vlad.tribnet.com / Issue #613 / Business / Reading article...

The ferryboat Dong Chun which has been traveling from the South Korean port of Sokcho to the Russian Far Eastern port of Zarubino and then to Vladivostok will no longer stop at Zarubino starting this April due to economic hurdles.

The ferryboat Dong Chun was launched in 2000 to link South Korea with Russia and South Korea with China – the passengers and cargoes from port of Zarubino went to the Chinese town of Hunchun. In 2003 the ferryboat route was extended to Vladivostok.

The disagreements between the Korean owner of the boat ‘Dong Chun Ferry’ and the Russian company Berkut controlling the route in Russia started over the transit costs of Chinese passengers and cargoes via Zarubino to Hunchun. Berkut demanded a considerable increase in the commission paid by the Korean side for transportation of Chinese travelers and cargoes via the Russian port.



The Korean company was not able to increase the prices for customers due to economic concerns. “The demands of the Berkut Company are influenced by the overall situation in Russia, with the inflation and increase of expenses,” said a representative of ‘Dong Chun Ferry’ in Vladivostok Lee Yujik. “Nobody wants to work in losses. We cannot increase the cost of transportation commission because it is not commercially beneficial for us. We also cannot increase prices for tickets because in this case we will lose the market to airlines,” he said.

The price of ticket for the Korean ferry from Vladivostok to Sokcho varies from $386 to $700. Korean Airlines sells roundtrip tickets for about $800. Vladivostok Avia airline offers roundtrip tickets to Seoul ranging from $700 to $900.

The decision to end the ferry boat stops at the Zarubino port hurts the interests of China which has lost its connection with the sea via the Russian port. Currently the Chinese side is actively trying to resolve the conflict to resume transit of its passengers and cargoes, Lee Yujik said.