Finnish dairy and forestry industries face rising transport costs due to deteriorating rural roads

A new study warns that export-driven businesses in Finland could see transport costs rise by over €1 billion in the next decade if road maintenance funding remains at current levels, Yle Keski-Suomi reports.

The report aligns with estimates from the Finnish Transport Infrastructure Agency, which puts the current backlog for road and infrastructure repairs at €4.3 billion. Lower-class roads—including regional and gravel routes—are already in poor condition, with insufficient funds for upgrades. By 2035, the length of substandard roads is projected to double from 12,000 km today to 30,000 km.

For dairy transporter Petri Hiltunen, who has driven milk collection routes in Central Finland and South Savo for 12 years, crumbling roads are a daily challenge. “I’ve often thought about just not going—but the milk has to be picked up, or the farmers won’t get paid,” he says. Winter conditions, particularly January thaws, create the worst hazards, with sudden ice and slush making routes impassable. Some colleagues have already been forced to abandon collections mid-route, leaving farms without critical pickups.

The forestry sector faces similar strains. Ville Hulkkonen, logistics director at Metsäteollisuus ry, notes that degraded rural roads increase fuel consumption, accelerate vehicle wear, and inflate costs—undermining Finland’s competitiveness. “Every pothole on a Finnish backroad extends the logistical disadvantage for our exporters,” he states. A fully loaded timber truck can impose as much stress on road surfaces as 5,000 passenger cars, the industry’s analysis shows. Hulkkonen urges policymakers to weigh roadwear by vehicle weight, not just traffic volume, and to prioritise routes vital to regional economies.

Valio’s logistics chief Petteri Laine echoes the concerns, citing cracked asphalt as a persistent obstacle. He supports recent proposals to strip deteriorating asphalt from low-traffic roads, arguing that “a well-maintained gravel road is better than broken pavement.” Tight schedules add pressure: automated milking systems require precise collections, sometimes twice daily, and delays can halt entire operations.

Without intervention, the study warns, Finland’s export sectors will bear the brunt of rising inefficiencies—compounding the country’s existing geographic disadvantages in global markets.

Tags: infrastructure, transport, finland