Private joint-stock company AvtoKrAZ (Kremenchuk, Poltava region), the sole Ukrainian manufacturer of heavy trucks, saw UAH 1.048 billion of net revenue in 2017 (UAH 1.232 billion in 2016).
According to a Tuesday press release of the company, AvtoKrAZ CEO Roman Cherniak presented the figure in his report at a general meeting of shareholders held on April 3.
According to the press release, the share of dropside trucks of total vehicles made by the company was 41%, the share of chassis for various special-purpose equipment was 38%, tractor trucks – 17%, dump trucks – 3% and short log trucks – 1%.
Some 81% of trucks were delivered to the Ukrainian market, and supplies to the civil sector of the domestic market tripled. 5% of trucks were exported to non-CIS countries and 14% to the CIS.
Cherniak said that AvtoKrAZ last year passed a first audit of the quality management system under the certificate received in November 2016 confirming compliance with ISO/TS 16949:2009.
Capital investment in 2017 totaled UAH 1.8 million. The funds were sent to buy equipment, tools, modernization and reconstruction of fixed assets. Some UAH 29 million was spent on minor repair and overhaul and some UAH 7.5 million on maintenance of a clinic, dormitories, catering rooms, the palace of culture and other facilities.
According to the report of the CFO, growth of expenses and not enough volumes of production, permanent growth of currency exchange rates, accrued interest for the use of loans contributed to the fact that AvtoKrAZ saw large losses in 2017.
The Industrial Development Agency of Poland (IDA) has reported that the first, most important stage of negotiations on the acquisition of the stake belonged to Ukrainian businessman Serhiy Taruta in Gdańsk Shipyard S.A. and GSG Towers Sp. z o.o has been completed.
“On March 28, the sides signed an agreement (the so-called term sheet) regarding the main terms of the final deal… The sides approved the key conditions of the deal and the schedule for the transfer of control over companies to the IDA,” the IDA said on its website.
The agency said that the offer was preceded by several weeks of intensive talks launched in January 2018 after the IDA filed an application to purchase assets from the Ukrainian owner.
Earlier Taruta told Hromadske TV that his daughter held the negotiations, as he is not involved in business now.
According to the report, of the IDA, its offer is of the market nature. The finalization of the deal still requires the observation of some conditions approved by the two sides, including the approval from the Poland’s antimonopoly agency.
The IDA plans to stabilize the situation at the two enterprises and continue building ships and towers for wind farms.
The IDA now owns 18.59% in Gdańsk Shipyard and 50% in GSG Towers, while the rest of the shares belong to the Ukrainian investor.
ACQUISITION, AGENCY, BUSINESSMAN, GDAŃSK SHIPYARD, POLAND'S DEVELOPMENT, TARUTA
The volume of sold industrial products (goods, services) in January and February 2018 stood at UAH 402.975 billion, which is 16.3% more than in January and February 2017, in particular the volume sold abroad was worth UAH 108.704 billion (a decrease of 26.48%), the State Statistics Service has reported.
According to the agency, in January and February 2018 compared to January and February 2017 the index of turnover of sold production in mining and quarrying grew by 23%, in processing industry by 14.6%.
In the total volume of sales, the largest share accounted for the supply of electricity, gas, steam and air conditioning (25.5%), metallurgical production (18.6%), production of cast iron, steel and ferroalloys (14.5%), mining and quarrying (14.2%) and processing industry (59.4%).
As reported, in 2017 industrial products (goods, services) worth UAH 2.153 trillion were sold, which is 21.9% more than in 2016.
The status of Ayurvedic medications from the point of legislation should be approved for their popularization in Ukraine, in particular, it should be determined if they are medicines, participants of a roundtable held at Interfax-Ukraine on Tuesday said. President of the Indian Pharmaceutical Manufacturers’ Association (IPMA) Dr. Ramanan Unni Parambath Menon said that at present, Indian Ministry of Yoga and Ayurveda (the Ministry of AYUSH) is attempting to make regulatory agencies of different countries to recognize Ayurvedic medications. “We want that Ayurvedic medications are registered as medications of alternative medicine. We are working on making Ukrainian regulatory agencies to recognize them,” he said.
In turn, President of Euro Lifecare Sanjeev Bhagat said that according to Ukrainian regulatory requirements, currently Ayurvedic medications could be registered only as nutritional supplements, which moderates trust of consumers.
“India has a separate pharmacopoeia for Ayurvedic medications. They are considered medicines, not nutritional supplements. However, Ukraine does not have alternative medicine and the country does not have special rules for these medications, and they are registered as nutritional supplements. This has a lot of drawbacks,” he said.
Bhagat said that when Ayurvedic medications are imported as nutritional supplements 20% VAT and 10% duty are imposed on them, while 7% VAT is imposed on medicines. “The price of the medications becomes higher, and it is not interesting for us to bring them,” he said.
Commercial Director of Organosyn Ltd. Svitlana Sichkar said that Ayurvedic medications are often registered in Ukraine as nutritional supplements. “The situation is somewhat double: on the one hand, registration is not required [for Ayuvedic drugs] and this saves time for the company. We can immediately represent the product in the market. At the same time, there is a certain distrust of nutritional supplements and there are restrictions on indications for their prescription. These drugs cannot be included in some mandatory medication protocols,” she said.
At the same time, Sichkar said that recently the trust of doctors in Ayurvedic drugs is growing: “Doctors are ready to prescribe these drugs if they see that the product is really effective.”
The grain terminal of Cargill and MV Cargo in Yuzhny port (Odesa region), whose capacity will total 5 million tonnes of grain per year, and the cost is estimated at $150 million, could by the end of 2018 transfer the first one million tonnes of grain, the co-owner and CEO of TIS Port, Andriy Stavnitser, has said. “We plan to launch the MV Cargo terminal in summer and I hope we will handle one million tonnes by the end of the year. I will be superstitious, I will not voice the date. But we are doing everything to launch it in summer. Whether it will be June or August I cannot say: construction in Ukrainian realities is a thing not always predictable,” he said in an interview with Interfax-Ukraine.
According to Stavnitser, from the point of view of construction itself, everything is proceeding well: the dredging has been completed, the filling of the pier with sand is being carried out, and then hydraulic engineering construction will begin.
As reported, Cargill (the United States), the Ukrainian Sea Ports Authority and MV Cargo LLC in August 2015 signed a tripartite memorandum of intent to implement an investment project in Yuzhny port. Its launch was scheduled for 2017.
TIS Port (a stevedoring company operating in Yuzhny port, Odesa region) intends to attract new container lines and services to cooperation. “We are developing the TIS container terminal very actively recently, and we expect to launch many new projects and attract partners this year. The main competitive advantage of our container terminal is railway projects. We are now sending block trains directly from TIS to Dnipro and Kyiv, plan to send them to new cities soon,” TIS Port co-owner and director general Andriy Stavnitser said in an interview with Interfax-Ukraine, commenting on cooperation with the largest operator Maersk.
Stavnitser noted that the TIS terminal has five cranes in one line, which directly influences the processing speed.
“There is no such equipment in any port. We have bought two of these cranes recently. We do not have any additional infrastructure fees, we quickly accept ships, there is a unique service for grain stuffing. The main thing is that we are working hard to develop container transshipment, and we are confident that new services and lines will come to us,” he concluded.
ATTRACTING, COMPANY TIS PORT, CONTAINER SERVICES, LINES, STEVEDORING
