'CEE infrastructure to feel the gap with Western Europe'

Central Eastern European (CEE) countries are spending billions of euros per year in new infrastructure in an attempt to close the gap with Western Europe. According to a new research report released this week by global operator of distribution facilities ProLogis, the five main CEE countries: the Czech Republic, Hungary, Poland, Romania and Slovakia, are strongly investing in new railways, seaports, airports and most significantly, road infrastructure to handle the growing volumes of truck freight.

The report, entitled 'Central and Eastern Europe's Logistics Infrastructure: Connecting the Dots', examines the transformation taking place in CEE today after the region woefully underinvested in its transportation infrastructure during its 40-plus years under communist rule. The report also identifies four new distribution corridors that are emerging within the CEE region as its transport infrastructure continues to mature.

'The CEE countries' expanding economies, increasing prosperity and further integration into the European Union (EU) have helped drive major improvements in their logistics infrastructure in recent years,' said Leonard Sahling, first vice president of research for Prologis. 'The majority of roads serving the capital cities in the CEE region are rapidly approaching Western European standards, but those serving secondary cities within these countries are still inadequate, resulting in significant traffic congestion,' he said.

'Combined with the current pace of progress, we estimate it will take at least another 10 years before the CEE countries are able to complete their plans for a modern transportation infrastructure,' he added.