Business news from Ukraine

Business news from Ukraine

UKRAINE PLANS TO BUYS 227 BUSES, 153 TROLLEYBUSES UNDER EIB PROJECT IN 2019

Ukraine under the Ukraine Urban Public Transport Project of the European Investment Bank (EIB) plans to buy 227 buses, 153 trolleybuses, 56 trams and 35 subway wagons in 2019, according to a posting on the website of the Infrastructure Ministry.
“The Infrastructure Ministry together with the Finance Ministry and local governments (11 cities) are implementing the EIB project, which main goals are to implement subprojects in the cities of Ukraine to develop environmentally friendly and socially significant transport,” the ministry said.
The project provides for the renewal of the fleet of buses, trolleybuses, trams, metro cars, construction and reconstruction of tram and trolleybus lines, funicular, replacement of traction substations, introduction of modern fare collection systems and information systems using borrowed funds from the EIB and EBRD.
According to the Infrastructure Ministry, in particular, in 2018, under the project 167 trolleybuses were purchased, including 47 units for Odesa, 40 units for Kremenchuk, 23 trolleybuses delivered to Dnipro, 10 to Kremenchuk, and eight – to Kryvy Rih.
Thanks to these purchases, taking into account the trolleybus fleet in these cities as of January 1, 2018, Odesa has now updated its fleet by 28%, Kremenchuk – by 70%, Dnipro – by 17%, Rivne and Kryvy Rih – by 10% each.
As reported, in April 2017, Ukraine’s Verkhovna Rada passed a bill ratifying the financial agreement between Ukraine and the EIB under the Ukraine Urban Public Transport Project.
The approximate total cost of the project is EUR 400 million.

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CAPACITIES OF ODESA PORT-SIDE PLANT COULD BE USED FOR GRAIN HANDLING – OFFICIAL

The supervisory board of Odesa Port-Side Plant (Yuzhne, Odesa region) next week will consider the possibility of launching grain handling at the plant’s facilities, First Deputy Board Chairman Mykola Schurikov has said on the MIG local TV channel.
“Today, at the plant’s facilities, it is possible, among other things, to transship the grain. We have the facilities and a huge resource to do it. This will give an opportunity to engage the team,” he said.
According to him, the grain transshipment could be done on the basis of urea transshipment or use for this new activity 3.2 hectares of land, available at the company, with the possible construction of a silo.
Schurikov said that the expanded meeting of the supervisory board will be held in Kyiv together with the trade union committee of the enterprise in connection with the critical situation that is seen at the plant.
He said that the main issue that will be addressed at the meeting is how to preserve chemical production and the staff, whose number has already decreased from 4,000 to over 2,800.

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UKRZALIZNYTSIA CONFIRMS LAUNCH OF PLATFORM FOR RAILWAY EXPRESS TRAIN TO BORYSPIL AIRPORT IN VYDUBYCHI IN 2019

JSC Ukrzaliznytsia plans to reconstruct a railway stations located in Vydubychi and integrate the new platform for the railway express train running from the Kyiv Pasazhyrsky station through Darnytsia to Boryspil International Airport.
“The Kyiv Boryspil Express stop on Vydubychi will appear this year after the reconstruction of the railway station,” acting Board Chairman of Ukrzaliznytsia Yevhen Kravtsov said on the company’s website.
The company has set itself the task of creating a single logistic space by integrating the Vydubychi railway station with the subway and bus station, for which it is planned to build a new high platform for stopping the Kyiv Boryspil Express train, equip crossings, reconstruct two existing platforms and build a shed over them.
“Pre-design works are underway and three options for the reconstruction of this transport hub are being considered, where various types of transport will be integrated. The optimal one will be chosen in the near future,” Kravtsov said.
He also said that all reconstruction options imply high standards of security and modern elements of logistics, including for people with limited mobility.

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IVANO-FRANKIVSK COULD RECEIVE 12 LARGE TURKISH BUSES GULERYUR COBRA, KREMENCHUK 10 BELARUSIAN MAZ BUSES

Suchasni Vantazhivky LLC (Modern Trucks, Kyiv), part of the large Ukrainian automotive holding AVTEK, has won a tender to supply 12 low-deck large city buses to municipal enterprise Electroautotrans (Ivano-Frankivsk), offering Guleryur Cobra GD 272 LF buses made in Turkey for UAH 65.995 million with the expected cost of UAH 70.8 million.
According to the results of the auction in the ProZorro e-procurement system held on Thursday, the initial offer of the winner was UAH 70.632 million. Auto-Region LLC (Kyiv) and Autograd-2007 LLC (Cherkasy) also took part in the auction. The price was cut during bidding.
According to the technical conditions, low-deck buses of at least 11.9 meters long are to be made no earlier 2018, meet the Euro 5 emission standard and capable to carry 94 passengers with 26 seats.
The buses are to be supplied before March 1, 2019.
Ukrainian manufacturers did not submit bids for the auction.
According to information on the ProZorro platform, Alfateks, a large supplier of trucks and special-purpose vehicles, won the auction to supply 10 large buses to Kremenchuk, offering MAZ 103 buses for UAH 57.975 million with the expected cost of UAH 58 million.
According to the conditions of the tender, the buses are to be supplied to Kremenchuk road transport enterprise before December 20, 2019.
Bas Motor LLC (the division of the Bogdan Corporation) offered Bogdan A 70132 buses for UAH 58 million and did not reduce the price during the auction.

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UKRAINE INCREASES ROLLED STEEL BY 1%, CAST IRON BY 2%, CUT STEEL OUTPUT BY 2% IN 2018

Ukrainian metal and mining enterprises in 2018 tentatively increased rolled steel output by 1% year-over-year, to 18.446 million tonnes.
According to the Ukrmetallurgprom association, steel smelting fell by 2%, to 21.06 million tonnes, and cast iron output increased by 2%, to 20.531 million tonnes.
The production figures of enterprises in 2018 were higher in comparison with the same period in 2017 not taking into account two months of work of the enterprises in the Ukrainian government’s uncontrolled area: rolled steel output grew by 3%, steel – by 0.3%, and cast iron – by 4%.
In December 2018, Ukrainian metal companies produced 1.803 million tonnes of cast iron (110% to the previous month), 1.845 million tonnes of steel (111%), and 1.603 million tonnes of rolled steel (108%).
As reported, Ukrainian metal and mining enterprises in 2017, taking into account the two months of operation of the enterprises on the government uncontrolled areas, reduced steel output by 12% year-over-year, to 21.284 million tonnes, rolled steel – by 14%, to 18.439 million tonnes, and cast iron – by 15%, to 20.035 million tonnes,
In 2016, Ukraine boosted steel output by 6% year-over-year, to 24.2 million tonnes, cast iron – by 8%, to 23.6 million tonnes, and rolled steel – by 6%, to 21.4 million tonnes.

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UKRAINE’S ECONOMY MINISTRY RAISES ALMOST $1 BLN OF INTL TECHNICAL ASSISTANCE IN 2018

Ukraine’s Economic Development and Trade Ministry attracted $953.2 million of international technical assistance, which is 50% more than in 2017.
“These funds will be spent on the implementation of 264 new projects that are included in the medium-term Government Action Plan,” the ministry’s press service reported on its Facebook page on Thursday evening.
The press service also said that the ministry was able to attract $675 million from organizations of the UN system for the period 2018-2022.
“These funds will be used to implement projects in the areas of sustainable economic development, environment and employment, to ensure equal access to quality and inclusive services and social protection, and other things,” the ministry said.
In addition, for the years 2019-2024, the European Union has provided financial assistance to Ukraine in the amount of EUR 272.5 million. Of these, EUR 104 million will be sent to support energy efficiency, EUR 55,500 – to support public financial management for Ukraine, EUR 37 million – to increase the capacity of public authorities of Ukraine to implement the Ukraine-EU Association Agreement and the Deep and Comprehensive Free Trade Area (DCFTA) Agreement, EUR 58 million – to increase the effectiveness of reforms in the field of vocational education in Ukraine.
The U.S. government has provided Ukraine with $78 million in additional technical assistance.
“The countries and organizations that provide the most assistance to Ukraine are: the EU, the United States, Germany, Norway, UNOPS [United Nations Office for Project Services], the European Bank for Reconstruction and Development (EBRD), the European Investment Bank (EIB), UN and others,” the Economic Development and Trade Ministry said.

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