Business news from Ukraine

UKRAINE THRESHES EARLY GRAINS FROM 91% OF AREAS BY AUG 8

Ukraine as of August 8 had threshed 30.7 million tonnes of early grain and leguminous crops from 8.9 million hectares (91% of the forecast for these crops) with the yield being 34.3 centners per ha. According to the Ministry of Agrarian Policy and Food, farmers harvested 22.8 million tonnes of winter wheat from 6.1 million hectares (95% of the forecast) with the yield of 37.4 centners/ha, 285,000 tonnes of spring wheat from 87,000 hectares (44%) with a yield of 32.9 centners/ha, 3 million tonnes of winter barley from 865,000 hectares (99%) with the yield being 35 centners per ha, 3.4 million tonnes of spring barley from 1.3 million hectares (82%) with a yield of 25.5 centners/ha, and 737,000 tonnes of peas from 406,000 hectares (94%) with a yield of 18.1 centners/ha.
The country also harvested 278,000 tonnes of rye from 107,000 hectares (72%) with a yield of 26.1 centners/ha and 151,000 tonnes of oats from 68,000 hectares (34%) with a yield of 22.3 centners/ha.
In addition, farmers threshed 2.5 million tonnes of winter rapeseeds from 965,000 hectares (99%) with a yield of 26.2 centners per ha and 45,000 tonnes of spring rapeseeds from 22,000 hectares (34%) with the yield standing at 20.6 centners/ha.

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UKRAINE SEEKS TO START USING GENERAL ELECTRIC LOCOMOTIVES THIS AUTUMN

This autumn Ukraine seeks to start using first TE33A locomotives that would be produced for PJSC Ukrzaliznytsia under a cooperation agreement signed with U.S. General Electric (GE), Ukrainian Prime Minister Volodymyr Groysman has said. “This autumn, we are starting to get a new rolling stock – according to plans for joint production of General Electric. We lost a lot (of rolling stock) in the occupied territory. However, the company is involved, and things are moving,” the press service of the Cabinet of Ministers reported on Wednesday morning, citing Groysman.
The prime minister also drew attention to the fact that simultaneously with the renewal of assets, the state-owned company’s management is being renewed, shadow deals and manual control, which was observed in the past, is being eliminated.
“The billionaire company, Ukrzaliznytsia, was entangled in all sorts of schemes and knots. We begin to unwind, calculate enemies and bring the situation out of the state of decline,” Groysman said.
As reported, the framework agreement between Ukrzaliznytsia and GE envisages a 15-year partnership in updating and modernizing traction rolling stock, the first stage of which is the delivery to Ukrzaliznytsia under the terms of leasing of 30 new GE TE33AC diesel locomotives with a localization level of 10%.

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NISSAN LEAF REMAINES THE MOST POPULAR ELECTRIC CAR IN UKRAINE, ELECTRIC CAR MARKET GROWS BY 64% IN CURRENT YEAR

Primary registration of electric cars (new and used) in Ukraine in January-July 2018 grew by 64% year-over-year, to 2,490 cars, the Ukrautoprom association has reported. The share of used cars exceeds 80% – in January-July it was 84%. The Nissan Leaf remained the most popular make in Ukraine: 1,621 cars of this model were registered in Ukraine from January to July 2018. The BMW i3 with 182 cars ranked second in terms of the number of registrations and Tesla Model S was third with 123 cars.
The top ten on the primary market of electric cars in January-July 2018 also included: Mercedes-Benz B Electric Drive – 78 cars; Smart Fortwo – 69 cars; Tesla Model Х – 57 cars; KIA Soul EV – 53 cars; Volkswagen е-Golf – 52 cars; Toyota RAV-4 EV – 46 cars; and FIAT 500е – 37 cars.
In 2017, the primary market of electric passenger cars in Ukraine grew 2.3-fold, to 2,697 units, and the share of used cars was 85%, while in 2016 – 51%.

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UKRAINIAN PHARMA MANUFACTURES WAITING FOR EXPANSION OF DISEASE LIST FROM MINISTRY OF HEALTH

Growth of sales under the Affordable Medicines program that reimburses the cost of medicines has suspended, and pharmaceutical manufacturers are waiting for the expansion of the list of diseases under the program, Marketing and Sales Director at PJSC Farmak Susana Khalilova has said. “As for the Affordable Medicines program, it seems that the further quantitative growth in sales of medicines has stopped. A fuss about it has fallen. A more or less clear number of patients has been formed,” she said in an interview with Interfax-Ukraine. She said that “it was simply a “madhouse” at the beginning of the Affordable Medicines program – pharma companies could not guess the necessary number of medicines.”
“A year has passed and we understand approximately how many and what preparations are needed. Patients calmed down a bit and do not buy two or three packages to have them for the future. It took time to establish the process,” she said.
According to Khalilova, the Ministry of Health had to calculate the number of medicines required for participation in the program. “If the state at the very beginning have said how much money it would spend on a certain molecule or announced the approximate consumption of the concrete drug, it would have been much easier,” she said. In addition, Khalilova said that Farmak receives information on cases of a lack of budget funds for the Affordable Medicines program.
Farmak is a member of the Association Manufacturers of Medications of Ukraine (AMMU).

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UKRAINIAN MEDIA INTERNET ADVERTISING MARKET EXPANDS BY 32%

The Ukrainian media Internet advertising market expands by 32% in H1 2018, to UAH 1.094 billion, the Ukrainian Internet Association (UIA) has said. The share of direct sales on this market over the period came to 56.13%. The largest segment of media Internet advertising was banner advertising, which occupies 42.28% of the market. In-stream video (pre-roll, mid-roll, post-roll, pause-roll, overlay-advertisement, picture-in-pause) was – 34.94%, in-page video advertising (content-roll) – 8.18%, other non-standard solutions (pop-up and pop-up pop-ups, catfish and screen-glide formats, synchronous banners, frontlines, full-screen advertising, sound advertisement in a digital audio stream and other types) – 8.71% and sponsorship – 5.89%.
The share of mobile media Internet advertising (targeted at mobile device users) of the total turnover of media Internet advertising was the following: 18.2% for banner advertising, 10.1% for in-stream video, 0.5% for in-page video (content-roll), 0.6% – for non-standard solutions and 0.9% fell on sponsorship.
The share of Programmatic (automated advertising) was 26.23% for purchases by agencies and 53.02% for platforms.
The share of social media and instant messengers (FB, Instagram, Twitter, YouTube, Skype, Viber and other applications) was also determined in advertising – 25.1%.
The methodology for measuring the volume of media Internet advertising was based on a cross-sectional analysis of survey data from the largest advertising agencies, websites and sales houses.
“The survey involved leading online advertising agencies: Dentsu Aegis Network Ukraine, ADV Group Ukraine, ITCG, IPlace, Qreachers, Publicis Groupe Media, TMGU, AdWork, Dievo, MediaHead, Neos, Promodo, newage, WebPromo, SeoMarket and representatives of the largest sites, holdings and sales-houses: Autocentre, Edipress, Lux (24 channel), RBC, RIA, Ukr.net, UMH/Digimedia, Admixer, DMDim/Go2Net, FISH, DigitalDecisions, Adwise, T-Sell, Rontar, All.biz, Online.ua, Novoye Vremia, RST and Obozrevatel,” the association said.

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