Business news from Ukraine

US to provide $2.3 bln in military aid to Ukraine

The United States will soon announce an additional $2.3 billion in security assistance to Ukraine, which will include anti-tank weapons, interceptors and ammunition for the Patriot and other air defense systems, U.S. Secretary of Defense Lloyd J. Austin III said.
“I am proud that the United States will soon announce more than $2.3 billion in new security assistance to Ukraine. This package will provide more air defense interceptors, anti-tank weapons, and other critical munitions from U.S. stockpiles, within the President’s authority…and will be delivered to Ukraine,” the Pentagon press service quoted Austin as saying before the talks with Ukrainian Defense Minister Rustem Umerov.
The Defense Minister noted that the announced aid package will also allow the United States to purchase more Patriot and NASAMS air defense interceptors, which will be delivered in an accelerated time frame due to a change in the order of deliveries for some foreign military sales.
In addition, the Pentagon chief noted that ahead of next week’s NATO summit in Washington, the United States will take “steps to build a bridge to Ukraine’s NATO membership.”
He added that he looked forward to “the opportunity to discuss further ways to meet Ukraine’s urgent security needs and build a future force capable of withstanding Russian aggression.”
“Ukraine does not stand alone, and the United States will never waver in its support. Together with our 50 allies and partners, we will continue to provide the critical capabilities Ukraine needs to repel Russian aggression today and deter it tomorrow,” Austin assured.
In turn, Umerov thanked Austin for his comprehensive assistance and support.
“Thanks to this support, we have stopped Russia, stopped its aggression against people, our values and national interests. And we look forward to discussing with you how we could continue our partnership and become a NATO member in the future. I hope that Ukraine will soon receive an invitation. But for now, we will discuss how to increase our capabilities and plans,” Umerov said.
Ukraine’s President Volodymyr Zelenskyy said on Sunday that Russia had dropped more than 800 guided aerial bombs on Ukraine in the past week alone. He called on the leaders of the countries to ease restrictions on the use of Western weapons to strike military targets in Russia. In particular, he said that Ukraine needs “the necessary means to destroy the carriers of these bombs, including Russian warplanes, wherever they are.”

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Ukraine and Singapore agree to develop food trade

The State Service of Ukraine for Food Safety and Consumer Protection (SSUFSCP) and the Food Agency of the Republic of Singapore have signed a Memorandum of Understanding on cooperation in the field of food safety to facilitate mutual trade in imports, exports and re-exports, the press service of the Ukrainian agency reports.
According to the report, the parties also intend to promote the expansion of bilateral cooperation in the field of control, prevention and eradication of animal diseases in accordance with the Terrestrial Animal Health Code of the World Organization for Animal Health (OIE).
“The State Service of Ukraine on Food Safety and Consumer Protection continues to work towards expanding the sales of Ukrainian products in the international arena. And the memorandum between the competent authorities of Ukraine and Singapore is one of the steps to make even more different categories of Ukrainian food available in Asian markets. Currently, there are 5 markets in Singapore, and we are not stopping there,” commented the head of the department, Serhiy Tkachuk.

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Harvest volumes of grains and pulses, mln tons

Harvest volumes of grains and pulses, mln tons

Source: Open4Business.com.ua and experts.news

Ukraine and Norway extend “transport visa-free regime” until end of September

Ukraine and Norway have agreed to allow Ukrainian carriers to carry out transportation without permits until September 30, 2024, the press service of the Ministry of Community Development, Territories and Infrastructure (Ministry of Reconstruction) reports.
In August 2024, a meeting of the specialized commission will be held to discuss the extension of the “transport visa-free regime” with Norway for a longer period, Deputy Minister of Communities, Territories and Infrastructure of Ukraine Serhiy Derkach wrote on Facebook on Wednesday.
“Our goal and task is to ensure that Ukrainian carriers can carry out transportation without permits to as many countries as possible. Currently, we have agreed with Norway to extend the previous agreement, and we expect that the term of the “transport visa-free regime” will be extended soon,” Derkach emphasized.
According to him, the liberalization of transportation will help Ukraine not only to increase the volume of cargo transportation, but also to integrate into the European and global transportation system.
Liberalization of freight transportation is possible for vehicles of Euro 5 and higher environmental standards. Drivers must have a certificate confirming the environmental class of the truck when performing transportation on board, the deputy minister noted.
The “transport visa-free regime” with Norway expired on June 30, 2024, after a liberal regime for carriers had been in effect for a year since August 2023.
Ukrainian carriers also have access to “transport visa-free travel” with 37 countries, including the European Union. Over the past year, in addition to Norway, the Ministry of Communities, Territories and Infrastructure of Ukraine has managed to agree on the liberalization of freight transportation with North Macedonia, Turkey, Moldova, Georgia and Montenegro, the Ministry of Reconstruction noted.

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Ukraine has reduced exports to EU by 9.7%

In January-June 2024, Ukraine exported $10.97 billion worth of goods to the European Union, which is 9.7% less than in the first half of 2023, Deputy Minister of Economy and Trade Representative of Ukraine Taras Kachka said.
“This is an obvious correlation of transportation routes. Exports to the EU decreased the most to neighboring countries – to Poland by 25.7%, to Slovakia by 21.3%, to Hungary by 67.2%, and to Romania by 50.2%. On the other hand, exports to Spain (81.1%), Italy (24.7%), and the Netherlands (22.4%) increased significantly,” he wrote on Facebook.
Kachka pointed out that this correlation makes it possible to clearly see trade with the EU without forced transit to third countries.
“This will allow us to resolve a lot of problems that have accumulated in relations with neighboring countries,” he suggested.
The Ukrainian trade representative emphasized that the existing problems show that in 2022-2024 Ukraine has significantly narrowed the range of “sensitive” goods in trade. Before the war, these included steel, which was subject to trade protection, and 36 categories of agricultural products that were subject to temporary liberalization, or quotas.
He reminded that under the current phase of autonomous trade measures, the number of such sensitive products has been reduced to seven: poultry, eggs, sugar, honey, corn, oats, and cereals.
Commenting on the European Commission’s quotas on Ukrainian sugar and eggs, Kachka noted that active exports from Ukraine have reached certain thresholds.
“If the sugar trade with the EU is suspended to normalize trade in accordance with the decision of the Ukrainian side, the export of eggs will continue. We expect that the general EU quota within the WTO will apply to Ukrainian products and a reduced duty of EUR15.2 per 100 kg (quota 09.0154) will be applied,” he wrote, adding that all these nuances have been discussed with both the EU and the market.
The Ukrainian trade representative emphasized that Ukraine’s common goal is to resolve all sensitive issues with the EU and define clear parameters of trade under the Association Agreement by June 5, 2025.

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Ukraine has reduced exports to EU by 9.7%

In January-June 2024, Ukraine exported $10.97 billion worth of goods to the European Union, which is 9.7% less than in the first half of 2023, Deputy Minister of Economy and Trade Representative of Ukraine Taras Kachka said.
“This is an obvious correlation of transportation routes. Exports to the EU decreased the most to neighboring countries – to Poland by 25.7%, to Slovakia by 21.3%, to Hungary by 67.2%, and to Romania by 50.2%. On the other hand, exports to Spain (81.1%), Italy (24.7%), and the Netherlands (22.4%) increased significantly,” he wrote on Facebook.
Kachka pointed out that this correlation makes it possible to clearly see trade with the EU without forced transit to third countries.
“This will allow us to resolve a lot of problems that have accumulated in relations with neighboring countries,” he suggested.
The Ukrainian trade representative emphasized that the existing problems show that in 2022-2024 Ukraine has significantly narrowed the range of “sensitive” goods in trade. Before the war, these included steel, which was subject to trade protection, and 36 categories of agricultural products that were subject to temporary liberalization, or quotas.
He reminded that under the current phase of autonomous trade measures, the number of such sensitive products has been reduced to seven: poultry, eggs, sugar, honey, corn, oats, and cereals.
Commenting on the European Commission’s quotas on Ukrainian sugar and eggs, Kachka noted that active exports from Ukraine have reached certain thresholds.
“If the sugar trade with the EU is suspended to normalize trade in accordance with the decision of the Ukrainian side, the export of eggs will continue. We expect that the general EU quota within the WTO will apply to Ukrainian products and a reduced duty of EUR15.2 per 100 kg (quota 09.0154) will be applied,” he wrote, adding that all these nuances have been discussed with both the EU and the market.
The Ukrainian trade representative emphasized that Ukraine’s common goal is to resolve all sensitive issues with the EU and define clear parameters of trade under the Association Agreement by June 5, 2025.

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