Business news from Ukraine

UFUTURE GROUP OF BUSINESSMAN VASYL KHMELNYTSKY PLANS TO ATTRACT UP TO $150 MLN INVESTMENT TO BILA TSERKVA 2 INDUSTRIAL PARK

The UFuture Group of businessman Vasyl Khmelnytsky plans to attract around $150 million of investment in the Bila Tserkva 2 industrial park registered by the Economic Development and Trade Ministry last week, creating a food industry cluster on its territory, Director of Bila Tserkva industrial park Volodymyr Khmurych has said. “But this [the amount of investment] is no more than forecasts. It is difficult to predict which customer will enter,” he told the Interfax-Ukraine, commenting on the need to create a second industrial park in the territory of the Shakrivka Village Council of Bila Tserkva district, where in April 2018 the first Bila Tserkva industrial park of the UFuture group was registered.
According to Khmurych, the decision to create a second park was dictated by the interest of food industry companies.
“We see the intentions of food processing companies. Today, two memorandums have already been signed, and we want to place these clients separately in the food cluster, taking into account the fact that they have special requirements for the sanitary zone and environmental requirements. And since we have a vacant land parcel, we have decided create a new industrial park on it,” he said.
As reported, the first Bila Tserkva industrial park in the territory of the Shakrivka Village Council was registered by the Economic Development and Trade Ministry in April 2018, the construction of the first plant for the production of Plank Electrotechnic electrical installation systems is currently being completed on its territory.
Khmurych said that if the main focus of the second park is the food industry, then the first one will be focused on other industries.
“Of course, if some customers of the food industry will meet the conditions of the first park, we will not deny them, but we will offer the second one first of all,” he said.
He also said that in the first Bila Tserkva park, in addition to completing the construction of Plank Electrotechnic, the signing of an agreement with another client is at the final stage, but he did not name it.
“Activity is high, almost every day meetings with new clients are held, but projects are complex and decisions are not made quickly,” the park director said.
According to him, it is planned to attract at least $100 million of investment in both parks.
“Only for buildings: this is 10–15 hectares of 35 hectares of the park’s area. This is already $50 million, and plus equipment and other things,” Khmurych said.

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UKRAINE EXPORTS 10.173 MLN TONNES OF GRAIN SINCE START OF MARKETING YEAR 2018/2019

Ukraine since the beginning of the 2018/2019 marketing year (MY, July-June) and as of October 10 had exported 10.173 million tonnes of grain, which is 9% less than on the same date of the previous MY.
According to the Ministry of Agrarian Policy and Food, the country exported about 6.03 million tonnes of wheat, 2.23 million tonnes of barley, and 1.73 million tonnes of corn.
In addition, 52,800 tonnes of flour had been exported on the date.
As reported, with reference to the ministry, Ukraine exported 39.4 million tonnes of grain in the 2017/2018 MY. Export of grain in the 2018/2019 MY is projected to be 42 million tonnes.

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PASSENGER FLOW AT ZAPORIZHIA AIRPORT FALLS BY 13% IN SEPT

The Zaporizhia international airport in September 2018 saw a 13% fall in passenger flow year-over-year, to 36,000 people.
Director of the airport Viktor Biskupsky told Interfax-Ukraine that along with the seasonal decrease in activity, the reason for the decline in passenger traffic was the annulment of regular flights in Ukraine by Atlasjet Ukraine, the annulment of flights to Batumi and Tel-Aviv by Ukraine International Airlines (UIA), and the switch to lower capacity planes by airlines on domestic flights (in particular, by UIA).
At the same time, he said that all domestic flights from Zaporizhia are fully filled.
According to the information on the website of the Zaporizhia International Airport, on domestic flights the decline in passenger traffic was 23% (7,300 people), on international flights – 10.4% (2,400 people).
In general, in January-September-2018, the passenger traffic at the Zaporizhia airport amounted to 297,500 people, almost 19% more than last year. On domestic flights, growth was 12.7% – to almost 71,000, on international flights – by 20.9%, to 226,600.
The number of aircraft departures, according to the airport, amounted to 2,434 and increased by 16.5% over the same period last year.

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DUTCH DEVELOPMENT BANK FMO AND DILIGENT CAPITAL PARTNERS ACQUIRE SHARE IN LARGE UKRAINIAN VEGETABLE OIL PRODUCER

The Dutch Development Bank FMO and Diligent Capital Partners (DCP) jointly acquired 16% in Allseeds S.A. (Luxembourg), the holding company of a large Ukrainian vegetable oil producer and exporter – Allseeds Group.
“We needed to attract additional investments. FMO responded to the proposal and during the year we implemented the deal,” Allseeds Group CEO Viacheslav Petryshche said at a press conference in Yuzhne (Odesa region).
The deal was closed on September 19.
According to a press release from Allseeds, FMO and DCP jointly acquired shares, providing funding for the implementation of the Allseeds development strategy, which includes expanding the capacity for processing oilseeds, transshipment for the export of oils and meal and increasing added value.
As reported, the Antimonopoly Committee of Ukraine allowed the Dutch Development Bank FMO to indirectly enter the capital of Allseeds.
Allseeds Group was founded in 2010. In July 2015, the group commissioned an oil extraction plant at Yuzhny port with a capacity of processing 2,400 tonnes of sunflower seeds per day (or 1,800 tonnes of rapeseeds, or 1,500 tonnes of soybeans).

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