Founder & CEO of Logistics Plus. “It underscores our dedication to delivering solutions in challenging environments, driven by a unified effort across our international teams in Turkey, China, Poland, the USA, and, of course, Ukraine, where LP’s team of over 70 people continues to be a key part of our global business, as well as an inspiration to us all.”
Celebrating 27 years of service, Logistics Plus continues to be a reliable partner in logistics, bridging distances and overcoming obstacles in an ever-changing world to meet the needs of its clients and support communities globally. This operation adds another proud chapter to the company’s storied history of success for its clients across the 50+ countries where it has offices and beyond.
Yuiry Ostapyak comments on WPSE Money Radio:
About Vorex USA
Wherever there’s oil and gas, Vorex USA has the equipment and expertise you need to extract and transport it. They distribute products for more than 40 North American and European manufacturers in more than 15 countries around the world. Its goal is to provide the expertise to help you meet any technical challenge. Their products meet the industry’s highest standards and they deliver them on schedule, at the lowest cost to you. Learn more at usavorex.com.
About Logistics Plus, Inc.
Logistics Plus, Inc. (LP) is a 21st-century logistics company and a leading worldwide provider of transportation, warehousing, fulfillment, global logistics, business intelligence, technology, and supply chain solutions. LP works in the background to help businesses manage their supply chains in an ever-changing world. Founded in 1996, today LP has annual global sales of over $500M with more than 1,000 employees located in 50+ countries worldwide. LP is recognized as one of the fastest-growing privately-owned logistics companies, a top 3PL provider, a top 100 logistics company, a top freight brokerage and warehousing provider, and a great place to work. With a Passion For Excellence™, its employees put the PLUS in LOGISTICS by doing the big things properly, plus the countless little things that together ensure complete customer satisfaction and success.
Ukraine is a large and growing market for importers, with a diverse economy and a population of over 40 million people. The EU has suspended import duties and quotas on Ukrainian goods, and the US is considering similar measures. This makes importing to Ukraine even more attractive market for businesses, as they can now import Ukrainian goods duty-free.
Despite the ongoing war, there are several ways for companies to get their products into Ukraine.
EU-Ukraine Solidarity Lanes: These are dedicated road and rail routes established to transport goods between Ukraine and the EU via Poland, Romania, and Slovakia. They are the primary way for companies to import goods into Ukraine. However, there may be delays and restrictions in place.
Danube River ports: Ukraine’s ports on the Danube River remain operational but are being used primarily to export goods to other European countries.
Airfreight: Airfreight or air charters are still options for getting goods into Ukraine, but it can be more expensive than other modes of transport
The following sectors are some of the most promising for importers in Ukraine:
Energy: Ukraine heavily depends on imported energy, including oil, natural gas, and coal. The country wants to diversify its energy mix and reduce its reliance on Russian energy. Importers could supply Ukraine with renewable energy technologies, energy efficiency solutions, and other energy-related products and services.
Agriculture: Ukraine is a major agricultural producer, but it also imports many agricultural products, such as seeds, fertilizers, and pesticides. Importers could supply Ukrainian farmers with high-quality farming inputs to help them improve their productivity and yields.
Infrastructure: Ukraine is rebuilding its infrastructure after the war, and there is a strong demand for construction materials and equipment. Importers could supply Ukraine with everything from cement and steel to road construction equipment and machinery.
Healthcare: Ukraine needs medical equipment, pharmaceuticals, and other healthcare-related products and services. Importers could supply Ukrainian hospitals and clinics with the latest medical technologies and treatments.
Education: Ukraine is investing in its education system, and there is a demand for educational resources and technologies. Importers could supply Ukrainian schools and universities with textbooks, software, and other educational materials.
In addition to these sectors, importers have opportunities in other areas, such as consumer goods, food and beverage, and IT services.
Companies should consult with an experienced and reputable freight forwarder or customs broker (Logistics Plus is both) to determine the best way to get their products in and out of Ukraine. Here are some additional tips for companies importing goods into Ukraine:
Be prepared for delays. The war has caused significant disruption to Ukraine’s transportation and logistics infrastructure.
Be flexible with your shipping routes and schedules. You may need to use alternative routes or modes of transport than you would typically use.
Work with a reputable freight forwarder or customs broker (like Logistics Plus). They can help you navigate the complex and changing regulatory environment in Ukraine.
Have all of your documentation in order. This includes customs declarations, invoices, and other necessary paperwork.
Despite the challenges, it is still possible to do business inside Ukraine. By following these tips, companies can support the Ukrainian economy and expand their global sales.
This critical discussion convened government and private sector representatives to explore how international coordination, especially between the U.S., Poland, and Ukraine, can most effectively provide outcomes to Ukraine, with a focus on the important role the international construction sector will need to play in rebuilding the country.
Logistics Plus was represented at the event by Emily Grein, Director, Airfreight & Ukraine Development and Reconstruction; Maria Grechanik, General Counsel; Christian Marz, Midwest Manager; and Derek Berlin, SVP, Global Government Solutions.
Logistics Plus, Inc. is a global leader in transportation, warehousing, fulfillment, logistics, business intelligence, technology, and supply chain solutions, with annual global sales of over $500M and over 1,200 employees in 50+ countries worldwide. Logistics Plus has been present in Ukraine since 2017. Today, the company has over 75 employees in Ukraine across three offices, providing solutions to Ukrainian and global clients, including in the rail, energy, oil and gas, and technology sectors, providing project and insurance solutions, and supporting critical government entities and projects.
Logistics Plus is widely recognized as one of the staunchest supporters of rebuilding efforts in Ukraine among the global logistics community. We will continue to grow our capabilities and solutions as one of the leading U.S. and international logistics and business solutions companies operating in Ukraine today.
Yuriy Ostapyak, Global COO for Logistics Plus, was honored to speak to the attendees during the final “Rebuilding Turkey and Developments in Ukraine” panel discussion. Maria Czerwinski, Pasha Nayda, Gib Loesel, and Scott Frederick from LP also attended in support of the forum.
Wherever there’s oil and gas, Vorex USA has the equipment and expertise you need to extract and transport it. They distribute products for more than 40 North American and European manufacturers in more than 15 countries around the world. Its goal is to provide the expertise to help you meet any technical challenge. Their products meet the industry’s highest standards and they deliver them on schedule, at the lowest cost to you. Learn more at usavorex.com.
In this operation, Logistics Plus was tasked by its client, 
Ukraine is a large and growing market for importers, with a diverse economy and a population of over 40 million people. The EU has suspended import duties and quotas on Ukrainian goods, and the US is considering similar measures. This makes importing to Ukraine even more attractive market for businesses, as they can now import Ukrainian goods duty-free.
Logistics Plus was a proud sponsor of the