Business news from Ukraine

AGRICULTURE MINISTRY PREPARING PILOT PROJECT TO SELL 10,000 HA OF FARMLAND IN 2016

KYIV. March 11 (Interfax-Ukraine) – Ukraine’s Ministry of Agricultural Policy and Food is preparing a pilot project to sell 10,000 hectares of agricultural land in 2016.

“We have already launched a pilot project to sell 10,000 hectares of agricultural land,” minister Oleksiy Pavlenko said at the 12th annual investment conference of Dragon Capital in Kyiv.

He noted that to realize the project it is necessary to complete the formation of the cadaster and adopt necessary laws.

As reported, Ukrainian Prime Minister Arseniy Yatseniuk considers it necessary in the framework of the land reform to sell at public auctions one million hectares of land being in state ownership. At the same time, the prime minister did not specify whether he was referring to agricultural land, on the sale of which Ukraine each year extends a moratorium.

The moratorium on the sale or alienation of agricultural land in Ukraine in December 2015 was extended until January 1, 2017.

AGRICULTURE MINISTRY EXPECTS THAT GRAIN EXPORTS TO HIT RECORD OF 37 MLN TONNES IN 2015/16 AGRI-YEAR

KYIV. March 11 (Interfax-Ukraine) – The Agricultural Policy and Food Ministry of Ukraine expects that grain exports in the 2015/16 agricultural year (July-June) will expand to 37 million tonnes.

“This year we want to hit a record of 37 million tonnes,” Minister Oleksiy Pavlenko said at the 12th Annual Investor Conference organized by Dragon Capital in Kyiv on Thursday.

He said that a year ago grain exports hit a record of 35 million tonnes.

TURKEY INTERESTED IN PRIVATIZATION OF UKRAINIAN MINES – ENERGY MINISTRY

KYIV. March 11 (Interfax-Ukraine) – Turkey is interested in the privatization of Ukrainian mines.

This was reported by the press service of the Ministry of Energy and Coal Industry of Ukraine after a meeting of Ukrainian Energy Minister Volodymyr Demchyshyn with Turkish Minister of Energy and Natural Resources Berat Albayrak on March 9.

According to the press service, the sides also discussed possible cooperation in the issue of delivery of Caspian and Iranian gas to Ukraine, building gas storage facilities in Turkey.

In addition, the Ukrainian and Turkish delegations discussed the prospects of uranium ore mining and uranium concentrate production.

INVESTMENT OF ZORYA-MASHPROEKT IN RENEWAL OF FACILITIES IN 2016 TO REACH OVER UAH 160 MLN

KYIV. March 11 (Interfax-Ukraine) – Zorya-Mashproekt (Mykolaiv) plans to invest over UAH 160 million in renewal of its production facilities in 2016, the press service of the enterprise has reported.

“The planned investment for renewal of production facilities of Zorya-Mashproekt in 2016 is estimated at UAH 163 million: the company is trying to maintain the level that meets the modern requirements to high-tech production. The company prefers model samples of equipment used in global gas turbine production when it selects suppliers,” the press service said.

The press service said that one of the areas for refit in 2016 will be geared production: Italian PAMA equipment has been installed early this year and it allows cutting time on production of geared. During the year the tool fleet of the geared division will be modernized with the new profile grinding machine made by Germany’s Gleason-PFAUTER and a system for final processing of bevel gears made in the U.S.

“Geared production at Zorya-Mashproekt is one of the best in Europe,” the press service said.

Zorya-Mashproekt is a world famous designer and manufacturer of gas turbine equipment, and a monopolist in the CIS market on the development and production of gas turbines for warships.

UKROBORONPROM POSTS UAH 1.63 BLN NET PROFIT IN 2015 – PRESS SERVICE

KYIV. March 10 (Interfax-Ukraine) – The total net profit of the enterprises being part of Ukroboronprom state concern in 2015 amounted to UAH 1.626 billion, whereas in 2014 their total net loss was UAH 348 million, the press service of the state concern said.

According to information on the website of the state concern, sales of products by Ukroboronprom enterprises in 2015 are estimated at UAH 20 billion, of which about UAH 7 billion under contracts with the Ministry of Defense.

According to the data voiced by the press service in December 2015, in January-September 2015 Ukroboronprom companies posted a gross profit of UAH 1.6 billion, while in the same period last year the companies saw a gross loss of UAH 345 million.

The net income of Ukroboronprom enterprises for the first nine months this year increased compared to the same period last year by 37%, to UAH 14.4 billion.

Created by the presidential decree in December 2010, Ukroboronprom, according to the law adopted by the parliament in June 2011, together with the government ensures the management of state property objects in the defense industry.

ARGENTINE PRODUCTS INTERESTED IN EXPORTS OF UKRAINIAN SUNFLOWER OIL

KYIV. March 10 (Interfax-Ukraine) – The Ministry of Economic Development and Trade has informed that Argentine Products company (Argentina) is interested in exports of Ukrainian unrefined sunflower oil.

According to a report on the ministry’s website, goods will be mainly supplied to the Middle East.

The contact data of the company are also posted on the website of the Economic Development and Trade Ministry.

As reported, Ukraine is the largest producer and exporter of sunflower oil in the world. The main consumer countries are India, China, the EU and the Middle East.

The Ukroliyaprom association expects that sunflower oil production in Ukraine in the 2015/2016 marketing year will stand at 4.2 million tonnes, exports will increase by 2.6%, to 3.9 million tonnes compared to the previous marketing season.