Business news from Ukraine


KYIV. Dec 22 (Interfax-Ukraine) – Cheese Club (Kaniv, Cherkasy region) will increase cheese sales by 19% in 2015, CEO Maksym Rylik said at a press conference in Kyiv on Tuesday.

“We’re reaching growth of near 19%,” he said.

According to the company’s presentation, total cheese production in 2015 will be 7,920 tonnes and sales reached 7,690 tonnes.

“In 2014, we exported 177 tonnes of cheese and this year we’re reaching the indicator of 500 tonnes, and in 2016 we want to sell 1,200 tonnes as we opened the Kazakh market,” Rylik said.

He said that in 2015, the company exported its products to Kazakhstan, Israel, Azerbaijan and the United States.

In 2015, the company’s share of the hard cheese market is estimated at 6%. The production facilities were loaded by 60-70% in 2015.

Cheese Club is among the top five leaders of the Ukrainian hard cheese market.


KYIV. Dec 22 (Interfax-Ukraine) – Dnistrovska hydroelectric pumped storage power plant (Novodnistrovsk, Chernivtsi region) on December 21, 2015 launched the third unit, the last unit of the first construction phase that consists of three units with a capacity of 324 MW each in generating mode and 421 MW in pumping mode, the Energy and Coal Industry Ministry of Ukraine reported on its website.

“Unit three of Dnistrovska hydroelectric pumped storage power plant was launched in synchronous capacitor mode,” the ministry said.

Dnistrovska hydroelectric pumped storage power plant is being built in Chernivtsi region on the Dniester River. The design capacity of the first phase (three hydraulic units) in generating mode is 972 MW, and in pump mode – 1,263 MW.

The first and second hydroelectric units of Dnistrovska hydroelectric pumped storage power plant have been put in operation.

The ministry said that the operation of one unit allows saving 69 million cubic meters of gas and 367,900 tonnes of coal every year.


KREMENCHUK. Dec 22 (Interfax-Ukraine) – The interdepartmental commission has permitted PJSC Kriukov Car Building Works (KCBW, Poltava region) to start the mass production of hopper wagons for grain transportation in the amount of 2,000 units, the press service of the plant has said.

According to its data, the decision was made at a commission meeting on December 15.

“The car has successfully passed comprehensive tests conducted by experts of the Ukrainian Research Institute of Wagon Building. On the results of the tests, the interdepartmental commission decided to allow PJSC KCBW to produce 19-7053 model hopper cars based on 18-7033 bogies in the amount of 2,000 units and increase the output of 18-7033 bogies to 6,000 units,” reads a statement.

Earlier the interdepartmental commission permitted the plant to manufacture upgraded bogies in the amount of 2,000 units.

Kriukov plant, which is the CIS’s sole manufacturer of both passenger carriages and freight wagons, manufactures freight wagons (open wagons, tankers, hopper wagons, and high-sided wagons), as well as passenger carriages, bogies for freight wagons, wheel pairs, and spare parts for subway carriages, escalators, containers, and road equipment.

Its products are exported to over 20 countries.


KYIV. Dec 23 (Interfax-Ukraine) – PJSC Centravis Production Ukraine, part of Centravis Ltd. Holding, has received conditional approval from Southern Company for the supply of stainless steel tubes for manufacturing elements under pressure.

According to the company, it plans in the near future to deliver a batch of TR304N and TR347N grade steel pipes for the projects of the customer, and afterwards full endorsement will be obtained from Southern Company.

“Southern Company is one of the largest players in the conventional boiler market in North America, a kind of Exxon for this segment. Their requirements are high enough and certification is also important for other potential customers. Getting approval from this company, we’ll receive a unique chance to enter and gain a foothold in this new industry for us in North America,” Director of Centravis Sales America Waldemar Scheiermann said.

Southern Company is a U.S. power company headquartered in Atlanta, Georgia. The company is the largest ultimate consumer of boiler tubes in the south and the southeast of the United States.

Centravis Production Ukraine is the CIS’ only enterprise specializing in the production of seamless stainless steel pipes and the leading exporter in the segment. It sells 10% of the produce in the domestic market, 90% are exported. The key export destinations are the EU, Russia, and the United States.



KYIV. Dec 23 (Interfax-Ukraine) – Ukraine plans to set up a free trade area with Israel, says Ukrainian President Petro Poroshenko.

“I am interested in progress on concluding an agreement on a free trade area between Ukraine and Israel,” Poroshenko told journalists following negotiations with Israeli Prime Minister Benjamin Netanyahu in Jerusalem on Tuesday.

The Ukrainian president said trade turnover between the two countries amounts to $1 billion. “We are interested in increasing it,” he added.

Ukraine is interested in Israel’s assistance in carrying out reform and in expanding bilateral economic cooperation, he said.

“Ukraine is interested in Israel’s assistance in pursuing reforms in our country and in boosting economic cooperation between the two countries,” he said.

The conclusion of a free trade area agreement should promote broader economic cooperation, the presidential press service said. Ukraine is especially interested in expanding cooperation in the high technology sector, he added.

The two leaders discussed ways to step up bilateral trade and economic cooperation, particularly in the agrarian, transportation, construction, and other fields and investment cooperation between the two countries. Based on the outcomes of the negotiations, Ukraine and Israel signed a number of bilateral documents, in particular, those concerning cooperation in the scientific-technical, educational, cultural, and infrastructure development fields. The parties also agreed on holding another session of the Ukrainian-Israeli intergovernmental commission on economic cooperation in the first half of 2016.

The parties expressed hope for the soonest possible signature of a free trade agreement between Ukraine and Israel, which, as they expect, should significantly increase the trade-economic component of interaction between the two states.

Poroshenko invited Netanyahu to visit Ukraine in 2016 and take part in events commemorating the 75th anniversary of the tragedy in the Babyn Yar. He thanked the Israeli prime minister for the humanitarian and medical assistance that Israel renders to Ukraine.


KYIV. Dec 22 (Interfax-Ukraine) – Cement production in Ukraine in November 2015 increased by 12.5% compared to November 2014, to 650,000 tonnes, while the output growth in October 2015 from October 2014 was 0.3%.
According to the State Statistics Service, these figures are given excluding the temporarily occupied territory of Crimea and Sevastopol, and part of the ATO zone in the east of Ukraine. Data on Donetsk and Luhansk regions could be clarified.
According to the report, the production of these goods in November 2015 from October 2015 decreased by 23.5%, while the reduction in October 2015 from September 2015 was 5.5%, while the growth in September 2015 from August 2015 was 0.6%.
Cement production in January-November 2015 as a whole decreased by 3.6% compared to January-November 2014, to 8.009 million tonnes.