Business news from Ukraine

MYKOLAIV SEAPORT RAISES TRANSSHIPMENT BY 19%

Mykolaiv seaport in January 2019 increased cargo handling by 18.84% compared with January 2018, to 2.321 million tonnes.
According to the data of the Ukrainian Sea Ports authority, during this period the port increased the transshipment of exported cargo by 22.69%, to 1.78 million tonnes, imported cargo by 13.95%, to 491,970 tonnes, and coastal freight handling fell by 6.4%, to 47,330 tonnes. The port did not transship transit cargo.
In January 2019, the port cut the transshipment of liquid cargo by 1.12%, to 172,680 tonnes, increased dry bulk freight by 19.8%, to 1.838 million tonnes, packaged ones by 38.27%, to 310,770 tonnes.
As reported, Mykolaiv seaport in 2018 increased cargo handling by 24.09% compared with 2017, to 29.2 million tonnes.

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ASKA INSURER PAYS OVER UAH 1.6 MLN TO AGRICULTURAL FIRM FOR APPLE HARVEST LOSS

ASKA insurance company (Kyiv) has paid UAH 1.635 million to an agricultural enterprise for the loss of apple harvest, the insurer has said in a press release.
According to the report, in July 2018, it rained with thunderstorms and hail in the territory of the insured gardens, a significant part of the apple harvest was damaged and lost.
“After the hail, a significant part of the apple harvest, which should be sold fresh, could only be handed over for processing. Another part of the fruit was completely destroyed. Deltafruit suffered significant losses,” Anton Ruban, the owner of the agricultural firm, said.
Three of the five insured sites were also affected. In the first two, due to hail, harvest quality deteriorated by 83-85%, and losses in both the quality and quantity were obtained in the third site.
“ASKA compensated for the loss of quality at the rate of UAH 5.6 per each kilogram of apples. The compensation cost for the lost amount is UAH 3.6 and UAH 9 per kilogram, respectively. These estimates are specified in the insurance contract and depend on the apple variety. On January 18, the client received 70% of the payment, the rest of the money was transferred in stages. We completed the settlement early February,” Corporate Insurance Director for ASKA Olena Shustur said.
ASKA said that this is the first case of such a large-scale payment in Ukraine related to damage to the harvest of fruit trees. The damage was caused by hail, secondary diseases due to hail, and most importantly, damage from the loss of commercial quality of fruits, which accounted for most of the damage, was also covered.

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TURKISH COMPANY STARTS BUILDING SOLAR POWER PLANT IN UKRAINE

Turkey’s Emsolt Investments Holdings Ltd. has started building a solar power plant with a power capacity of 11 MW in Khmelnytsky region and plans to expand the project. The information was presented at a meeting of Chairman of the State Agency for Energy Efficiency and Energy Saving Serhiy Savchuk with representatives of the company last week, the press service of the agency has reported. The sides discussed the prospects of investing in solar power plants and biogas units at the meeting.
Emsolt in 2017 proposed projects to build solar power plants in Ukraine with a total capacity of 100 MW. At present, the company is building plants in Zhytomyr and Khmelnytsky regions with a total capacity of near 20 MW.

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FAIRFAX FROM CANADA ACQUIRES AXA INSURANCE IN UKRAINE FOR $16.2 MLN

Canada’s Fairfax Financial Holdings Limited Group LTD (FFHL Group LTD) acquired 99.98% of the equity capital of the insurance company (IC) AXA Insurance (Kyiv) for $16.24 million. Some 26,193,416 shares with a nominal value of UAH 10 each were purchased at a price of $0.62 (UAH 16.55) per share at the official forex rate of the National Bank of Ukraine, the insurer said in an official statement.
Before FFHL Group LTD took possession of the dominant controlling stake, the company and its affiliates were not owners, they did not directly or indirectly own the shares of IC AXA Insurance.
As reported, AXA Group (France) successfully completed a deal with Fairfax Financial Holdings Limited to sell its subsidiaries in Ukraine, Private Joint Stock Company (PrJSC) Insurance Company AXA Insurance and Additional Liability Company (ALC) Insurance Company AXA Life Insurance (both are based in Kyiv).
IC AXA Insurance has been in the Ukrainian insurance market since 2007. The company has more than 780 employees and 1,220 agents throughout Ukraine. At the end of last year, the company collected UAH 1.9 billion in insurance premiums, which was 13% up on 2017.
AXA Life Insurance was registered in July 2013. Its premiums at the end of last year amounted to UAH 93 million, which was 57% up on 2017.
Fairfax Financial Holdings Limited, headquartered in Toronto (Canada), has been engaged in insurance, reinsurance and investment management since 1985.

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VOLODYMYR ZELENSKY LEADS AMONG PRESIDENTIAL CANDIDATES IN UKRAINE – POLL

If Ukraine’s presidential election were held next Sunday, showman Volodymyr Zelensky would receive 18.2% of votes from those who have picked their candidate, incumbent President Petro Poroshenko would have 15.6% and Batkivschyna Party leader Yulia Tymoshenko 15.2%. These are results of a survey conducted by the Ukrayinska Politika Foundation (UP Foundation) jointly with the research group Institute of Marketing and Consulting, which was presented at the Kyiv-based Interfax-Ukraine news agency.
According to the survey, Radical Party leader Oleh Liashko would receive 12.1% of votes, while Opposition Bloc – Party for Peace and Development leader Oleksandr Vilkul would have 7.4%, Opposition Bloc – For Life leader Yuriy Boiko 7.2%, and Civil Position Party leader Anatoliy Hrytsenko 6.1%.
Leader of the Nashi (Ours) Party Yevhen Murayev and UKROP Party leader Oleksandr Shevchenko would receive 3.2%, followed by Lviv Mayor Andriy Sadovy with 3.1%, while 8.8% of respondents said they would vote for another candidate and 28.1% had difficulty answering the question.
The poll showed 56.5% of respondents plan on taking part in the elections on March 31, 2019, some 19.7% will probably take part, 10.6% will probably not take part, and 13.2% will definitely not take part.
The survey was conducted by the UP Foundation jointly with the research group Institute of Marketing and Consulting from January 28 through February 10, 2019 by personal interview using computer tablets. Some 4,851 persons took part in Kyiv and all regional centers of Ukraine, except those not under Ukraine’s control in Donetsk and Luhansk regions, in five large cities (Mariupol, Kamianske, Kremenchuk, Kryvy Rih, and Brovary), 23 small cities, 27 towns and 62 villages. The margin of error of the poll results is 1.5%.