Business news from Ukraine

OWNER OF LARGE CARRIER IN KYIV SOYUZ-AVTO SEEKS TO START MAKING BUSES IN BILA TSERKVA

KYIV.  Feb 1 (Interfax-Ukraine) – Head and co-owner of Soyuz-Avto LLC, a large carrier in Kyiv, Yuriy Nesteruk intends to be an investor in the bus manufacturing project on the basis of Bila Tserkva Cargo Aviation Complex (Kyiv region).

According to a posting on the website of Kyiv Regional Administration, the creation of the production facilities was discussed at a meeting devoted to the development of the municipal enterprise and attraction of investment.

“We must attract investment to realize the enterprise’s potential to develop it and return both intellectual potential and workforce to our town. The municipal enterprise has a favorable logistic location and provides for development of transport infrastructure,” the press service of the administration reported, citing Chief of the executive committee of the town council Maksym Svyrsky.

He said that the enterprise has a potential for the implementation of the bus production project, as last year four trolleybuses were overhauled at its facilities.

Director of Bila Tserkva Cargo Aviation Complex Serhiy Kandaurov, today the enterprise has a serious base for developing not only the airfield, but also industrial segment.

“We are providing a restricted number of services, but we want to increase them [60% of the enterprise’s profit is from aviation activities, energy and water supply, and the rest 40% from leasing out premises],” he said.

On the territory of the enterprise there are many idle industrial sites.

“The town authorities initiated the creation of bus production facilities on the basis of our municipal enterprise, which would help to create new jobs, upgrade public transport fleet and improve the quality of transportation of residents of Bila Tserkva,” Kandaurov said.

Nesteruk said that the buses will meet European standards and technical requirements. Imported metal for bus body will be used.

Soyuz-Avto LLC is a large carrier in Kyiv. The company restores Bogdan buses at own facilities.

MALT PLANTS LOADED BY 56% IN 2016 – UKRPYVO

KYIV. Feb 1 (Interfax-Ukraine) – Malt plants made 288,000 tonnes of malt in 2016 with the total production capacity of around 510,000 tonnes, Director General of private joint-stock company Ukrpyvo Halyna Korenkova has said.

“The capacity of our malt plants is around 510,000 tonnes. We made 288,000 tonnes of malt last year,” she told reporters in Kyiv on Monday.

She said that some 148 varieties of malt were registered in the public register of varieties of plants, including 65 brewer’s varieties.

“Total barley harvest in Ukraine is around 7.5 million tonnes every year, including 2 million tonnes of brewer’s barley, while we need 800,000 tonnes of barley for 500,000 tonnes of malt,” she said.

She said that the European Union (EU) is not interested in supplies of barley from Ukraine. The duty free quota is around 350,000 tonnes.

“We export around 4.8 million tonnes [of barley a year]. Our barley, including brewer’s barley, is mainly bought by Africa and Asia,” Korenkova said.

As reported, referring to the Agricultural Policy and Food Ministry, Ukraine harvested 9.4 million tonnes of barley in 2016.

SUBSIDIARY OF ISRAELI EL AL AIRLINE TO LAUNCH DIRECT ODESA-TEL-AVIV FLIGHT

KYIV. Feb 1 (Interfax-Ukraine) – Sund’Or airline, the subsidiary of El Al airline (Israel), from June 26, 2017 will launch direct flights on the Odesa-Tel-Aviv route.

The press service of the airline reported that the flights will be serviced twice a week – on Mondays and Fridays using aircraft of the Boeing 737-800 type.

Departure from Odesa is at 09:45 and arrival to Tel-Aviv at 12:30, departure from Tel-Aviv at 05:55 and arrival to Odesa – at 08:40.

The El Al airline’s discount program applies to these flights. El Al’s Matmid Club members will receive bonuses.

TARGET FOR AREAS WITH NUT CROPS IN 2017 IS 2,500 HA – AGRICULTURE MINISTRY

KYIV. Feb 1 (Interfax-Ukraine) – Ukrainian agricultural companies plan to plant nut crops on around 2,500 ha in 2017, including 1,520 ha with walnuts, 890 ha with hazelnuts and 40 ha with almond, according to a posting on the website of Ukraine’s Agricultural Policy and Food Ministry.

A total of 5,000 ha of areas with walnuts and 600 ha with hazelnuts are in Ukraine.

“Nut production is one of the interesting segments of the Ukrainian agroindustrial sector. It generates good profits. I am glad about the idea of a pilot project to cooperate in the nut segment in Cherkasy region, the implementation of which will help to attract ATO veterans and internally displaced persons from eastern regions to nut production,” Deputy Agricultural Policy and Food Minister for European Integration Olha Trofimtseva said.

According to the ministry, in 2016 exports of nuts from Ukraine totaled 40,000 tonnes for $79.29 million and some 1,920 tonnes for $13.56 million was imported.

UKRAINE SEES INCREASE IN YIELD OF GRAIN, SUNFLOWER SEEDS, VEGETABLES – STATISTICS

KYIV. Jan 31 (Interfax-Ukraine) – Grain harvest in Ukraine in 2016 totaled 65.95 million tonnes (in clean weight), which was 9.7% up on 2016, Ukraine’s State Statistics Service reported on Tuesday.

Further, a sugar beet harvest grew by 34.3%, to 13.88 million tonnes, of sunflower seeds by 21.7%, to 13.6 million tonnes and potatoes by 4.4%, to 21.75 million tonnes. The yield of other vegetables rose by 2.2%, to 9.41 million tonnes, according to preliminary data.

The report does not cover the temporarily occupied territory of Crimea and Sevastopol, part of the Anti-Terrorist Operation zone in eastern Ukraine.

 

KYIV CITY INTENDS TO INTRODUCE E-TICKET FOR CITY TRANSPORT IN 2017

KYIV. Jan 31 (Interfax-Ukraine) – Kyiv authorities intend to introduce the electronic fare payment system for city transport in 2017, Director of the transport infrastructure department of Kyiv City Administration Serhiy Maizel has said.

“In 2017, we plan to introduce e-ticket in Kyiv. I would say that it has been introduced by 50%. It is used for high-speed tram, city trains, subway and funicular… The system we tested in 2016 [attracting Visa and Mastercard payment systems] proved that it could exist. Any person with the Kyiv resident’s card and bank cards would be able to use transport,” Maizel said at a briefing in Kyiv on Monday.

He said that soon the tender to supply equipment for overland transport will be launched.

He said that the issue of raising the fares in Kyiv after the introduction of the system has not yet discussed.

Maizel said that from 2017 the conditions of cooperation of the city with private public transport operators would change. Private carries will have to sign long-term contracts with the city and the obligatory condition of them will be the replacement of their fleet during five years.

He also said that Kyiv intends to develop the night route system. First night trips were introduced late 2016. In a month of their operations 10,000 passengers were carried on three trolleybus routes and one bus route.