Insurance Group “TAS” (Kyiv) has paid out UAH 812,9 mln of insurance compensations in January-November 2022, which is 11,9% less than in the same period of 2021.
According to the insurer’s web-site, in particular, UAH 223.75 mln, or 27.53% of the total amount, has been paid out under motor hull insurance contracts.
MTPL insurance contracts (39.75%) accounted for 323.12 mln UAH, and “Green Card” contracts – 15.58% or 126.66 mln UAH in total volume of insurer’s payments.
At the same time under the contracts of voluntary health insurance TAS IG has paid UAH 105,89 mln, which is 13,03% of the total amount of reimbursements paid by the company for 11 months.
The insurance group has paid UAH 7,67 mln. according to the property insurance contracts.
Its payments on other insurance contracts in January-November 2022 amounted to UAH 25,76 mln, which is 14,7% more than in the same period of 2021.
Ukrainian fertilizer market in 2022 will sag by about 40-55% – from 4.75 million tons to 2-2.9 million tons: it hit its bottom in early summer and began a rapid recovery, Oleg Arestarhov, director for corporate communications at Group DF, wrote in a column for Interfax-Ukraine.
According to him, in 2022 the revenue of farmers and solvent demand for fertilizers has decreased significantly. The main reasons were the increase of selling prices for fertilizers due to high gas prices, the reduction of cultivated areas by 14-16% because of the war and land mines, the direct losses associated with the destruction of warehouses, the withdrawal of the occupants of grain and stealing their agricultural equipment, as well as export restrictions on sales.
According to the representative of Group DF – the largest producer of nitrogen fertilizers in Ukraine, the consumption market of ammonium nitrate, although the decline from 1.8 million tons to 600 thousand – 1 million tons, this fertilizer is still the biggest demand in the country.
Arestarhov noted that a very large decrease in consumption – almost twice – is expected for complex fertilizers because of the significant shortage of phosphorus and potassium. This is associated with the blocking of fertilizer supplies from Belarus and the closure of maritime shipping.
The specialist estimates a drop in consumption of ammonium sulphate to 210-250 thousand tons from 490 thousand tons last year, UAN (carbamide ammonium nitrate) – to 400-600 thousand tons from 1.3 million tons, carbamide – to 330-410 thousand tons from 1.12 million, NPK, DAP – to 620-660 thousand tons.
He specified that an important new global trend, affecting the structure of fertilizer consumption in the world market – is a significant drop in urea prices in the second half of the year, which reduces the attractiveness of ammonium nitrate, which has a lower concentration of nitrogen. According to Mr. Arestarhov, according to some reports, the port of Constanta (Romania) currently has accumulated about 120 thousand tons of urea from all over the world, effectively making it a new European hub, where traders buy urea at the most reasonable price, without reference to a specific producer. However, Ukraine has not been affected by this trend so far: having obvious logistical advantages and rather acceptable domestic prices for gas, Ukrainian producers have preserved urea production and offer it to Ukrainian consumers at a competitive price.
As to forecasts Arestarhov paid attention to the change in the structure of consumption of mineral fertilizers by farmers: in 2023, oilseeds and soybeans may gradually replace cereals, which showed not the best profitability, while the determining factor for the structure of crops are the prices for grain and oil on world markets.
A Group DF representative pointed out that two plants of the Ostchem holding, Cherkasy Azot and Rivneazot, continued operating under war conditions, while Odessa Port Plant and Dniprozot have temporarily pulled out. Production was concentrated on the production of ammonium nitrate, UAN, IAS (lime ammonium nitrate) and compound fertilizers.
According to Mr. Arestarhov, UAN produced at Rivneazot was the most successful export product: 170.6 thousand tons of UAN were exported during 11 months, and the main buyers were European agrarians/traders from Romania, Hungary, Slovakia, Poland and Moldova.
Urea was exported 64.8 thousand tons, UAN – 29.6 thousand tons, ammonium nitrate and ammonia – only 11 thousand and 2.3 thousand tons, respectively. According to the expert, the reasons for the sharp decrease in exports are the priority to supply Ukrainian farmers and the logistical and administrative constraints on exports. Ukrainian fertilizer producers got a logistical advantage over fertilizer importers, as they are physically closer to customers, he added.
“2023 was, to put it mildly, very disappointing for importers: half a year there was almost no import of fertilizers to Ukraine, and now the number of imported fertilizer corridors across the entire spectrum of products has decreased significantly and has not recovered Among the imported fertilizers, which are still gradually imported – ammonium nitrate, UAN, urea. But the war will continue to block most imports,” stated Arestarhov.
Among other features 2022 on the Ukrainian fertilizer market, he called the active introduction of grain exchange schemes due to the lack of farmers working capital needed for the sowing season 2023.
According to the representative of Group DF, there is a significant pent-up demand for fertilizers on the market and great potential for growth in January-February 2023, which can be additionally assisted by the state’s help in concessional lending.
“In fact, the fall campaign-2022 was held on old stocks that remained in storage since the spring. The market heated up only in late fall – early winter – the active buying of fertilizers and the formation of the necessary reserves for the spring of 2023 began,” he wrote. The expert added that demand was fueled by price cuts by domestic producers, primarily for ammonium nitrate and UAN, in anticipation of a significant increase in sales.
Centravis Production Ukraine PJSC (Centravis Production Ukraine), which is a part of Centravis Ltd. holding, is working at full capacity due to electricity supply for production needs.
According to Artem Atanasov, chief sales officer (CSO), in a letter to customers last Friday, Centravis production is operating efficiently after the overhaul of the press line.
“This (last – IF-U) week we got our production up and running at full capacity. Our key equipment is fully energized, the hot shop and the cold shop are running. All equipment is working and production is supplied with all the necessary materials,” stated the Director of Sales.
He also said that the logistics team constantly monitors the safest ways of delivering finished goods. The company has sales offices around the world in Essen, Milan, Krakow, Lugano, Houston and Dubai.
“We are ending this year with good results. “Centravis produced more than 10,000 tons of seamless pipe in 11 months. We paid more than 230 million UAH in taxes for 10 months of 2022. During this year we participated in three international exhibitions and we are proud that we are among the world leaders (in production of stainless tubes – IF-U). We achieved this thanks to the support of our customers, our team and partners,” Atanasov emphasized.
“Centravis is among the ten largest manufacturers of seamless stainless steel pipes in the world. The company’s production is concentrated in Nikopol, which since July of this year has been under almost daily fire from Russian troops.
In 2021 the company has realized a number of large-scale orders for such world companies as Benteler Automotive, LINSTER Edelstahlhandel, Rohr Mertel, Buhlmann Group, Webco, MRC. “Centravis works with such famous automobile brands as BMW, Volkswagen, General Motors. Supplies pipes for nuclear power plants, fresh water storage facilities, the International Thermonuclear Experimental Reactor (ITER) and other landmark projects.
“Centravis is one of the world’s largest manufacturers of seamless stainless steel pipes, founded in 2000. Its production facilities are located in Nikopol (Dnepropetrovsk region).
Centravis Ltd Holding was created on the base of Nikopol Stainless Tube Works CJSC, service and trading companies of Uvis Industrial and Commercial Enterprise Ltd. Its shareholders are members of the Atanasov family.
Centravis Ltd. owns 100% of shares of Centravis Production Ukraine PJSC.
Asia-Pacific stock indices rebounded positively on Monday after the U.S. stock market rallied at the end of last week.
Australian and Hong Kong stock exchanges as well as U.S. and most European countries are closed because of the Christmas holiday.
The Bank of Japan is not going to abandon its ultra-soft monetary policy any time soon, Central Bank Governor Haruhiko Kuroda said.
Last week, the Japanese central bank unexpectedly widened the range within which the yield on ten-year government bonds can fluctuate to plus/minus 0.5% per annum from plus/minus 0.25% previously. Investors took that as a signal that the Bank of Japan was preparing to abandon the ultra-soft monetary policy that it had been pursuing for years.
But Kuroda on Monday rebutted that view, saying that the corridor widening was aimed at boosting the effect of monetary policy and was not the first step in abandoning a major stimulus program. He also noted that the country’s consumer inflation rate could slow below the Bank of Japan’s 2% target in the next fiscal year, which begins in March 2023.
The value of Japan’s Nikkei 225 index rose by 0.65% in trading.
Shares of electronic components maker Sharp Corp. (+3.6%) and commodity companies including JGC Holdings Corp. (+3.5%), Inpex Corp. (+2.5%) and Nippon Steel Corp. (+2.3%) were among the leaders.
In addition, chip maker Advantest Corp. (+1.2%), clothing retailer Fast Retailing (+2%), consumer electronics maker Sony Group (+0.3%), automakers Nissan Motor (+1.9%) and Toyota Motor (+0.3%) went up.
Mitsubishi Electric Corp. and Mitsubishi Heavy Industries Ltd. announced Monday that they intend to merge their generator businesses to become more competitive in the market. The companies plan to sign a definitive agreement at the end of May 2023 and complete the merger of the units by April 1, 2024. Mitsubishi Electric is expected to become the majority shareholder of the new merged company, while Mitsubishi Heavy Industries will become a minority shareholder.
Mitsubishi Electric’s share price rose 1.3 percent and Mitsubishi Heavy Industries rose 2.7 percent.
China’s Shanghai Composite index gained 0.65% over the day.
Technology and consumer companies, including Huizhou China Eagle, up 1.5%; Shenzhen Infinova, Zhejiang Netsun and Xi’an Catering, up about 10%; and automaker BYD, up 4.1%.
The People’s Bank of China on Monday provided banks with 216 billion yuan ($30.9 billion) in reverse repurchase transactions to ensure sufficient liquidity in the financial system at the end of the year. Last week the net inflow of funds into the country’s financial system amounted to 704 billion yuan, the highest weekly infusion since October.
The value of the South Korean Kospi index increased by 0.15%.
Stocks of one of the world’s largest chip and electronics maker Samsung Electronics Co. fell 0.3% and automaker Hyundai Motor rose 0.6%.
A strong rise in quotations showed securities of pharmaceutical companies Kyongbo Pharmaceutical and Samil Pharmaceutical – by 16.3% and 4.5%, respectively.
Agro-industrial group of companies Ovostar Union, one of the leading egg and egg products producers in Ukraine, will pay EUR3.6 mln of interim dividends for 2022 based on EUR0.65/share, the company announced on the Warsaw Stock Exchange.
It is specified that the date for determining the right for the interim dividend will be January 13, 2023, and its payment will take place no later than January 27, 2023.
Ovostar Union Group is a vertically integrated public holding company, one of the leading producers of chicken eggs and egg products in Europe. The producer has been a certified exporter to the EU since 2015.
The group’s holding company, Ovostar Union N.V., held a 25% IPO on the Warsaw Stock Exchange in mid-June 2011 and raised $33.2 million. The majority stake in the company is owned by Prime One Capital Limited, which is controlled by its CEO Boris Belikov and Chairman of the Board Vitaliy Veresenko.
“Ovostar reported $1.65 million in net income for 2021, down 38 percent from 2020. Its EBITDA was down 29% to $5.7 million, while revenue increased 35% to $133.3 million.
Dynamics of export of goods in 2021-2022
export.gov.ua
