Business news from Ukraine

UKRAINIAN GOVERNMENT TO KEEP MAIN PROGRAMS OF STATE SUPPORT FOR AGRO-INDUSTRIAL COMPLEX

The Cabinet of Ministers of Ukraine plans to maintain in the budget for 2019 the main programs of state support for the agro-industrial complex, which are being implemented this year, Prime Minister Volodymyr Groysman has said.
“We’ve started a number of new programs this year and decided to keep these programs for the next years. In particular, we give support to each family that will raise calves in the amount of UAH 2,500 per animal. Some 103,800 citizens have already received this assistance, but we assume that this figure will rise by 5-7 times, and we are moving towards this,” he said at a government meeting.
According to the prime minister, next year the government intends to continue compensation for the cost of keeping dairy cows. At the same time, he added that 1,200 agribusinesses have received funds in this area from the state.
“We will continue the program of support for the production of Ukrainian agricultural machinery. Some 2,700 agricultural producers bought Ukrainian goods, part of the cost of which we compensated,” Groysman said.
At the same time, the premier added that the farming support program, under which UAH 1 billion was allocated, is not being fully implemented due to “the existing bureaucratic problems.”

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LARGEST SUGAR PRODUCER IN UKRAINE ASTARTA HAS 20% FALL IN SALES

Astarta agroindustrial holding, the largest sugar producer in Ukraine, cut sugar sales by 20% in July-September 2018 year-over-year, to 88,040 tonnes.
According to a company report on the Warsaw Stock Exchange (WSE) on Wednesday, wheat sales over the period grew by 18%, to 143,680 tonnes, sunflower – by 30%, to 1,250 tonnes, soybean meal – by 6%, to 29,190 tonnes, while maize sales fell by 56.5%, to 10,790 tonnes, barley – by 88.9%, to 640 tonnes, and soybean oil – by 54.6%, to 4,480 tonnes.
Milk sales shrank by 6%, reaching 24,270 tonnes.
Astarta is a vertically integrated agro-industrial holding operating in Poltava, Vinnytsia, Khmelnytsky, Ternopil, Zhytomyr, Chernihiv, Cherkasy and Kharkiv regions.

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UKRAINE INCREASES GAS STOCKS TO 16.9 BCM

Ukraine after the completion of the heating season increased its natural gas reserves in the underground gas storage facilities by 9.469 billion cubic meters (bcm), according to data from Ukrtransgaz. So, from April 8 to October 20, 2018 gas inventories rose by almost 2.3 times, from 7.435 bcm to 16.904 bcm.
According to the calculations of the Interfax-Ukraine agency, on October 1 through October 20 gas storage facilities were replenished by 669.29 million cubic meters (mcm, 33.46 mcm per day), in September by 1.595 bcm (53.17 mcm a day), in August by 1.793 bcm (57.85 mcm per day), in July by 1.655 bcm (53.38 mcm per day), in June by 1.623 bcm (54.09 mcm per day), in May by 1.632 bcm (52.65 mcm per day), April 9-30 by 500.84 mcm (22.77 mcm per day).
Ukraine came out from the 2017/2018 heating season with the minimum stocks in the last four seasons due to the frosty March-early April.
As reported, the Cabinet of Ministers of Ukraine expects that gas inventories by November 1, 2018 will amount to 17 bcm.

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ENERGY COOPERATIVE SONIACHNE MISTO PLANS TO LAUNCH PILOT PROJECT OF SOLAR PLANT CROWDFUNDING IN SLAVUTYCH

The first energy cooperative Soniachne Misto plans to launch a pilot project for the construction of a solar power station with a capacity of 100-150 kW at the expense of crowdfunding in Slavutych in 2019.
This was announced by Soniachne Misto head Andriy Zinchenko at the third Ukrainian-German forum “BEA: Bioenergy, Energy Efficiency and Agribusiness” in Kharkiv.
“The city leases several municipal houses to the cooperative, on which solar power stations will be built for the funds raised. Energy from the solar plants will be sold at feed-in tariffs. Part of the profit will be paid to cooperative members, another part will be redistributed for energy efficient measures in the city,” Slavutych Mayor Yuriy Fomichev said at a press briefing.
“Legally, we will conduct campaigns for the sale of shares in the cooperative, the yield will be verifiable depending on the size of the contribution,” Zinchenko told Interfax-Ukraine.
“The model provides for a dynamic approach to the size of contribution depending on the city and station size. In Slavutych, we focus on EUR300-400, but it will be possible to make larger contributions or take several shares,” Soniachne Misto co-founder Oleksiy Mykhailenko said.
According to the founders of the cooperative, the capacity of the pilot project of solar plants will be 100-150 kW, the approximate cost is $100,000-150,000.

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