Business news from Ukraine

CHINESE MYWAY AIRLINES TO LAUNCH FLIGHTS TO KYIV FROM TBILISI ON OCT 5

The new Georgian Myway Airlines from October 5, 2018 will launch regular flights to Kyiv (the Boryspil international airport) from Tbilisi, the airline wrote on its Facebook page on September 12. The regular Tbilisi-Kyiv-Tbilisi flights will be serviced twice a week – on Mondays and Fridays. From October 24, Myway will add one more flight on Wednesdays.
Myway Airlines was founded in 2018. It is a project of China’s Hualing Group.
Its fleet consists of two Boeing 737-80 aircraft.

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TIS GROUP AND SEA PORT AUTHORITY TO COOPERATE IN DEVELOPMENT OF YUZHNY SEAPORT (ODESA REGION)

State-owned enterprise (SOE) Ukrainian Sea Port Authority and the TIS Group have signed a memorandum of understanding, providing for the implementation of infrastructure projects at the Yuzhny seaport (Odesa region), according to a posting on the website of the Infrastructure Ministry. The memorandum envisages the uniting of efforts of the SOE and the private company to develop Yuzhny port’s infrastructure.
The authority seeks to conduct dredging works in the internal canal leading to the water area of berths of the TIS Group (from berth 18th to 22nd), a water approach to the U-turn area and a part of the operation water areas of berths 21st and 22nd to reach the designed depth of 16 meters.
In turn, TIS will conduct dredging works near its berths: 18, 19 and 20 to 19 meters and 21 and 22 – to 16 meters. After these dredging works, TIS plans to do its best to boost cargo handling by 10-15 million tonnes in 10 years.

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TAS INSURANCE GROUP SEES 38% RISE IN PREMIUMS

The TAS insurance group in January-August 2018 attracted UAH 885.15 million in insurance premiums, which is 38.1% more than a year ago. According to a posting on the company’s website, over one third of premiums (34.94%) were from mandatory insurance of civil liability of vehicle owners (OSAGO) policies – UAH 309.26 million (72.7% up year-over-year). Some UAH 187.7 million was collected under Green Card policies (21.21% of total premiums) and 15.5% more than a year ago.
The share of voluntary car insurance (KASKO) was 16.81%. Some UAH 148.78 million was collected under these policies (66% more). Premiums under voluntary medical insurance policies grew by 22.7% year-over-year, to UAH 60.96 million (6.89% of total premiums). The company attracted UAH 32.75 million in premiums under property insurance policies and UAH 145.7 million under other insurance policies.
In January-August 2018, TAS paid UAH 348.66 million in claims, which is 53.6% more than a year ago.

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TV REMAINS KEY SOURCE OF INFORMATION FOR 75% OF UKRAINIANS – POLL

Television remains the key source of information for two thirds of Ukrainians and Internet for each second citizen, according to a poll conducted jointly by the Kyiv International Institute of Sociology (KIIS), the Razumkov Center and the Socis Center for Social and Marketing Research. According to information presented at a press conference at Interfax-Ukraine on September 14, 75.7% of respondents prefer receiving information about events in Ukraine and the world via watching national TV channels, and 49.7% of respondents from Internet.
Almost for each third Ukrainian (29.5%) friends, colleagues, relatives and neighbors are the source of information.
Some 10.4% of Ukrainians receive information via listening to FM radio stations and 10.3% from newspapers and magazines.
The face-to-face poll of 10,005 respondents was conducted in the Ukrainian territories controlled by Kyiv on August 30 to September 9, 2018. The respondent sampling is representative by sex, age, region and type of settlement.

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DEFICIT OF UKRAINE’S FOREIGN TRADE IN GOODS GROWS BY 42% IN JAN-JULY

The deficit of Ukraine’s foreign trade in goods in January-July 2018 increased by 42.7% compared to January-July 2017, to $4.064 billion (it was $2.848 billion in January-July 2017), the State Statistics Service of Ukraine said. The deficit in July alone was $1.406 billion, while it was $602.7 million in June, $632 million in May, $221.6 million in April, $460 million in March, $457 million in February, and $284.1 million in January.
Exports of goods in January-July this year increased by 12.7% year-over-year, to $26.876 billion, while imports grew by 15.9%, to $30.94 billion.
Seasonally adjusted exports in July 2018 decreased by 7% from June 2018, imports grew by 0.7%. Seasonally adjusted foreign trade in July 2018 was negative and the deficit was estimated at $1.214 billion. The deficit was also registered in June 2018 ($894.2 million), in May ($ 946.5 million), in April ($570.8 million), in March ($508.2 million), in February ($411.8 million) and in January ($580.5 million).
The ratio of coverage of imports by exports was 0.87 (it was 0.89 in January-July 2017).
Ukraine traded with partners from 212 countries.

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KYIVSKY CARDBOARD MILL SEES 16% RISE IN PRODUCTION

Kyivsky cardboard paper mill (Obukhiv, Kyiv region), a leader in Ukraine’s pulp and paper industry in terms of production and sales, produced goods worth UAH 3.565 billion in January-August 2018, which was 16.8% up year-over-year. Thus, production in the first eight months ending August 2018 somewhat increased compared to the same period last year, the UkrPapir association said.
Corrugated packaging output grew by 10.5%, to 154.93 million square meters, which was the second highest result among producers of corrugated packaging in Ukraine after Rubizhne cardboard packaging mill in Luhansk region (with Trypilsky packaging plant).
Production of cardboard increased 8.1%, to 137,840 tonnes. Production of package cardboard alone grew by 20.2%, to 93,960 tonnes, while box cardboard output fell by 11%, to 43,880 tonnes.
However, production of base paper (for sanitary products) stood at 52,480 tonnes, which is 6.2% up. Toilet paper output grew by 6%, to 280 million rolls.
Corrugated packaging output in total in Ukraine (including other producers) grew by 3% January through August 2018, to 667.37 million square meters, that of paper and cardboard increased by 6.7%, to 633,570 tonnes.
Kyivsky cardboard paper mill is one of the largest cardboard and paper producers in Europe. It employs almost 2,200 people. It sells produce to almost 700 companies in Ukraine, some CIS member states and the rest of the world.

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