Business news from Ukraine

Business news from Ukraine

UKRAINIAN WHOLESALE BUYERS FACE DIFFICULTIES WITH BUYING REQUIRED VOLUMES OF TOMATOES

Wholesale buyers in Ukraine currently have faced difficulties with buying the required volumes of tomatoes, and some of them claim shortage of these products on the market, the Ukrainian Horticultural Association has said on its website. According to the report, a lack of tomatoes on the market is linked to several factors. “The main reason is the so-called off-season period at Ukrainian plants, because most of them have already completed the sale of tomatoes from the previous season, while other farms are cleaning greenhouses and offer only residual lots for sale,” the association said.
The Ukrainian Horticultural Association said that this situation provokes a rapid increase in prices for tomatoes. In particular, now manufacturers offer residual lots at UAH 35-38 per kg, prices for off-condition products start from UAH 24 per kg.
“Thus, only in a week, the price of tomatoes in Ukraine went up by an average of 18%. Therefore, prices for Ukrainian tomatoes are already 40% higher than in the second half of November 2017. However, market players hope that this week the situation in this segment somewhat stabilizes, as they expect an increase in imports from Turkey,” the association said.
At the end of October of this year, the Ukrainian Horticultural Association said that the export of tomatoes from Ukraine actually stopped due to the fact that exporters are not able to find the required volumes of products for shipment abroad.

, ,

STATE-OWNED BORYSPIL AIRPORT PLANS TO RECONSTRUCT SECOND RUNWAY

State-owned enterprise (SOE) Boryspil International Airport plans to start reconstruction of maneuvering area No. 2 in 2020 under a memorandum signed with Chia Communications Construction Company (CCCC) and relaunch it in 2021.
“The reconstruction works will be paid for using the loan and partly at the expense of the company’s own funds. The Chinese Eximbank can issue a government-secured loan. Financing rates with government guarantees are much lower than commercial ones and do not require additional expenses from the airport,” Commercial Director of the airport Heorhiy Zubko told Interfax- Ukraine.
He said that the Chinese company, at its own expense, prepared and submitted a pre-feasibility study of the project to the airport under the memorandum signed by the airport and CCCC. According to Zubko, the airport has already prepared its comments on the draft pre-feasibility study, which CCCC should resolve before the end of the year, after which negotiations on financing will be held with the bank.
“The procurement procedure was not carried out and the Boryspil airport did not spend the company’s money and the budget,” he said, adding that the construction proposal had been put forward by the Chinese side.
Zubko does not report on the final cost of the reconstruction project, since it will be known only at the final design stage.

, ,