Business news from Ukraine

Business news from Ukraine

Kyiv Pulp and Paper Mill increased production by 9%

In January-August 2023, the volume of commercial output of Kyiv Cardboard and Paper Mill (Kyiv Pulp and Paper Mill, Obukhiv, Kyiv region), Ukraine’s industry leader in this indicator, amounted to UAH 4 billion 941.4 million, up 9% compared to the same period in 2022.

According to statistics provided by UkrPapir Association to Interfax-Ukraine, the plant’s production of corrugated boxes increased by 25.2% in volume terms, to 148.7 million square meters. Cardboard output increased by 10.4% to 111 thousand tons, driven by a 16.6% increase in containerboard production to 91 thousand tons, while boxboard production decreased by 11.2% to 20 thousand tons.

At the same time, according to UkrPapir, the output of the base paper for sanitary and hygiene products remains negative: in January-August, it decreased by almost 27% to 29 thousand tons, while the production of toilet paper in rolls decreased by 25.6% to 194.95 million units.

Despite the decline in toilet paper production, the plant maintains a strong leadership in its production in Ukraine. In total, in the first eight months of 2023, the country’s major enterprises produced 393.84 million rolls (down 2%).

According to the industry association’s data from the main industry enterprises, in January-August this year, Ukraine recorded a 10.2% increase in paper and cardboard production (up to 361.56 thousand tons) and an 18.3% increase in cardboard boxes (335.19 million square meters).

Kyiv Pulp and Paper Mill is one of Europe’s largest cardboard and paper products producers, employing over 2,500 people.

As reported, in 2022, the mill produced UAH 7 billion 432 million worth of products, which is 3.5% less than in 2021.

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Ukraine ranks 20th in World Steel Association’s global ranking in August

In August this year, Ukrainian steelmakers increased steel production by 64.5% year-on-year to 602 thousand tons from 366 thousand tons.

At the same time, Ukraine took 20th place in the ranking of 63 countries that are major global producers of this product, compiled by the World Steel Association (Worldsteel).

According to Worldsteel, in August 2023, half of the top ten countries, except for Japan, South Korea, Germany, Turkey and Vietnam, recorded an increase in steel production compared to August 2022.

The top ten steel producing countries in August are as follows: China (86.41 million tons, up 3.2% by August 2022), India (11.904 million tons, up 17.4%), Japan (7.146 million tons, down 2.9%), the United States (6.980 million tons, up 1.1%), and the Russian Federation (6.4 million tons, up 8.9%), South Korea (5.583 million tons, down 5.9%), Germany (2.844 million tons, down 1%), Turkey (2.756 million tons, down 2.9%), Brazil (2.719 million tons, down 5.9%) and Vietnam (1.6 million tons, down 0.1%).

Overall, in August this year, steel production increased by 2.2% year-on-year to 152.619 million tons.

For the first eight months of 2023, the top ten steel-producing countries are as follows: China (712.930 million tons, up 2.6%), India (92.209 million tons, up 10.5%), Japan (58.366 million tons, down 3.8%), the United States (53.830 million tons, down 1.9%), and the Russian Federation (50.796 million tons, up 3.9%), South Korea (44.969 million tons, down 2.3%), Germany (24.328 million tons, down 4.2%), Turkey (21.599 million tons, down 12.1%), Brazil (21.335 million tons, down 8.3%), and Iran (19.672 million tons, down 1.1%).

In total, 63 countries produced 1 billion 256.378 million tons of steel in January-August, up 0.2% compared to the same period in 2022.

At the same time, Ukraine produced 4.032 million tons of steel in the first eight months of 2023, which is 22.3% lower than in January-August 2022. The country ranks 23rd in the first eight months of 2023.

As reported, in 2022, the top ten steel-producing countries were as follows: China (1.013 billion tons, down 2.1%), India (124.720 million tons, up 5.5%), Japan (89.235 million tons, -7.4%), the United States (80.715 million tons, -5.9%), and the Russian Federation (71.5 million tons, -7.2%), South Korea (65.865 million tons, -6.5%), Germany (36.849 million tons, -8.4%), Turkey (35.134 million tons, -12.9%), Brazil (33.972 million tons, -5.8%) and Iran (30.593 million tons, +8%).

In 2022, Ukraine ranked 23rd with the production of 6.263 million tons of steel (minus 70.7%).

In total, 64 countries produced 1 billion 831.467 million tons of steel in 2022, which is 4.3% less than in 2021.

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KZHRK reduced sinter ore production by 28%

In January-August this year, Kryvyi Rih Iron Ore Plant (KZHRK) reduced production of commercial iron ore from underground mining by 28.2% year-on-year to 1,655 thousand tons.

According to the company, in August, Pokrovska mine produced 70 thousand tons of ore, Kryvorizka mine – 60 thousand tons, Kozatska mine – 50 thousand tons and Ternivska mine – 45 thousand tons, while the total production of the plant in August amounted to 225 thousand tons.

As reported, in 2022, KZHRK reduced production of commercial iron ore from underground mining by 32.8% year-on-year to 2.888 million tons.

KZHRK specializes in underground iron ore mining. The company has four mines: “Pokrovska (formerly Oktyabrskaya), Kryvorizka (Rodina), Kozatska (formerly Gvardeyskaya) and Ternovska (formerly Ordzhonikidze and then Lenin).

Starmill Limited owns 99.88% of the plant’s shares.

Earlier it was reported that SCM Group owns a certain share in KZHRK, while Metinvest Group has no relation to KZHRK. At the same time, SCM Group is only an investor, while Privat Group exercises operational control over the plant.

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Papierfabrik Kokhavyno steigert Produktion um 27%

Von Januar bis August 2023 hat die Papierfabrik Kokhavyno (KBF, Region Lviv), die Hygienepapierprodukte herstellt, ihre Produktion im Vergleich zum Vorjahr um 27,1 % auf 764,37 Mio. UAH gesteigert, wie aus den Statistiken der UkrPapir Association hervorgeht.

Laut den Daten, die Interfax-Ukraine zur Verfügung gestellt wurden, stieg die Produktion von Rohpapier für Sanitärprodukte um 2,3% auf 27,97 Tausend Tonnen. Im August stieg die Produktion um 2,7 % im Vergleich zum Juli 2023 und bis August 2022 auf 3,6 Tausend Tonnen.

Die Produktion von Toilettenpapier in Rollen stieg in diesem Zeitraum um 3,7 % auf 90,38 Millionen Stück. KBF behält den zweiten Platz in Bezug auf die Produktion nach der Kyiv Pulp and Paper Mill (164,95 Millionen Einheiten), knapp vor VGP JSC (Ruta TM).

Die Zellstoff- und Papierfabrik Kokhavynsk ist seit 1939 in Betrieb und stellt Rohpapier für Sanitär- und Hygieneprodukte sowie Toilettenpapier und Papierhandtücher her.

Kürzlich gab die Fabrik auf Facebook bekannt, dass sie neue Marken von Hygieneartikeln aus 100 % Zellstoff auf den Markt gebracht hat.

Zuvor wurde berichtet, dass KBF im Jahr 2021 ein EBRD-Darlehen in Höhe von 13,8 Mio. EUR für die Errichtung einer Anlage zur Herstellung von Papier auf Zellstoffbasis erhielt.

Mit dem Beginn der russischen Aggression in der Ukraine hat die Fabrik ihre Produktion praktisch nicht eingestellt.

Wie berichtet, produzierte KBF im Jahr 2023 Produkte im Wert von 975,3 Mio. UAH, 44,8 % mehr als im Vorjahr. Der Nettogewinn ging um 12,7 % auf 52,4 Mio. UAH zurück, während der Umsatz um 46,5 % auf 978,9 Mio. UAH stieg.

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External financing of state budget as of June 14, 2023, USD bln

External financing of state budget as of June 14, 2023, USD bln

Source: Open4Business.com.ua and experts.news

Canada to provide Ukraine with CAD 650 mln for armored vehicles and special medical evacuation vehicles

Canada will provide Ukraine with 650 million Canadian dollars as part of a long-term assistance program for armored vehicles and special medical evacuation vehicles, Prime Minister Justin Trudeau said.

“I have made it clear that our government will help you as long as you need it… We will provide long-term assistance to Ukraine. We are talking about $650 million over three years. This is for armored vehicles and also for special sanitary evacuation vehicles that will be built in the province of Ontario,” he said in a speech to the Canadian Parliament on Friday.

Also, according to him, Canada will continue to provide economic assistance to Ukraine over the next year “to make Ukraine a powerful, dynamic and prosperous country.”

In addition, the prime minister said, Canada will send instructors for F-16s so that Ukraine can make the most of these aircraft. “But our greatest belief is that you will not need this military and financial assistance for a very long time and that peace will return to your country very soon,” he said.

At the same time, he emphasized that “there can be no wrong peace based on compromises with the aggressor.”

“In order to have a lasting peace, we must stand up to Putin. A lasting peace must clearly establish that borders must be respected, regardless of the size of the neighboring army. This peace must restore the right of Ukrainians to determine their future,” Trudeau said.

“What Putin has done is a break with civilization. It is a violation of our common humanity. It is an attempt to destroy the rule-based order that protects our freedom. It is a step toward weakening democracy and establishing autocracy. Putin rules through deception, violence and repression,” the Prime Minister said.

The Prime Minister of Canada also noted that Canada adheres to the principles of the Ukrainian Formula for Peace. “We believe that the world must respect the UN Charter, be based on international law and preserve the territorial integrity of Ukraine,” he concluded.

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