Business news from Ukraine

Business news from Ukraine

UKRAINE INCREASES ELECTRICITY PRODUCTION

Electricity production in the Integrated Power System (IPS) of Ukraine in January-September 2021 grew by 6.2% (by 6.702 billion kWh) compared to the same period in 2020, to 114.375 billion kWh, according to data from the Ministry of Energy.
According to the calculations of Interfax-Ukraine, nuclear power plants (NPPs) in January-September 2021 increased electricity generation by 9.1%, to 61.946 billion kWh. In particular, production at the Zaporizhia NPP amounted to 25.382 billion kWh (a rise of 26.3% versus January-September 2020), Yuzhnoukrainsk NPP – 13 billion 237.5 million kWh (1.8% less), Rivne NPP – 14.474 billion kWh (0.5% more), Khmelnytska NPP – 8.852 billion 852.1 million kWh (0.6% more).
Thermal power plants (TPPs), as well as combined heat and power plants (CHPPs) and cogeneration plants reduced their output by 4.9%, to 33.308 billion kWh, including generating companies, TPPs increased production by 2.4%, to 26.732 billion kWh, while CHP and cogeneration plants decreased by 26.2%, to 6.575 billion kWh.
Hydro and pumped storage power plants (HPPs and PSPPs) increased production by 45.4%, to 8.139 billion kWh, while block stations decreased by 12.8%, to 1.24 billion kWh.
Electricity production by alternative sources (wind farms, solar power plants, biomass) increased by 10%, to 9.743 billion kWh.
The share of nuclear power plants in the structure of electricity production amounted to 54.2% (in January-September 2020 it was 52.7%), thermal power plants, thermal power plants and cogeneration plants – 29.1% (32.5%), hydroelectric power plants and pumped storage power plants – 7.1% (5.2%), block stations – 1.1% (1.3%), alternative sources – 8.5% (8.2%).
In September 2021, electricity production in the IPS of Ukraine grew by 4.1% (by 457.7 million kWh) compared to the same month last year, to 11.735 billion kWh.
In addition, the supply of heat energy in January-September 2021 rose by 12.1% (by 1.604 million Gcal) compared to the same period last year, to 14.833 million Gcal.

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UKRAINE PLANS TO OPEN ASIAN AND AFRICAN MARKETS FOR PORK EXPORT

The status of an ASF-positive country complicates the opening of new markets for pork exports from Ukraine, but negotiations are ongoing with a number of other countries, including South Africa, Vietnam, Hong Kong and Singapore.
The results of the meeting of representatives of the Association Pig Breeders of Ukraine with Director of the Department of International Communications of Internal and External Relations of the State Service for Food Safety and Consumer Protection Kostiantyn Paskevych were reported on the organization’s website on Wednesday.
According to the association, five countries, including China and South Korea, have suspended negotiations on the admission of domestic pig products to their markets due to the spread of African swine fever (ASF) in Ukraine, but negotiations are ongoing with a number of other countries.
“The State Service for Food Safety and Consumer Protection sent a request to open the South African market for the export of pig meat, so now we are waiting for a response and a list of their accreditation requirements. The corresponding requirements from Vietnam have already been worked out, so at the end of June they were sent for further consideration and assessment. Negotiations with Hong Kong are at the same stage,” the association said, citing Paskevych’s data.
The association said that since March 2021, the Ukrainian side has been working on accreditation requirements for the supply of chilled and frozen pork to Singapore. At the same time, the countries agreed on the export of canned pork products from Ukraine.

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UKRAINIAN INSURANCE GROUP INCREASES COLLECTION OF NET PREMIUMS

PrJSC Ukrainian Insurance Group (Kyiv) in January-September 2021 collected UAH 1.072 billion in net premiums, which is 8% more than in the same period in 2020.
According to the company’s report, posted in the information disclosure system of the National Securities and Stock Market Commission, its gross premiums for this period increased by 22.3% – to UAH 1.673 billion. Some UAH 620.292 million (more by 73.4%) was transferred to reinsurance.
For the nine months the company paid out UAH 451.034 million, which is 1.2% more than in the same period a year earlier.
Administrative expenses of the company amounted to UAH 75.370 million (more by 23%), sales expenses – UAH 491.644 million (more by 16.6%)
The pretax financial result amounted to UAH 60.896 million, which is almost three times less than in the nine months of 2020. Net profit amounted to UAH 7.861 million against UAH 105.932 million profit for the same period a year earlier.
Ukrainian Insurance Group is a company with 100% foreign capital. It has been working in the Ukrainian conventional insurance market since 2000. It is part of one of the world’s largest insurance groups, the market leader in Central and Eastern Europe – Vienna Insurance.

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MORGAN STANLEY ESTIMATES UKRAINE’S GDP GROWTH AT 3.4%

Analysts from Morgan Stanley have maintained an estimate of Ukraine’s GDP growth in 2021 at 3.4%, and 4.2% in 2022, according to the forecast materials available to the Interfax-Ukraine agency.
According to the forecast, inflation in Ukraine will decrease to 9.5% by the end of 2021 and to 5.7% by the end of 2022.
Morgan Stanley experts also forecast a current account deficit of 0.5% of GDP in 2021 and 2.5% in 2022.
They expect that the International Monetary Fund’s Stand-By Arrangement is likely to be extended by six months – until the end of June 2022.

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SWEDEN AND UKRAINE TO BOOST COOPERATION IN ENERGY, ECOLOGY, SECURITY

Prime Minister of Ukraine Denys Shmyhal met with Prime Minister of Sweden Stefan Leuven on October 13 as part of a working trip to the Kingdom of Sweden, where the parties discussed the development of bilateral relations between the countries.
The press service of the government said on Wednesday evening that Shmyhal expressed gratitude to the Swedish side for organizing the International Forum on Holocaust Remembrance and Combating Anti-Semitism, as well as for Sweden’s participation in the inaugural summit of the Crimea Platform in August this year.
He also noted the support provided by the Swedish government for the implementation of the decentralization reform and thanked for the assistance provided through the Swedish Radiation Safety Authority for Ukrainian nuclear power plants.
“Diversification of nuclear fuel sources is one of our priorities in the context of ensuring energy security. In addition, Ukraine has met all the technical conditions for joining its integrated power system to the European ENTSO-E network. For us, this will be an important step towards energy independence,” Shmyhal said.
The parties also discussed issues of cooperation in the field of waste disposal and recycling.
The head of government said that investments and an increase in investment activity can become a driver for the development of economic relations between the countries. He urged Swedish companies to continue implementing joint projects in Ukraine, in particular taking advantage of the law on the so-called “investment nannies”.
Shmyhal also said that Ukraine is ready to further develop cooperation in the field of information technology, in particular in terms of digitalization and strengthening cyber security.

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VOLUMES OF CARGO TRANSPORTATION IN JAN- AUG 2021, MLN TONS

VOLUMES OF CARGO TRANSPORTATION IN JAN- AUG 2021, MLN TONS

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