Business news from Ukraine

TRADE TURNOVER BETWEEN UKRAINE, KAZAKHSTAN INCREASED BY 15-25% SINCE YEAR START – UKRAINIAN AMBASSADOR

ASTANA. June 12 (Interfax-Ukraine) – Since the beginning of 2017, mutual trade between Ukraine and Kazakhstan, depending on the category of goods, has shown an increase of 15-25% compared to the figures for the same period in 2016, Charge d’Affaires of Ukraine to Kazakhstan Volodymyr Dzhydzhora has said.
“Since the beginning of this year we have seen an increase of trade turnover between Ukraine and Kazakhstan over the previous year. This ranges from 15 to 24-25% in different directions,” he told journalists in Astana on Friday.
The diplomat said that in 2016 the total volume of trade in goods and services between Ukraine and Kazakhstan amounted to $926.7 million, which is 21.2% less than in 2015.
According to Dzhydzhora, such a decline in the Ukrainian-Kazakh trade turnover last year was due, in particular, to a decrease in the solvency level of the Kazakh business due to the fall in oil and gas prices, the weakening of the Ukrainian economy in connection with the fighting in Donbas and actions of the Russian Federation within the framework of its “counter-sanctions” because of which the prices for transit services increased.

CHINA’S BOCE COMPLETES PURCHASE OF 99.9% IN UBRD

KYIV. June 12 (Interfax-Ukraine) – The State Property Fund of Ukraine (SPF) and the Chinese commodity exchange Bohai Commodity Exchange (BOCE) have signed an agreement on the sale and purchase of 99.9% of the Ukrainian Bank for Reconstruction and Development (UBRD).
The SPF said on its website after the signing of the agreement on June 8, 2017 BOCE CEO Yan Dongsheng offered the fund signing a memorandum of cooperation.
“Now, when we have a bank, we will work fruitfully to help Ukraine conduct effective privatization and disseminate information about Ukrainian privatization prospects among its customers,” he said.
SPF Head Dmytro Parfenenko noted the fund is considering this project as a pilot one, after which other, equally important projects will be implemented in the framework of further cooperation.
“I am pleased that it was your company that became a partner of the fund. We made a good start for the future. Your experience is very valuable for us,” he said.
BOCE is China’s largest spot commodity exchange, founded by Chinese citizens, several state-owned companies, and the municipality of Tianjin. The exchange was founded in 2009. Its annual turnover is about $1 trillion.

EKOL UKRAINE STARTS SHIPPING TO IRAN

KYIV. June 9 (Interfax-Ukraine) – Ekol Ukraine logistics company has carried out its first transportation to Iran, the company’s press service has reported.
According to the report, the Iranian market is becoming more attractive for Ukrainian businessmen, while Ukraine feels a growing interest from Iran.
Ekol Ukraine made the first shipment to this country for a permanent customer, with whom it actively cooperates in the direction of transportation to Turkey: equipment was delivered to Tehran with the support of colleagues from Ekol Turkey.
“Today Iran looks somewhat exotic for Ekol Ukraine, because our main focus in transportation is concentrated on Turkey and the countries of the European Union. But I am sure that soon enough we will add this country to the list of our traditional routes,” Ekol Ukraine CEO Andriy Holimbovsky said.
Ekol Ukraine provides trucking services inside the country and abroad, carries out customs clearance of goods, provides storage services for goods.
Ekol started working in Ukraine in 2012.
Ekol is an integrated logistics provider, founded in 1990. It has its own distribution centers with more than 750,000 square meters of closed storage facilities in Turkey, Germany, Italy, Greece, France, Ukraine, Bosnia and Herzegovina, Romania, Hungary, Spain, Poland, the Czech Republic, Bulgaria, Iran, and Slovenia. It provides intermodal transportation services thanks to six ferries, 48 route trains and 5,500 vehicles.

UKRAINE EXPORTS ALMOST 41.7 MLN TONNES OF GRAIN SINCE START OF 2016/2017 MY

KYIV. June 9 (Interfax-Ukraine) – Ukraine since the beginning of the 2016/2017 marketing year (MY, July-June) and as of June 8, 2017 had exported 41.667 million tonnes of grain.
According to the Ministry of Agrarian Policy and Food, the country exported about 16.98 million tonnes of wheat, 5.26 million tonnes of barley, and 19.17 million tonnes of corn.
In addition, 365,500 tonnes of flour had been as of the date.
As reported, with reference to the ministry, Ukraine in the 2015/2016 MY (July-June) exported 39.487 million tonnes of grain, which is 13.5% more than in the previous season.

UKRAINE, CZECHIA AGREE TO DEVELOP COOPERATION IN ENERGY, INDUSTRY

KYIV. June 9 (Interfax-Ukraine) – Cooperation in energy saving, industry and investment are the themes for the 7th plenary session of the Ukraine-Czechia intergovernmental commission on economic, industrial and scientific cooperation on Thursday in Kyiv.
“Cooperation in the energy sphere is important for us, especially increasing the effective functioning of the gas transportation system (GTS), as well as cooperation in the energy saving sphere. Nuclear energy is also important, electricity and industry. It is also very important to cooperate in industrial development, because, as you know, this is one of the priorities of state policy for the upcoming years,” Vice Prime Minister on European Integration Ivanna Klympush-Tsintsadze.
The deputy PM said supplying spare parts for cars, repair work and helicopter maintenance were also discussed, as well as creating joint production ventures.
“We decided we’re ready to develop cooperation in developing the production of trolley bus cars,” she said.
Czech Minister of Industry and Trade Jiri Havlicek said a wide range of topics were discussed in the meeting.
“I am pleased that we talked about economic issues, industry, export development and investments. These are important issues for Ukraine and Czechia,” he said.
Havlicek invited Klympush-Tsintsadze to visit Prague next year.

UKRAINE BOOSTS CHEESE EXPORTS, IMPORTS IN FIVE MONTHS

KYIV. June 9 (Interfax-Ukraine) – Ukraine shipped 3,271 tonnes of cheese onto foreign markets in January-May, 2017, which was 22.7% higher than the same period of 2016.
The shipments increased by 48.5% in monetary terms, to $11.35 million, Ukraine’s State Fiscal Service said in its customs statistics reports.
Cheese imports in the period under review totaled 3,563 tonnes, an increase by 35.8% compared to the same period last year. The country imported products worth $15.7 million (imports in January-May 2016 were estimated at $10.7 million).
At the same time, exports of butter from Ukraine in January-May 2017 increased by 3.2 times, to 8,538 tonnes. Shipments in monetary terms amounted to almost $31.1 million against $7.4 million in January-May 2016. Butter imports in the five months fell almost 73.7%: from 658 tonnes ($ 2.13 million) to 174 tonnes ($891,000).
Exports of condensed milk and cream in January-May 2017 decreased by 5.8%, to 18,300 tonnes. Ukraine supplied condensed milk and cream to the tune of $31.8 million, which was 19.6% more than in January-May 2016 ($26.6 million).
As was reported, Ukraine in 2016 exported 8,050 tonnes of cheese, which was 25.6% less than in 2015. Imports of cheeses increased by 31.2%, to 7,060 tonnes.