Western sanctions against Russia costing Ventspils Port EUR 500,000 per month

Western sanctions against Russia costing Ventspils Port EUR 500,000 per month

BC, Riga, 14.08.2014.

http://www.baltic-course.com/eng/transport/&doc=95037

Western sanctions against Russia has led to lost profit for the Port of Ventspils and the Ventspils City Council. The sanctions are costing the port itself EUR 500,000 per month in lost profits, controversial Ventspils Mayor Aivars Lembergs (For Latvia and Ventspils) said during a press conference yesterday, cites LETA.

These losses are connected to the sanctions imposed against Russian company Uralvagonzavod, which in turn owns the coal company Zarechnaya, which is the main client for two companies operating at the port – Ventspils tirdzniecibas osta and Baltic coal terminal. ''This coal is not being purchased, even though we have an agreement in place. There was even a case when ships had gone to deliver coal to France, but they were turned down,'' said Lembergs.

At the same time, Lembergs points out that the Western sanctions has also cost the Ventspils City Council approximately EUR 50,000 per month in revenue.

''Thus, we are becoming concerned about the city council budget,'' Lembergs said, adding that the city council might freeze some investment plans.

As reported, Lembergs, currently on trial for serious fraud and money laundering in Latvia, was named one of the country's three so-called oligarchs by former Latvian President Valdis Zatlers.