Exports of organic products from Ukraine to the countries of the European Union and Switzerland in January-June 2022 increased by 19.4% compared to the first half of 2021 – up to 160,020 tonnes from 128,840 tonnes, this happened despite problems with logistics and the blockade of Ukrainian seaports due to full-scale Russian aggression.
According to the website of the information portal OrganicInfo, by the end of 2022, Ukraine is expected to reduce land under organic products due to the temporary occupation of its southern regions. At the same time, in the Ukrainian territories liberated from Russian occupation in early April, the work of organic producers has been almost completely resumed this season.
It is specified that in general, in 2021, Ukraine exported about 260,000 tonnes of organic products for a total amount of about $220 million to more than 30 countries of the world, of which 82% of the revenue came from the EU countries.
“In 2021, Ukraine slightly reduced the volume of supplies of organic products to the EU, but still remains in the TOP 5 largest suppliers of organic products in the EU. In 2021 the total share of Ukrainian imports amounted to 6.6% (of all imports to the EU),” OrganicInfo said.
OrganicInfo is an information portal created by the international charitable environmental organization Green Dossier, which aims to promote organic production, organic food and sustainable lifestyles.
Horizon Capital, a U.S. private equity firm investing in high-growth export-oriented companies in Ukraine and the region, has announced the formation of a new Horizon Capital Growth Fund IV, L.P. (HCGF IV), which attracted $125 million in the first stage.
“With the launch of HCGF IV, Horizon Capital achieved an all-time high first stage result, raising 50% of its $250 million goal,” the company said in a statement Monday.
According to him, at the first stage, the Fund was supported by the European Bank for Reconstruction and Development (EBRD), the International Finance Corporation (IFC), a subsidiary of KfW Group – Deutsche Investitions-und Entwicklungsgesellschaft (DEG), the Dutch Development Bank (FMO), the Swiss Investment Fund for Developing markets (SIFEM), the Western NIS Enterprise Fund, and the Zero Gap Fund (formed in collaboration between The Rockefeller Foundation and the John D. and Catherine T MacArthur Foundation).
The fund will support visionary entrepreneurs leading high-growth technology and export-oriented companies.
The official signing ceremony took place on Monday at the London office of IFC. It was attended by leading representatives of investing institutions, as well as the founder and CEO of Horizon Capital Olena Koszarna and senior partner Vasily Tofan. Ukrainian President Volodymyr Zelensky also joined the fund’s investors for the official signing ceremony with Ukraine via video link.
“We are honored to make history by launching the first fund for Ukraine and Moldova since February 24, and the first fund to support these countries since they received their well-deserved and hard-won EU candidate status in June of this year,” – quoted in a press release by Kosharna.
Earlier, the EBRD and IFC announced that they had approved an investment in HCGF IV of $50 million and $30 million, respectively.
In addition, the Western NIS Enterprise Fund (WNISEF) allocated $10 million as part of the first phase of the fund’s formation.
IFC specified that the fund would invest $10-30 million to acquire minority stakes in 10-15 mid-cap companies worth $50-150 million.
HCGF IV is the successor to the Emerging Europe Growth Fund III (EEGF III, 2017) and will follow a similar investment strategy focused on IT services and products, as well as e-commerce, innovative consumer products and fintech, according to corporate filings.
IFC recalls that it invested in EEGF III and EEGF II (2008), while the EBRD was an investor in EEGF III and EEGF II, as well as HCGF II.
Horizon Capital is a large investment company that manages five private equity funds (more than 40 institutional investors) with assets of $1.1 billion, including WNISEF (with a capital of $150 million), Emerging Europe Growth Fund (EEGF, $132 million), EEGF II ( $370 million) and EEGF III ($200 million) and HCGF II ($258.3 million). The resources of these funds are invested in projects in Ukraine and Moldova.
From the beginning of the 2022/2023 marketing year (MY, began on July 1-2022) and until September 26, Ukraine exported 7.51 million tons of grain crops, of which 4.23 million tons of corn (56% of total supplies), 2.61 million tons of wheat (35%) and 635 thousand tons of barley (8%).
As reported on the website of the Ministry of Agrarian Policy and Food on Monday, the rate of grain exports since the beginning of the current MY is 1.75 times lower than the same period of the last MY (13.13 million tons were exported from July 1 to September 26, 2021).
It is specified that in general, since the beginning of September, 3.21 million grains and leguminous crops have been exported, including 1.35 million tons of wheat, 1.54 million tons of corn, 305 thousand tons of barley, 9.9 thousand tons of flour and 2 .1 thousand tons of rye.
At the same time, according to the ministry, for the period of September 21-26, 0.63 million tons of grain crops were supplied to foreign markets (an average of 126 thousand tons daily), while for the previous reporting periods of September 9-21 – an average of 132.5 thousand tons daily, August 31-September 9 – 147.8 thousand tons daily, August 26-31 – 110 thousand tons / day, and August 19-26 – 61.4 thousand tons / day. Thus, the average daily export rate for the last 5 days decreased by 5% compared to the previous period of September 9-21.
In terms of crops for the period September 21-26, 313 thousand tons of wheat, 280 thousand tons of corn, 37 thousand tons of barley, 1.5 thousand tons of flour and 0.2 thousand tons of rye were sent abroad.
According to the agency, in general, from the beginning of 2022/2023 MY and until September 26, 2022, Ukraine exported 2.61 million tons of wheat (3.04 times less compared to the same date in 2021/2022 MY), 635 thousand tons of barley ( 5.64 times less), 2.6 thousand tons of rye (11 times less) and 22 thousand tons of flour (35.5% less). At the same time, the pace of corn exports exceeded last year’s volumes – 4.23 million tons were exported, which is 3.03 times higher than in 2021/2022 MY.
As reported, in the 2021/2022 marketing year, Ukraine exported 48.51 million tons of grains and legumes, which is 8.4% higher than the previous marketing year, despite the full-scale invasion of the Russian Federation and difficulties with the export of agricultural products due to the blockade of Ukrainian seaports. 18.74 million tons of wheat were delivered to foreign markets (12.6% more than in 2020/2021MY), 23.54 million tons of corn (+1.9%), 5.75 million tons of barley (+35.9%) , 70.9 thousand tons of flour (-44.1%).
In 2020/2021 MY, the country exported 44.72 million tons of grain and leguminous crops: 16.64 million tons of wheat, 23.08 million tons of corn, 4.23 million tons of barley, 126.9 thousand tons of flour and 18.4 thousand . tons of rye.
In 2019/2020 MY, Ukraine exported 56.72 million tons of grain and leguminous crops.
By his decree, President of Ukraine Volodymyr Zelensky has appointed Oleksiy Makeev as Ukraine’s Ambassador to Germany.
The relevant document No. 662/2022 was published on the website of the head of state on Friday.
“To appoint Aleksey Sergeevich Makeev as Ambassador Extraordinary and Plenipotentiary of Ukraine to the Federal Republic of Germany,” the decree says.
Oleksiy Makeev is a special representative of the Ministry of Foreign Affairs of Ukraine on sanctions policy.
Makeyev’s predecessor as Ukraine’s ambassador to Germany, Andriy Melnyk, was fired by President Zelensky on July 11. He has held this post since 2014.
The next four ships with 88.17 thousand tons of agricultural products left the ports of Odessa and Pivdenny on Friday for the countries of Asia and Europe, the Ministry of Infrastructure of Ukraine reports.
“MAINLAND, NEW FAITH, USICHEM departed from the berths of the port of Odessa. From the port of Pivdenny – KARTERIA,” the agency noted on Facebook.
In general, since the launch of the first vessel with Ukrainian food, taking into account today’s vessels, 4.9 million tons of agricultural products have been exported. In total, 222 ships with agricultural products departed from Ukrainian ports, sent to the countries of Asia, Europe and Africa.
As reported, on July 22 in Istanbul, with the participation of the UN, Ukraine, Turkey and Russia, two documents were signed on the creation of a corridor for the export of grain from three Ukrainian ports – Chornomorsk, Odessa and Pivdenny.
Stock indices of Western European countries do not show a single dynamics during trading on Monday.
The composite index of the largest companies in the region Stoxx Europe 600 by 11:27 Moscow time fell by 0.11% and amounted to 389.98 points.
The British stock index FTSE 100 rose by 0.06%, while the German DAX by 0.26%, the French CAC 40 – by 0.33%. The Italian FTSE MIB was up 1.26%, while the Spanish IBEX 35 was down 0.35%.
Concerns about the state of the global economy are intensifying against the backdrop of persistently high inflation and aggressive measures by the largest central banks to contain it, writes CNBC.
The focus is on the elections in Italy.
The Democratic Party of Italy admitted defeat in early parliamentary elections held on Sunday, media reported.
After the announcement of the official results of processing 10% of the ballots in the elections, a coalition of four right-wing parties is in the lead with 44% of the vote. The best results for the party “Brothers of Italy”. This means that its leader, George Meloni, in the event that the center-right comes to power, may become the new Italian prime minister.
Democratic Vice Chair Deborah Serracchiani conceded defeat and said the Democrats were moving into opposition.
The pressure on the market is also exerted by the ongoing geopolitical tensions in connection with the ongoing referendums in a number of regions of Ukraine on joining Russia.
Meanwhile, the level of business confidence in the German economy in September fell to 84.3 points from 88.6 points in August, according to a report by the IFO research organization. The indicator is at a minimum since May 2020 and turned out to be worse than analysts’ forecast at the level of 87 points, writes Trading Economics.
Shares of the British financial company Virgin Money UK PLC are among the leaders of the fall among the components of the Stoxx Europe 600 index, losing 6.7%.
Meanwhile, the papers of the German Uniper SE, which add 23.2%, turned out to be the growth leaders.
Shares of the Swiss HVAC maker rose 8.4% as Berenberg experts improved the company’s stock recommendation and raised its price target.
