Business news from Ukraine

BEER MARKET IN UKRAINE WILL SHOW POSITIVE DYNAMICS – AB INBEV EFES PRESIDENT

The Ukrainian beer market in 2018 will show positive dynamics, AB InBev Efes President Dmytro Shpakov believes. “We expect that the market in 2018 will not only stabilize, but will show positive dynamics, given that in 2018 excise tax was not raised,” he told Interfax-Ukraine during Corona Save Trukhaniv Island, the environmental campaign to clean up the Trukhaniv Island. The expert noted that, according to research by Nielsen global company, beer consumption in Ukraine increased by 1.6% in 2017 against the fall of this indicator by 7.2% in 2016.
According to Shpakov, now there observed the trend towards the growth of premium and super-premium segments in Ukraine.
“However, the mid-price segment still remains the most popular. Beer with fruity taste is becoming more popular,” he said.
Local production accounted for 97.5% in the portfolio of Sun InBev Ukraine in 2017, while imports for 2.5%.
“In 2017 we increased the volume of imported products in our portfolio by 23.7%,” the president of AB InBev Efes said.

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MYWAY AIRLINES TO LAUNCH REGULAR FLIGHTS TO KHARKIV FROM TBILISI, BATUMI IN JUNE

New Georgia’s Myway Airlines will launch regular flights to Kharkiv from Tbilisi and Batumi in June 2018, the airline has reported.
The airline will fly on the Tbilisi-Kharkiv-Tbilisi route from June 12 twice a week (on Tuesdays and Saturdays) using Boeing 737-800 planes.
The regular Batumi-Kharkiv-Batumi flights will be also serviced by Boeing 737-800 twice a week – on Wednesdays and Saturdays – from June 13, 2018.
“We should say that Kharkiv would not be the only destination in Ukraine. By the end of this year the airline seeks to launch flights to Kyiv,” the airline said.
Myway Airlines’s fleet consists of two Boeing 737-800 planes. The airline will receive the third plan early July and the fourth in December.
Myway Airlines was founded in 2018. This is a project of China’s Hualing Group.

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ZELENE MISTO ANNOUNCES TENDER TO BUILD WASTE TREATMENT FACILITY IN LVIV

Lviv-based municipal enterprise Zelene Misto (Green City) has announced a tender to build a solid household waste treatment facility in Lviv.
The respective invitation for prequalification is posted on the website of the European Bank for Reconstruction and Development (EBRD), which finances the project.
The potential participants should meet the following requirements: to have annual turnover of at least EUR 38 million in the past three years and at least two similar successful projects. These projects should be implemented in the past seven years for the amount of at least EUR 11 million each.
In addition, the potential participants should successfully operate the similar complex built by applicants for at least two years.
The prequalification documents must be duly completed and delivered on or before 17:00 local time on July 9, 2018. The prequalification is to be completed in August. The winner will be selected in October 2018.
The treatment facility with a throughput capacity up to 250,000 tonnes of waste a year should be built in 24 months.
As reported, on June 1, 2018, Lviv city and the EBRD signed an agreement for EUR 35 million to build the solid household waste treatment facility, including a EUR 25 million loan and a UAH 10 million grant.

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LARGEST TAXPAYERS INCREASE TAX PAYMENT BY 20% IN JAN-MAY 2018

Largest taxpayers increased payment of taxes to the national budget by 20% or by UAH 21.7 billion in January-May 2018 year-over-year, to UAH 132.2 billion, the Office of Large Taxpayers has said on its website.
The Office said that the largest growth was seen from payment of profit tax: it grew by 89% or UAH 18 billion, to UAH 38.2 billion.
Head of the Office of Large Taxpayers Yevhen Bambizov said in an interview with Taxlink that Naftogaz Ukrainy paid most of profit tax. The company declared record-hitting profit over this period compared with losses for the previous periods.
“This is not the only reason. We see profit tax growth every year, and this year we projected it by at least 20%. This is linked to the growth of the economy, continuation of active work on reduction of losses by large taxpayers,” he said.
The Office said that revenue from VAT payment in January-May 2018 grew by 14.4% or UAH 7.3 billion, to UAH 58.5 billion, while from payment of the excise duty on Ukrainian-made products fell by UAH 13.9% or UAH 3.4 billion, to UAH 21.5 billion.
Payments of income tax from salaries grew by 28% or UAH 1.9 billion, to UAH 8.8 billion. Single social security tax payments rose by 335 or UAH 4.7 billion, to UAH 19.5 billion. Military tax payments rose by almost 23% or UAH 332 million, to UAH 1.7 billion.

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