Business news from Ukraine

Business news from Ukraine

Kokhavynka Paper Mill slowed production growth to 39% in March

Kokhavynka Paper Mill (KBF, Lviv region), which produces sanitary paper products (TM Kokhavynka), increased its production by 39% in January-March this year compared to the same period in 2022, up to UAH 278.8 million, according to statistics from UkrPapir Association.

As reported, in January-February of this year, the growth of this indicator was 47% compared to the same period in 2022.

According to UkrPapir’s statistics provided to Interfax-Ukraine, in physical terms, production of the base paper for sanitary products increased by 6.4% to 10.34 thousand tons in the first quarter.

Including in March, its output increased by 10% by March 2022 (the factory practically did not stop production with the start of Russia’s full-scale aggression in Ukraine).

At the same time, the output of toilet paper in rolls in January-March increased by 9.2% (in January-February, the increase was 21.6%) to 33.48 million units, and KBF confidently retains the second place in terms of its output after Kyiv pulp and paper mill (56.54 million units), which reduced production of this product by 29% in January-February.

Kokhavynske Pulp and Paper Mill, which has been operating since 1939, produces the base paper for sanitary and hygiene products, as well as toilet paper and paper towels.

The paper machine capacity is 19 thousand tons per year, and the processing equipment capacity is 90 million rolls per year.

As reported, last year KBF produced products worth UAH 975.3 million, up 44.8% year-on-year.

Net profit, according to opendatabot, decreased by 12.7% to UAH 52.4 million, while revenue increased by 46.5% to UAH 978.9 million.

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AMCU fined state enterprise “MZU” UAH 1 mln for failure to provide information

The Antimonopoly Committee of Ukraine (AMCU) has fined state-owned enterprise Medical Procurement of Ukraine (MPU) UAH 1 million for failing to submit information to the committee.

According to the AMCU press release, such a decision was made by the AMCU administrative board on April 11.

The AMCU notes that the committee had twice sent a request for information to the state-owned enterprise, but the MZU did not provide a response “on the merits of the issues raised.

“This position of the state-owned enterprise created obstacles in performing the tasks assigned to the committee,” the antimonopoly agency stressed.

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Ukraine reduced imports of aluminum ores and concentrate by 99.98%

Ukraine in January-March this year, Ukraine reduced imports of aluminum ores and concentrate (bauxite) in physical terms by 99.98% compared to the same period last year – up to 202 tons.

According to statistics released by the State Customs Service (SCS), during this period, imports of bauxite in monetary terms decreased by 99.6% – to $164 thousand.

At the same time, imports were mainly from Guinea (100% of supplies in money terms).

Ukraine did not re-export bauxite in 1Q2023, like in 1Q2022.

As reported, Ukraine in 2022 decreased the import of aluminum ore and concentrate (bauxite) in volume terms by 81.5% compared to the previous year – up to 945.396 tons. Bauxite imports in monetary terms decreased by 79.6% to $48.166 million. Imports were mainly from Guinea (58.90% of supplies in monetary terms), Brazil (27.19%) and Ghana (7.48%).

Bauxite is an aluminum ore used as a raw material for the production of alumina, and from it, aluminum. They are also used as fluxes in steel industry.

Bauxite is imported into Ukraine by the Nikolaev Alumina Refinery (NGR), which before the war was affiliated with the United Company (UC) Russian Aluminum (RusAl, RF). Bauxite is used to produce alumina.

“RusAl in Ukraine also previously owned a stake in the Zaporozhye Aluminum Plant (ZALK), which stopped producing primary aluminum and alumina.

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Ukraine stopped exporting coke and reduced imports by 95%

Ukraine did not export coke in January-March this year, as it did in December last year, whereas in January-March 2022 it exported 2.205 thousand tons.

According to the statistics released by the State Customs Service (SCS), Ukraine imported 12.245 thousand tons of coke and semi-coke in January-March 2023, which is 94.7% less than in January-March 2022.

In monetary terms, imports fell by 94.8% to $6.051 million.

Imports came mainly from Poland (76.85% of supplies in money terms), Hungary (13.68%) and Colombia (9.47%).

As earlier reported, in 2022, Ukraine reduced the export of coke and semi-coke in volume terms by 98% compared with the previous year – up to 3.856 tons, in monetary terms by 97.6% – to $1.011 million. The main export was carried out in Hungary (42.63% of supplies in monetary terms), Georgia (37.69%) and Turkey (17.41%).

Ukraine imported 359.192 thousand tons of coke and semi-coke in 2022, down 54.5% compared to 2021. In monetary terms, imports decreased by 50.3% to $174.499 million. Imports were mainly from Russia (43.43% of supplies in monetary terms, before the war), Poland (30.07%) and the Czech Republic (13.15%).

As a result of the war, a number of mines and coke plants found themselves in territories temporarily outside Ukrainian control.

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On April 21, 2023, UkraineInvest will organize an online investment forum FIT for Ukraine

Dear media representatives!

On 21 April, UkraineInvest will hold an online investment forum FIT for Ukraine: Logistics, the purpose of which is to promote the investment needs of the logistics industry, as well as to present current analytical information and investment projects already implemented in Ukraine. The event will be held online in Ukrainian and English. Simultaneous translation will be provided during the broadcast.

About the event:

The total amount of direct damage to Ukraine’s infrastructure and logistics as a result of a full-scale invasion has risen to nearly $144 billion. This has caused major problems for business in Ukraine and around the world. However, Ukraine is gradually restarting logistics operations and rebuilding to the best international standards.

The role of the private sector in rebuilding logistics in Ukraine is important in attracting investment and the latest technologies. The opportunities for private companies are significant and can be realised through various mechanisms, including public-private partnerships, international investors and local companies.

Anyone wishing to invest in Ukraine and participate in the reconstruction of its logistics sector will receive the latest analytical data, information on available investment incentives.

Time: 16:00-18:00 (EET)

Languages: English/Ukrainian (simultaneous translation)

Speakers:

  • Rustem Umerov – Chairman of the State Property Fund of Ukraine (TBC)
  • Sergiy Tsivkach – Executive Director of UkraineInvest, Ukrainian government’s investment promotion office
  • Viktor Dovgan – Project Manager of the “Mostysky Dry Port” Industrial Park
  • Olena Voloshyna – Head of International Finance Corporation (IFC) in Ukraine
  • Andriy Dligach – EVA/VARUS Group
  • Mykhailo Sakun – Project Manager of M10 Industrial Park, Dragon Capital

Organized by:

UkraineInvest – Government of Ukraine Investment Promotion Office.

Since 2020 we:

  • supported attraction, and unlocked over $ 1,5 billion in FDIs
  • provided 4000+ consultations to investors (legal, financial, analytical, etc)
  • resolved over 150 issues of investors operating in Ukraine
  • developed over 80 legislative proposals to improve the investment climate
  • ranked in the top 5 of best IPA’s out of 23 CEE countries, 2020-2022

Accreditation for the media:

shorturl.at/anAJX

To become a media partner, please call: +38063-023-11-93

USAID to provide Ukraine with nearly UAH 400 mln to develop grain and oilseeds processing

The USAID Agro program will allocate UAH 367 million to co-finance projects to support processing of grains, oilseeds and pulses in Ukraine, the press service of the Ministry of Agrarian Policy reported.
“This will create the potential for the production of products with added value and ensure the expansion of channels and markets. Consequently, qualitatively and quantitatively improve the food security of Ukraine and the world,” the report stresses.
According to USAID, the goal of the project is to improve small agricultural producers’ access to capacities for processing and refining grains, oilseeds and pulses into food, feed, industrial products and biofuel.
As it is specified, it is planned to allocate up to 367 million hryvnia within 20 projects with the term of realization up to two years. It is assumed that the amount of each sub-grant will be from 10 to 36 million UAH and will be discussed individually.
“It is expected that under the projects executors – Ukrainian entities – will provide MSME with expert, technical and financial support to expand the processing of grain, oilseeds and pulses. Activities will be aimed primarily at expanding existing processing facilities, which will lead to increased production of higher value-added cereal products for domestic consumption and export,” the report summarizes.

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