Business news from Ukraine

Business news from Ukraine

Kevin McCarthy is removed from post of Speaker of lower house of US Congress

The U.S. House of Representatives has removed Kevin McCarthy from the post of speaker of the lower house of Congress, BBC reports.
The result was obtained after a tense but lengthy roll call, during which each member was required to enter their choice into the record.
About 216 members, including eight Republicans, voted to remove the California congressman from the speaker’s chair.
Another 210 representatives, all Republicans, voted to retain McCarthy.
This is a huge victory for the rebellious faction of right-wing Republicans led by Matt Gaetz of Florida.

, ,

European Parliament approves EUR 50 bln for Ukraine

The European Parliament has voted in favor of revising the EU budget for 2021-2027, which provides for the creation of a special fund of EUR 50 billion to help Ukraine.

According to the press service of the European Parliament, the amendments on the mid-term review of the Multiannual Financial Framework for 2021-2027 were approved by 393 votes to 136 and 92 abstentions.

“Our goal was an ambitious but realistic proposal for the MFF review, and we managed to keep it focused but comprehensive. We aim to stabilize the situation in Ukraine with a new EUR 50 billion fund while supporting the EU economy,” said MEP Jan Olbricht.

In her turn, MEP Margarida Marquez noted that today the Parliament has identified the financial resources needed for the next four years.

“We urge the Rada to join us in the negotiations. By December 31, 2023, we want to have adequate funds to support Ukraine and continue to mitigate the social and economic consequences of the war, as well as rising inflation and living costs,” she said.

Lithuania simplifies transit of Ukrainian grain to Baltic ports

Lithuania has agreed on a corridor for the transit of Ukrainian grain to Baltic ports, Lithuanian Foreign Minister Gabrielius Landsbergis said.

“Russia destroys food, Lithuania delivers it. A corridor for grain transit to Baltic ports has been approved and agreed upon, which eases pressure on the Ukrainian border and increases supplies to Africa and beyond. Cooperation gives results!” he wrote on Twitter.

Earlier, it was reported that veterinary, sanitary and phytosanitary control would be moved from the Ukrainian-Polish border to the port of Klaipeda (Lithuania) for all agricultural cargoes heading to this port within two days. This will speed up transit through Poland.

, , ,

KVSZ wins UZ tender for 44 new passenger railcars

“Kryukov Carriage Works (KVSZ) has become the sole bidder in Ukrzaliznytsia’s (UZ) tender for the purchase of 44 new passenger railcars for UAH 1.951 billion, according to the protocol of tender offers disclosure in the Prozorro electronic public procurement system published on September 29.

KVSZ’s offer is pending a decision, according to the tender documents.

The tender was held in the form of a Dutch auction (for price reduction). The minimum step was 0.5% of the contract amount, or UAH 9.75 million. With the declared contract value of UAH 1 billion 951 million 009.4 thousand including VAT, the price of the tender offer of KVSZ after the auction was UAH 1 billion 951 million 008.6 thousand including VAT.

As reported, the winner of the tender should produce 12 passenger sleeping cars (PS) and 20 compartment cars, three passenger compartment cars equipped for the transportation of wheelchair users and a train manager’s compartment, 9 open-seat cars for UZ, with delivery by December 31, 2025.

The tender terms were adjusted, in particular by increasing the level of advance payment. According to the contract payment terms published in Prozorro, an advance payment of 65% is due 14 days after the invoice date. Full payment is made 30 calendar days after delivery of the goods in the amount of 35% of the contract amount.

Earlier, in an interview with Interfax-Ukraine, Yevhen Lyashchenko, Chairman of the Board of Ukrzaliznytsia, said that the company would soon hold a tender for the purchase of 44 new passenger cars for UAH 1.9 billion, and in 2024 another tender for the purchase of 100 cars at the expense of the state budget, for about UAH 5 billion.

The head of UZ expressed hope that KVSZ, with which Ukrzaliznytsia has fully paid off its debts for the supplied passenger cars, as well as other large machine-building companies, will participate in the tender in 2023. He pointed out that the level of advance payments had been increased, which was critical for manufacturers.

UZ reported that the new cars will be equipped with vacuum toilets, changing tables, sockets and USB ports for fast charging of gadgets, electronic displays, and coffee makers. Cars for the transportation of passengers with disabilities will be equipped with lifting platforms for comfortable boarding of passengers in wheelchairs. Doors in compartment and SV cars will be equipped with an alarm system and a door lock button for greater passenger safety. There is also a video surveillance system.

The company also clarified that the tender conditions reflect the changes that the government made the day before to the procedure for using budget funds under the passenger rolling stock renewal program in order to attract manufacturers to the tender and provide all conditions for an effective purchase, unlike the previous tender, which was held in accordance with the procedure before the changes were made.

In June, UZ canceled a tender for the purchase of 20 passenger railcars for UAH 882 million due to a lack of bids. The tender provided for an advance payment of 29.99% of the contract amount, which was to be made within 15 banking days.

By the spring of this year, KVSZ completed the fulfillment of UZ’s order for the supply of 100 passenger railcars under the contract concluded in 2021 for more than UAH 3 billion.

, , ,

US will provide Ukraine with $5.4 bln worth of weapons and ammunition

The U.S. Department of Defense has the ability to provide Ukraine with another $5.4 billion worth of weapons, Voice of America reports, citing the Pentagon.

“The Pentagon has the opportunity to provide Ukraine with another $5.4 billion worth of weapons. Currently, the United States can make deliveries from its warehouses for this amount to meet the urgent needs of the Armed Forces on the battlefield,” the Voice of America said in a statement on its Telegram channel.

, ,

Ukraine has sown more than 2.9 mln hectares of winter crops for 2024 harvest

Ukraine continues sowing winter crops, which have already been planted on 2.992 million hectares compared to 2.179 million hectares a week earlier, the Ministry of Agrarian Policy and Food reported.

According to the report, winter rapeseed was sown on 1.087 million hectares (1.038 million hectares a week earlier), grain crops – 1.906 million hectares (1.141 million hectares), of which 1.743 million hectares (1.024 million hectares) are under wheat, 109 thousand hectares (74 thousand hectares) under barley, and 53.6 thousand hectares (42 thousand hectares) under rye.

According to the report, over the past week, farmers sowed 764.7 thou hectares (556 thou hectares) of winter crops.

Most of the winter crops were sown in Sumy region – 87%.

Winter rapeseed sowing is nearing completion in all regions.

As reported with reference to a survey conducted by the Ministry of Agrarian Policy, the vast majority of farmers do not plan to significantly change the area under winter crops in 2024 compared to last season.