Business news from Ukraine

Business news from Ukraine

Peak floods in Kiev expected in 5 days

The peak of the spring floods in the capital is expected by the end of April, tentatively – on April 22, the press service of the Kiev state city administration said.
“According to the Ukrhydrometeocenter, the peak of the spring floods in Kiev is tentatively expected on April 22,” said in a message in the Telegram channel on Monday.
It is noted that in the capital there is waterlogging of the territories of the island of Muromets Park, Gidropark, Trukhanov Island, Galerny Bay, Korchevatoe, private areas in the area of Osokorki.
The water level in 2023 is 0,5-1 m higher than last year.
The main reason for the floods is the spring flooding and regular precipitation in recent times, which led to an increase in water in the rivers.
“In addition, the level of the Dnieper in Kiev has always been regulated by the cascade of Dnieper hydropower plants. Unfortunately, to date, Kakhovskaya HPP does not work in full technological mode, so the other dams are trying to adjust this situation,” – noted in the message.
According to Ukrhydrometocenter, as of 12:00 on Monday, the water level in the Dnieper is 9,359 cm (the critical level – 9,415 cm) according to the Baltic system of heights.
“There is still 50-60 cm to the critical water level. We understand that the water can reach this level, so we conduct additional training of civil protection forces, rescuers and all services that may be involved in providing assistance to residents,” notes Roman Tkachuk, director of the Department of Municipal Safety of the Kyiv City State Administration.
Cases where the consequences of flooding caused damage to property or other damage to businesses will be considered in the work of the district commissions of technogenic and environmental safety and emergencies.

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Kyivsky paper mill increases production volume by 27.2%

The volume of marketable products of Kyivsky Cardboard and Paper Mill (Obukhiv, Kyiv region), the leader of the Ukrainian industry in this indicator, in January-March 2023 amounted to UAH 1.862 billion, and it was 27.2% more than in the first quarter of 2022.

According to the statistics of the UkrPapir association, provided to Interfax-Ukraine, in this way, the mill, following the results of the quarter, moved to a significant positive dynamics in the increase in production volume (according to the results of January-February, there was a decrease by 2.6%), primarily due to low the comparative base of March 2022 – the first full month of the full-scale aggression of the Russian Federation against Ukraine.

In kind, in March 2023, the production of corrugated boxes rose by 3.7 times compared to March 2022, to 16.9 million square meters, paper and cardboard 3.6 times, to 18,600 tonnes.

With the outbreak of the full-scale war in Ukraine, the mill suspended production, but resumed it in March 2022.

Taking this into account, according to statistics, in January-March of this year, the production of corrugated boxes at the mill grew by 54.6%, to 52.34 million square meters. The output of cardboard rose by 26.2%, to 43,920 tonnes, due to the increase in the output of containerboard by 53.6%, to 36,380 tonnes, while the output of boxboard dropped by 32%, to 7,540 tonnes.

At the same time, the production of base paper for sanitary and hygienic purposes retains a downward trend, although it has slowed down – in January-March it fell by 31% to 10,220 tonnes, while the production of toilet paper in rolls fell by 29%, to 56.54 million.

The mill, despite the reduction in the production of toilet paper, retains leadership in its production in Ukraine: in general, in the first three months, the main enterprises of the industry produced 87.72 million rolls (10% less).

According to the statistics of the profile association received from industry enterprises, in total, in January-March 2023, they produced 131,560 tonnes of paper and cardboard, which is 12.4% more than in the first quarter of 2022, and 115.24 million square meters of cardboard boxes – 23.4% more.

At the same time, in March, the production of corrugated boxes grew by 2.5 times compared to March 2022 to 36.74 million square meters of paper and cardboard three times, to 44,240 tonnes.

Kyivsky Cardboard and Paper Mill is one of the largest enterprises in Europe for the production of cardboard and paper products with a staff of about 2,500 people.

Pulp Mill Holding (Austria) owns 100% of the company’s shares.

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Ukraine increases poultry exports by 20% in Q1

Ukraine in January-March this year exported 99 tonnes of pork, which is 54.7% more than in the same period last year (64 tonnes).

According to customs statistics, in monetary terms, the export of these products for the first quarter increased by 3.5 times – up to $274,000 ($78,000 in the first quarter of 2022).

Pork imports in January-March 2023 decreased by 4.3 times – to 3,162 tonnes from 13,746 tonnes, and in monetary terms, the decline was four times – to $6.291 million.

At the same time, according to customs statistics, the supply of poultry meat and offal abroad in the first quarter of 2023 increased by 20% – up to 104,121 tonnes, and in monetary terms, the growth was 3.5% – up to $180.022 million.

During this period, imports decreased in physical terms by 22.3% – to 15,482 tonnes, in monetary terms – by 28.2%, to $8.372 million.

Ukraine in 2022 reduced the supply of pork to foreign markets by 13 times – to 293 tonnes, while imports of this product amounted to 46,934 tonnes (an increase of 15.5%).

In 2022, the country reduced the export of poultry meat and offal by 10%, to 413,197 tonnes. Imports of these products decreased by 37.6% compared to 2021, to 74,746 tonnes.

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Cardboard and paper mill “Papir-Mal” in January-March increased production by 3.5 times

In January-March, cardboard and paper mill Papir-Mal (Malyn, Zhytomyr region) produced UAH 105 mln worth of products, which is almost 3.5 times more than in the first quarter of 2022. According to the statistical data of UkrPapir Association, provided to Interfax-Ukraine news agency, the growth of production was caused by the increase of output of packaging board (including corrugated paper) by 3.4 times – up to 16 thousand tons.
As reported, last year the company put into operation the second cardboard machine with a capacity of 800 m / min (twice more than the first).
In addition, in January-March there was a positive dynamics in the production of base paper for sanitary products – by 12.8% (almost 1 million tons) and toilet paper rolls – by 13%, to more than 4 million pieces, whereas in January-February there was a decrease by 21.3% and 26% respectively, compared to the prewar January-February 2022.
According to statistics, which suspended operations with the beginning of a full-scale war in Ukraine, “Papir-Mal” in March 2022 did not produce cardboard and paper, while in March this year they produced 4.54 thousand tons.
The company specializes in the production of paper sanitary products, as well as containerboard (linerboard and fluting).
According to UkrPapir, the company’s output in 2022 decreased by 4.7% against 2021 – to 247 million hryvnias.

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Average new home prices in major Chinese cities continued to rise

Average new home prices in 70 major Chinese cities rose 0.44% month-on-month in March, according to calculations by The Wall Street Journal. In February, the index increased by 0.29%.
According to official statistics, the cost of new homes fell last month in 5 cities compared to 13 in February.
On an annualized basis, average prices in 70 cities declined 1.35% compared to 1.86% in February. The number of cities that recorded a year-on-year decline fell to 51 from 54 a month earlier.
China’s real estate market has faced challenges in the past year, including a renewed rise in coronavirus infections, weakening consumer confidence and shrinking demand.
PRC authorities have taken numerous support measures to restore activity in the sector.
The People’s Bank of China (PBOC, the country’s central bank) promised to step up the implementation of differentiated housing lending policies depending on regional conditions and closely monitor changes in the housing market to improve the effectiveness of its measures.

“Ukrtransgas” starts gas injection season in preparation for next winter

Ukrtranshaz JSC, the operator of Ukraine’s underground gas storage facilities, has started the gas injection season as part of preparations for next winter, Naftogaz of Ukraine board chairman Oleksiy Chernyshov said.
“Now gas is being accumulated for the next heating season 2023/2024. Due to favorable weather conditions, the previous season of gas withdrawal from underground storage facilities was one of the shortest in Ukraine in recent years,” he wrote on his Facebook page.
Chernyshov also specifies that during the period from October 7, 2022, to mid-April 2023, 5.572 billion cubic meters of gas has been withdrawn from Ukrainian underground storage facilities.
As reported, at the beginning of March 2023, Naftohaz said in a presentation by the company to holders of defaulted Eurobonds that 13.9 billion cubic meters of natural gas was used during the heating season 2022/2023, of which 1 billion cubic meters was imported, 5.3 billion cubic meters – gas lift from UGS, and 7.6 billion cubic meters – extraction by Ukrhazvydobuvannya.
At the beginning of March 2023 there were about 10 billion cubic meters of gas in the Ukrainian underground gas storages, the NJSC sets a task to accumulate at least 15 billion cubic meters of gas in the storages by the beginning of the season 2023/2024.
The system of 12 underground gas storages of Ukrtransgas, which is 100% owned by Naftogaz of Ukraine, has a total nominal capacity of 31 billion cubic meters. m, and includes Bilche-Volytsko-Uherske UGS (17.05 billion cubic meters), Uherske (1.9 billion cubic meters), Dashavske (2.15 billion cubic meters), Oparske (1.92 billion cubic meters), Bogorodchanske (2.3 billion cubic meters), Krasnopartyzanske (2.5 billion cubic meters). The following three categories of cu.m. are currently under review: Krasnopartyzanske (1.5 bcm), Solokhivske (1.3 bcm), Olyshevske (0.31 bcm), Proletarske (1 bcm), Kehychivske (0.7 bcm), Krasnopopopivske (0.42 bcm) and Verhunske (0.4 bcm) located in the temporarily occupied territory.)

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