Poland: Road transport companies increase their debt by 36%

23.05.2017

Poland: Road transport companies increase their debt by 36%
Rzeczpospolita, 23 May 2017, online:-
Recent report prepared by the National Registry of the Economic Information Bureau (KRD) shows that Polish road transport companies increased their debt by over PLN 150mn to PLN 664mn (EUR 158.80mn USD 177.55mn) which translates to a 36% increase when compared to February 2016. Also, the number of new debtors from the road transport sector rose by 4,000 and currently stands at 20,928. The highest debt belongs to a company which over a period of less than 12 months increased its debt from PLN 8mn to over PLN 44mn. According to KRD, the main problem which the Polish road transport sector has to deal with is its dispersed structure and the fact that there are many small companies unable to generate profits because of price competition resulting in low margins. Also, road transport companies have been affected by the Russian embargo introduced in 2014 and their situation might worsen further because of the so-called Road Alliance signed by nine European countries including France, Germany and Italy among others.
©M-Brain
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