Business news from Ukraine

KYIVSKY CARDBOARD PAPER MILL SEES 18% RISE IN PRODUCTION IN 2018

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 2.149 billion in January-May 2018, which was 18.4% up year-over-year. Thus, production in the first five months of 2018 somewhat slowed compared to the same period last year (production growth in January-April was 26.7% and in January-March 30%), the UkrPapir association said.
Corrugated packaging output grew by 11.2%, to 93.5 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 by 15.7%, to 85,400 tonnes. Production of package cardboard alone grew by 31%, to 58,900 tonnes, while box cardboard output fell by 8.2%, to almost 26,550 tonnes. However, production of base paper (for sanitary products) stood at 31,500 tonnes, which was the same as a year ago. Toilet paper output grew by 7%, to 174.9 million rolls. Corrugated packaging output in total in Ukraine (including other producers) grew by 8.4% January through May 2018, to 416.94 million square meters, that of paper and cardboard increased by 12.5%, to 395,650 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. In 2017, the mill saw a 14.8% rise in production from 2016, to UAH 4.85 billion.

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UKRAINE AND HIGH-SPEED TRANSPORT PROJECT HYPERLOOP AGREE ON COOPERATION

The Infrastructure Ministry of Ukraine and Hyperloop Transportation Technologies have signed a memorandum of understanding and cooperation on the Hyperloop project, the Ministry of Infrastructure has informed. During the public discussion “Hyperloop in Ukraine” with the participation of Hyperloop Transportation Technologies CEO Dirk Ahlborn and Minister of Infrastructure Volodymyr Omelyan, a memorandum of cooperation was signed, as well as the issues related to the development of high-speed transport (in particular, the Hyperloop transport system), the introduction of innovations and artificial intelligence systems in transport industry were considered.
Omelyan noted Ukraine should enter the world’s mainstream in developing advanced technologies in transport.
“Hyperloop is the next generation transport that will give the world unprecedented speed, possibilities, and technologies. One of the results of Ahlborn’s visit was our clear intention to work together to develop these new technologies,” the minister said.
He expressed hope that a center will soon be opened that will deal not only with Hyperloop but with new materials, new components of modern transport.
The parties agreed on joint development of technologies, joint search for investors for this project.
Hyperloop Transportation is one of the first companies that showed interest in the Hyperloop high-speed transport project. The company already has contracts for the design and construction of high-speed transportation lines with France, Slovakia, Austria, Hungary, the United Arab Emirates, and others.

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SWISS RISOIL WILL RAISE GRAIN TRANSSHIPMENT CAPACITY TO 22,000 TONNES PER DAY BY OCTOBER

Risoil S.A. will increase the transshipment capacity of the grain terminal of JV Risoil Terminal LLC in Chornomorsk seaport (Odesa region) from 15,000 tonnes to 22,000 tonnes of grain per day.
According to the company, it began work on assembling the Neuero ship loader. Its productivity is 1,000 tonnes per hour.
This equipment was designed by the order of Risoil in view of environmental standards, as well as the technical characteristics of berth No. 11.
Risoil is also building a marine gallery. All the preparatory works have been finished. It is planned to complete all the stages and commission new facilities in August-September.
Risoil S.A. was established in Geneva (Switzerland) in 2000. Its core business is logistics of oil, bulk and general cargo in the ports of the Black Sea, sale and production of vegetable oils, trade in grain and oilseeds in containers, storage and processing of agro-industrial products.
Risoil Terminal in Chornomorsk seaport was commissioned in 2016.

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SEAPORTS IN UKRAINE CUT CARGO HANDLING BY 2%

Freight handling at Ukrainian seaports in January-May 2018 totaled 54.3 million tonnes, which is 2.13% less than a year ago, according to data from the Ukrainian Sea Port Authority.
According to its data, the volume of transshipment of imported cargo increased by 16% and amounted to 9.05 million tonnes.
The volume of transshipment of exported cargo decreased 7.35%, to 39.71 million tonnes. Handling of transit freights rose by 11.2%, to 4.824 million tonnes and handling of coastal freight rose by 49.3%, to 714,730 tonnes.
Transshipment of liquid freight fell by 9.78%, to 4.3 million tonnes, that for bulk freight – by 8.35%, to 36.95 million tonnes and for packaged cargo grew by 25.5%, to 13.05 million tonnes.
Container flow at Ukrainian seaports in January-May 2018 grew by 36.9%, to 325,035 TEU, and processing of containers in weight rose by 34.4%, to 4.274 million tonnes.
In general, the seaports of Ukraine processed 4,855 vessels in January-May 2018, including 1,026 in May.
The decline in cargo turnover is attributed to the reduction in grain handling by 4.9%, caused by unfavorable prices for it on the global market in this period, as well as a 15.5% decrease in ore turnover due to a decrease in ore mining by ore-dressing plants, the authority said.
“The upward pace of imports continue to be recorded for the following cargo: ore (17.8% up), transshipment of which amounted to 3 million tonnes and coal – 2.4 million tons (4.1% up), the largest increase in imports showed ferrous metals (18% up) – 6.8 million tonnes, including 4.1 million tonnes of rolled metal (4.1% up) and 1.3 million tonnes of pig iron (85.5% up),” the authority said.
During the reporting period, 3,130 ship journeys were made on the Dnipro River, which is 287 journeys, or 8.7% more than a year earlier.
A total of 316,800 tonnes of metal products were transported along the Dnipro (6.2% growth compared with the corresponding period of 2017), as well as 683,600 tonnes of grains (a decrease of 7%), 17,300 tonnes of oil products (an increase of 5.2%) and 902,000 tonnes of construction materials (an increase of 24.3%) and other goods.

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