Business news from Ukraine

Business news from Ukraine

KHARKIV INTERNATIONAL AIRPORT INCREASES PASSENGER TRAFFIC BY 57%

Kharkiv International Airport in February 2020 increased passenger traffic by 57% compared to the same period in 2019, to 103,400 people. According to the airport’s Facebook page, the total number of departures was 421. The most popular destinations were Sharm el-Sheikh (Egypt), Istanbul (Turkey), Boryspil (Kyiv), Krakow, Warsaw, Gdansk, Katowice, Poznan, Wroclaw (all Poland), Vienna (Austria).
As reported, the passenger flow of Kharkiv International Airport in 2019 increased by 40% compared to the same period in 2018, to 1.3 million people.
Kharkiv airport has a runway 2,500 meters long and 50 meters wide. Two passenger terminals with a capacity of 100 and 650 people are located on its territory.

NATIONAL BANK OF UKRAINE’S OFFICIAL RATES AS OF 06/03/20

National bank of Ukraine’s official rates as of 06/03/20

Source: National Bank of Ukraine

OFFICIAL RATES OF BANKING METALS FROM NATIONAL BANK AS OF MARCH 06

Official rates of banking metals from national bank as of March 06

One troy ounce=31.10 grams

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UKRAINIAN USED CAR MARKET EXCEEDS NEW CAR SALES BY 4.4 TIMES IN 2020

Ukrainians in January-February 2020 registered 61,000 imported used cars, which is almost 4.4 times higher than new car sales (14,000 cars), Ukrautoprom has reported. In January-February of 2020, the most popular passenger car among imported used cars was Volkswagen Passat with 3,585 cars registered.
Renault Megane (3,485 cars) took the second place, Skoda Octavia was in the third place with a result of 3,307 cars, then Volkswagen Golf (2,675 registrations) and Ford Focus with 2,310 registered cars.
As reported, in 2019, due to the provided legislative preferences, the primary registrations of imported used cars grew by 3.3 times from 2018, to 400,597 cars, while the new passenger cars market grew by only 14%, to 78,386 cars.

A’SPIK GROUP LAUNCHES THIRD DAIRY FARM IN UKRAINE

A’spik Group (Khmelnytsky region), a regional sugar producer, plans to expand dairy farming and increase milk production in 2020 by launching the third dairy farm of Agro Eco Milk LLC with 600 animals in the village of Irshiki (Khmelnytsky region).
The group said on Facebook that two farms of Volovikov agricultural enterprise LLC (Rivne region) and Kuzmintsy agricultural enterprise (Khmelnytsky region) produced 15,300 tonnes of milk last year.
“The average milk yield at the first enterprise last year was 35 tonnes per day, at the second 7 tonnes. The dairy cattle stock at the farms totals 1,600 and 270 cows, respectively,” A’spik Group noted.
It said that now 80% is extra-grade milk, another 10% is milk of the highest and first categories.
The core business of A’spik Group is sugar production, growing sugar beets, grain and oilseeds. According to the group, two of its plants produce about 5% of the total sugar volume in Ukraine.
A’spik Group in 2019 increased sugar production by 20% compared to 2018, to 72,000 tonnes. Of the total production, 46,000 tonnes of sugar was produced at Starokostiantynivsky sugar plant, and 26,400 tonnes at Shepetivka sugar factory.

GROSS OCCUPANCY OF OFFICES IN KYIV 17% UP

The volume of gross occupancy of office real estate in Kyiv in 2019 increased by 17% compared to 2018, to 170,000 square meters, which is a record for the past 11 years (since 2007), according to CBRE Ukraine international consulting company (Kyiv).
“The macroeconomic situation in Ukraine improved significantly in 2019, despite the political uncertainty surrounding the elections. The volume of real GDP showed a positive trend with an indicator of plus 3.3% year-on-year in 2019 (according to preliminary data from the NBU). The Business Expectations Index for the 12 months decreased by 7.9 percentage points, to 118.7 as of the fourth quarter of 2019. However, with a decrease in unemployment by 0.4 percentage points year-on-year and the rapid growth of the IT cluster (approximately more by 20% in 2019), the demand for office space continued to grow,” the report says.
According to the company, a significant share in the structure of gross absorption (44%) was made by IT and telecommunications companies (more by 4%). Companies engaged in manufacturing, industry and energy ranked second with a 25% share.
“The growth in demand by IT sector companies over the past five years is explained not only by the rapid development of industry in Ukraine, but also by the specifics of the industry companies. Most IT professionals provide services to international companies on the terms of outsourcing or out-staffing and are mainly involved in temporary projects, which determines the mobility of workers, requires flexibility in office space and expands the demand for co-working,” CBRE said.
Thus, the segment of co-working and full-service offices amounted to 12% of the gross absorption structure. The rest in the structure were represented by companies from the financial sector and banks (9%), the FMCG sector (3%) and other segments, which together accounted for 7% of the total gross absorption.

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