Business news from Ukraine

Business news from Ukraine

Ukraine exported over 15 mln tons of wheat during season

As of June 9, Ukraine had exported 38.777 million tons of grains and legumes since the beginning of the 2024-2025 marketing year (July-June), of which 475,000 tons were shipped this month, according to the press service of the Ministry of Agrarian Policy and Food, citing data from the State Customs Service. were shipped this month, according to the press service of the Ministry of Agrarian Policy and Food, citing data from the State Customs Service.

According to the report, as of June 12 last year, total shipments amounted to 48.381 million tons, including 1.449 million tons in June.

At the same time, in terms of crops, since the beginning of the current season, 15.015 million tons of wheat (152,000 tons in June), 2.305 million tons of barley (0), 10,800 tons of rye (0), corn – 20.89 million tons (320 thousand tons).

Total exports of Ukrainian flour since the beginning of the season as of June 9 are estimated at 66.1 thousand tons (in June – 1.2 thousand tons), including wheat flour – 61.7 thousand tons (1.1 thousand tons).

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PrivatBank financed purchase of cars worth UAH 2 bln

Since the beginning of 2025, the state-owned PrivatBank (Kyiv) has financed the purchase of new cars worth UAH 2 billion, and the bank’s share in the market for new car loans has reached 44%, according to a press release issued by the financial institution on Monday.

“Currently, every fifth car purchased in Ukraine is financed by a loan, and PrivatBank’s share in the new car loan market since the beginning of 2025 has reached 44%,” commented Dmytro Musienko, member of the bank’s board for retail market issues.

It is noted that most car loans at PrivatBank are taken out in Kyiv (45% of the total), followed by Dnipro (9%), Lviv (6%), and Odesa and Kharkiv (5% each).

According to the bank’s statistics, men are more likely to take out car loans, accounting for 58% of the car loan portfolio. The most active age group is Ukrainians aged 36–45, who account for 43% of customers. The share of customers aged 46 and older is 34%, and young people aged 21–35 account for 23%.

In most cases, car loans are issued for a term of 5 years, and this trend will continue in 2025.

“The trend in 2025 will continue to be an increase in demand for electric cars and hybrids, whose share of cars purchased on credit compared to 2024 will grow to 16% and 18%, respectively,” PrivatBank added.

It is noted that among the most popular brands in Ukraine, Toyota, Hyundai, Skoda, Peugeot, and Mazda cars are most often purchased on credit, as these models are subject to special financing terms.

In mid-December last year, PrivatBank reported that in 2024, it had issued more than 3,000 car loans to individuals for a total amount of over UAH 2.5 billion.

According to the National Bank of Ukraine, as of April 1, 2025, PrivatBank ranked first in terms of total assets with UAH 945.4 billion, or 25.2% among 61 banks.

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Vodafone Ukraine repurchases Eurobonds worth $1.11 mln

Ukraine’s second-largest mobile operator, Vodafone Ukraine (VFU), which on May 23 announced an offer to repurchase its Eurobonds worth $1.11 million, has received bids significantly exceeding the repurchase amount.

“The offered bonds will be accepted for purchase on a pro rata basis in accordance with a scaling factor of 0.0040355668,” the issuer said in a statement on the Irish Stock Exchange on Monday.

According to the statement, if the application of this ratio to the bond package of any holder results in an amount less than the minimum nominal value, such offered bonds will be rejected.

The settlement date for the tender offer will be approximately June 13, 2025.

The redemption of Eurobonds is related to the fact that on April 24, 2025, VFU announced the payment of dividends to its shareholder in the amount of UAH 660.245 million ($15.9 million at the exchange rate specified in the announcement) for 2024. According to the restrictions of the National Bank, they will be paid in separate monthly dividend payments. Each such monthly dividend is expected to amount to EUR1 million in hryvnia.

The company emphasized that, according to the terms of the bond issue, in this case, it must offer all bondholders to submit an application for their sale for an amount equal to the amount of dividends paid outside Ukraine.

According to the announced terms, the bonds will be redeemed at a rate of 99% of their face value.

VFU recalled that a total of $300 million in bonds maturing in February 2027 with a nominal rate of 9.625% per annum were issued, of which the company currently holds $0.5 million in bonds.

As reported, VFU increased its revenue by 13.1% to UAH 24.44 billion in 2024, while reducing its net profit by 30.1% to UAH 3.54 billion.

In January-March 2025, revenue grew by 14% compared to the same period in 2024, to UAH 6.59 billion, while net profit fell by 24% to UAH 697 million.

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China may open its market to Ukrainian flour in 2025

The State Service for Food Safety is making efforts to open the Chinese market to Ukrainian flour in 2025, according to Vadym Chaykovsky, Deputy Head of the State Service for Food Safety and Chief Phytosanitary Inspector of Ukraine.

“We plan to sign protocols with our Chinese colleagues this year to open the market for Ukrainian wheat flour,” he said at the Agro Ukraine Summit in Kyiv on Friday.

He recalled that the State Service initiated procedures to promote the supply of wheat, millet, and sorghum from Ukraine to the Chinese market and is systematically working to open this market for Ukrainian peas.

Chaikovsky added that the phytosanitary authorities of both countries are currently preparing to launch a service such as video inspection of crops from the fields of enterprises that intend to supply products to China in the 2025/2026 season.

The chief phytosanitary inspector called on export-oriented enterprises to promptly contact the regional offices of the State Service of Ukraine for Food Safety and Consumer Protection to conduct phytosanitary inspections of their fields.

Insurance Guarantees of Ukraine reduced premium income by 71%

In January-March 2025, Insurance Guarantees of Ukraine (SGU, Kyiv) collected UAH 166,000 in gross premiums, which is 71.08% less than in the same period of 2024.

This follows from information from the rating agency Expert-Rating confirming the insurer’s financial stability rating for the first quarter of 2025 at “uaAA” on the national scale.
It is noted that during this period of 2025, the company did not make any insurance payments.

SGU’s equity for the reporting period decreased by 7.44% to UAH 51.29 million, while gross liabilities increased by 48.88% to UAH 1.39 million.
The amount of cash and cash equivalents in SGU’s accounts as of March 31, 2025, amounted to UAH 43.998 million, a decrease of 7.83%, and the company’s assets exceeded the insurer’s gross liabilities by 31.61 times.

The company’s activities in the first quarter of 2025 were unprofitable: the insurer received a net loss of 801 thousand and an operating loss of 1.244 million UAH.
PJSC “SGU” was registered in November 2005. It has licenses to conduct 15 types of insurance activities, including four for compulsory insurance and 11 for voluntary insurance.

Vitagro is preparing new biomethane projects for export to EU

The Vitagro group of companies, which already has one biomethane plant with an annual capacity of 3 million cubic meters in the Khmelnytskyi region, intends to build two or three more such plants in a year and a half, each costing EUR6-6.5 million, according to the company’s director of development and investment, Serhii Savchuk.

“We plan to build two or three more plants with a capacity of 3 million cubic meters each. We estimate the cost of one plant at EUR 6-6.5 million. We will need about 1.5 years to do this,” Savchuk said in a comment to EnergoReform on the sidelines of the Solar Agro Conference organized by the Solar Energy Association of Ukraine.

He did not specify the details of biomethane exports from the first plant, noting that after a test delivery in February, “everything the plant produces is sold to a number of countries, including Germany and the UK, at market prices.”

During his speech at the conference, he suggested that the company may work with Ukrainian banks to expand its biomethane capacity.

“Today, our plant with a capacity of 3 million cubic meters of biomethane, which is produced from manure from our livestock complexes, is fully operational. We will build a pipeline, Ukrgasbank is here, you can pay attention to us,” he said to conference participant Mykola Alferov, deputy director of the SME Department at UGB.

Savchuk also noted that during the war, the group launched a bioethanol plant in the Ternopil region by reconstructing an alcohol plant it privatized at the end of 2022, which cost EUR20 million.

“We invested EUR 20 million, completely re-equipped the distillery, and now have 25,000 tons of bioethanol for export from the processing of 85,000 tons of corn,” explained the director of development and investment at Vitagro.

In a comment to Energorforma, Savchuk expressed hope that cooperation will eventually be established for the sale of bioethanol to fuel companies in Ukraine, which from May 1 must sell gasoline containing at least 5% of this substance, but do not mix the product here, instead importing it ready-made from Europe.

He also shared his experience of installing SES groups on farms for their own consumption, which he called “an absolutely effective investment.”

“Seven solar stations for our own consumption were installed in a few months, and we have developed an appetite for a second phase, so we want to launch separate complexes both on the roof and on the side. This is economics, this is ecology, this is the ESG (Environmental, Social, and Governance) trend, which is very relevant. We are a good example for the development of SES for our own consumption, and in the future there will be energy storage,” Savchuk said about Vitagro’s plans.

As reported in February 2025, Vitagro announced its intention to reach the planned annual capacity of the biomethane plant of 3 million cubic meters in 2025 and, if exports are successful, to build two more plants (in the Khmelnytskyi and Rivne regions) to increase production and exports.

At that time, it was indicated that the group of companies was considering the option of attracting foreign investors to its capital.

The company expected that the EUR6 million invested in the construction of the first biomethane plant in the Khmelnytskyi region would pay off in five years, but if the market continued to grow, it would pay off sooner. The company’s cost price for biomethane was stated at over EUR 500 per 1,000 cubic meters.

In February, the chairman of the board of the Bioenergy Association of Ukraine, Georgy Geletukha, noted that the average price of biomethane for export to Europe could be approximately EUR 900 per thousand cubic meters.

Agroholding Vitagro exported its first batch of biomethane in 67,000 cubic meters (destination country – Germany) on February 6, 2025.

The Vitagro group of companies is engaged in the production and processing of agricultural crops, in particular fruits and vegetables, dairy farming, and pig breeding. The group cultivates about 85,000 hectares of land in the Khmelnytskyi, Ternopil, and Rivne regions. In 2022, it acquired the Marylivsky Distillery (Nagirnyanka village, Ternopil region) from Ukrspirt.

According to the Unified State Register of Legal Entities and Individual Entrepreneurs, the ultimate beneficiary of the investment company Vitagro is People’s Deputy Serhiy Labazuk (parliamentary faction “For the Future”).

 

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