Business news from Ukraine

Business news from Ukraine

UKRAINE BANS IMPORTS OF RUSSIAN CEMENT, PLYWOOD

The Ukrainian government has broadened its list of banned Russian commodities to include Portland, alumina, blast furnace, sulfate resistant, and similar types of neat cement, both dyed and non-dyed, ready-to-use or clinker, as well as plywood, veneered boards, and similar plywood materials.
The decision was made at a government meeting on Wednesday.
“It is prohibited to import into Ukraine such groups of Russian commodities as industrial goods, mineral fertilizers, agricultural products, and transportation vehicles, including cement and plywood,” the Ukrainian First Deputy Prime Minister and Economic Development and Trade Minister, Stepan Kubiv, said presenting the resolution.
According to the Ministry of Economic Development and Trade, Ukraine imported almost $17 million worth of cement products from Russia in 2018, while plywood imports amounted to $19.7 million over that period.

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OLKOM PLANS TO SUPPLY FIRST BATCH OF GOODS TO POLAND

The Olkom Group plans in autumn 2019 to supply a first batch of goods (margarine spread) to Poland, Board Chairman of PrJSC Kyiv Margarine Plant, which is part of the group, Yuriy Yevenko has said.
“We will start trial deliveries to Europe this season – in September. Now we are negotiating with one Polish company. However, they want products under their own trademark, so we will not export under our own trademark yet. The volume of the first delivery is 40 tonnes: this is enough so that they put the products on the shelves of supermarkets. We plan to increase the share of direct exports to 10% of the total production within three to five years,” Yevenko told Interfax-Ukraine.
According to him, the company increased production by 75% in January-March 2019 (mainly thanks to b2b products), and by the end of the year it plans to double production in monetary terms.
“Last year we earned about UAH 600 million of revenue, and this year we set a goal to earn UAH 1.2 billion,” he said.
He added that in 2018, the company produced about 40,000 tonnes of products, of which 23,000 tonnes were tolling services for oil refining.
Over 2018-2019, company has invested about $1 million in boosting the production capacity, and is currently in talks with the European Bank for Reconstruction and Development (EBRD), International Finance Corporation (IFC) and two investment funds.
At the same time, according to Yevenko, in three to five years, Olkom should complete the repayment on loans attracted about 10 years ago and consider expanding production outside Kyiv, but the company does not intend to leave the site in Kyiv.

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THE WORLD MEDIEVAL COMBAT CHAMPIONSHIP WILL TAKE PLACE NEAR KYIV

From May, 16 till May, 19 in the «Kyivan Rus Park» the World Medieval Combat Championship IMCF (within the Medieval Combat Festival) will take place.
Over 1000 fighters from about 30 countries all over the world will gather on the big tilting-yard of Ancient Kyiv to fight for the title of the world champions.
The sportsmen will put on heavy knight armor, will take in their hands the medieval weapon made according to the historical samples and will face each other in real medieval battles. During four days it will be possible to see single and group fights and even the women`s duels. Every evening the guests will be awaited by buhurts – mass fights, the largest of which will take place on Saturday – up to 500 against 500 warriors.
These are not staged fights, here everything is for real!
In between the fights an entertaining program with equestrian performances, flash mobs, games and master-classes will be waiting for the guests. And in the evening – firing flaming kernels from the Trebuchet, and on Saturday– also a fire show. On Sunday it will be possible to see the most intriguing part of the Festival – the awarding of the winners.
The ticket price to the Medieval Combat Festival:
• for pensioners and students – 150 UAH.,
• for schoolchildren – 100 UAH.,
• for preschool children – for free,
• a full adult ticket:
• for 1 day – 300 UAH
• for 2 days – 400 UAH
• for 3-4 days – 500 UAH
Ancient Kyiv opens at 10:00.
Ancient Kyiv in the «Kyivan Rus Park» is located in Kyiv region, Obukhiv district, the vill. Kopachiv.
Route taxis leave from Kyiv from the «Vydybitchi» metro station.
Details on the website www.parkkyivrus.com
The Interfax subscribers can save money with the “openbusiness-20” promo code for a 20%-discount for a full price adult ticket to the Principality of Kyivan Rus:
– by previous order by tel.: +38 044 461-99-37, +38 050 385-20-35
– or at the cash desk at the entrance to the «Kyivan Rus Park».

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VACANCY OF SHOPPING CENTERS IN KYIV FALLS TO 2.8% IN Q1

The share of vacant space on the shopping centers market in Kyiv in January-March 2019 fell by 0.2 percentage points, to 2.8%, according to a study of CBRE Ukraine (Kyiv). “Despite the commissioning of new facilities, the average vacancy rate decreased by 0.2 percentage points from the beginning of the year and amounted to 2.8% of vacant premises,” the company said in the study.
According to the company, in January-March this year, rents for the best retail premises increased 7-16% and ranged from $80-110 per sq. m. a month. At the same time for other retail premises, the rates remained unchanged, at around $42-60 per sq. m. a month.
The volume of retail turnover in Kyiv in January-February 2019 (the latest available data) increased 6.9%, with a slowdown in consumer price index growth from 8.8% in February to 8.6% in March.
During this period new brands entered the retail real estate market, including Decathlon in Retail Park Petrivka, Claudie Pierlot and Weill in the shopping center Gulliver and Missha in the shopping center Lavina Mall. A new supply of shopping centers was presented by the Oasis shopping center and the Smart Plaza Obolon shopping center, which led to an increase in the total supply by 2.1%, to 1.13 million sq.m.

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FAO PREDICTS GRAIN HARVEST IN UKRAINE AT 65.3 MLN TONNES

The Food and Agriculture Organization of the United Nations (FAO) predicts that grain harvest in Ukraine in 2019 will be 65.3 million tonnes, which is 5.6% lower than in 2018.
According to the May report, FAO forecasts an increase in wheat production in Ukraine in 2019 by 7.7%, to 26.5 million tonnes and a decrease in corn production by 19%, to 29 million tonnes.
Wheat exports in 2019/20 agricultural year (July-June) will decrease compared to the previous agri-year 0.3%, to 17 million tonnes, corn by 1.2%, to 21 million tonnes, and barley by 0.3%, 4.2 million tonnes.
According to the Ministry of Agricultural Policy and Food, Ukraine since the beginning of the 2018/2019 agri-year as of May 13, 2019 exported 43.77 million tonnes of grain and leguminous plants, which is 24.5% more than on the same date of the previous agri-year.
Grain exports in 2018/2019 agri-year, according to the estimates of the ministry, are projected to be 49 million tonnes.

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HVIZD-MP INTENDS TO BUILD 9 MW WIND FARM IN UKRAINE

Hvizd-MP LLC (Ivano-Frankivsk region) intends to build a wind power station with a capacity of 9 MW in Nadvirna district of Ivano-Frankivsk region.
Information on the developed project was posted in the single register of environmental impact assessment.
In January 2019 Nadvirna District State Administration approved urban planning conditions and restrictions for the project implementation on a site of 0.09 hectares.
Within the framework of the project, it is planned to install three modern wind electrical turbines with a capacity of 3 MW each. The planned height of the tower is 80-140 meters.
In addition, it is planned to build a 110 kW underground power grid with a length of about 3.5 km. Electricity generated at the wind power station will be transported to the 35 kV Starunia 35/10 distribution substation.

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