Business news from Ukraine

ENERGOMASHSPETSSTAL TO SUPPLY LARGE INGOT BATCH TO SPAIN’S EUSKAL FORGING BY MAY 2017

KYIV. Jan 19 (Interfax-Ukraine) – Public joint-stock company Energomashspetsstal (Kramatorsk, Donetsk region), belonged to Russia’s Atomenergomash, will supply a large batch of ingots for Spain’s Euskal Forging, according to a posting on the company’s website.

The cost of the contract is not disclosed. The company will produce 36 ingots with a total weight of 1,039.6 tonnes.

Ingots will be used to produce products for various industrial sectors.

The products will be shipped in parts. The last batch of ingots is to be shipped in April 2017.

Energomashspetsstal is the largest Ukrainian producer of special cast and forged products for individual and small-scale production for metallurgy, shipbuilding, energy (wind, steam, hydro, nuclear) and general engineering. It has been part of the mechanical engineering division of Rosatom since 2010.

WIZZ AIR LAUNCHES FLIGHTS FROM LVIV TO WROCLAW FROM APRIL 2017

KYIV. Jan 19 (Interfax-Ukraine) – Hungary’s low cost airline Wizz Air resumes its operations in the Lviv International Airport and from April 2017 launches flights from Lviv to Wroclaw (Poland), Wizz Air Chief Corporate Officer Owain Jones has said.

“We officially inform that we start our operations in our second airport in Ukraine – Lviv. Starting from April 2017 we launch the new route from Lviv to Wroclaw,” he said at a press conference in Kyiv on Wednesday.

He said that Wizz Air will service the flights from Lviv to Wroclaw on Tuesdays and Saturdays. First tickets are appeared on the airline’s website. The prices start from UAH 619.

“Our clients will receive advantages travelling not only from Lviv to Wroclaw, but they can also use nine other destinations Wizz Air services in Wroclaw,” he said.

Jones said that in the near future the airline does not plan to resume operations of its subsidiary Wizz Air Ukraine. It will continue developing the base via Wizz Air Hungary.

He also said that the airline does not plan to resume operations in other Ukrainian airports.

He said that now Wizz Air offers 17 flights to eight countries in Ukraine. The recent destinations the airline launched were flights from Kyiv (Zhuliany) airport to Warsaw (Poland), Nurnberg (Germany) and Copenhagen (Denmark).

UKRAINE IN 2016 FULLY USES EU TARIFF QUOTAS ON 11 GOODS ITEMS – UAC

KYIV. Jan 19 (Interfax-Ukraine) – Ukraine has fully used EU tariff quotas on the deliveries to the European Union of corn, wheat, barley, sugar, poultry, honey, oats, grape and apple juice, malt and wheat gluten, processed tomatoes, barley groats and flour.

“In 2016 Ukraine fully used quotas on 11 groups of products. In 2015 it fully used quotas on eight groups of commodities (sugar by 99%), in 2014 six,” the Ukrainian Agribusiness Club (UAC) association said.

The main drivers of accelerating the closure of quotas were such groups: glucose and glucose syrup (from 6.1% of the used quota in 2015 to 58.7% in 2016), barley (from 77.7% in 2015 to 99.8% in 2016), malt and wheat gluten (from 72.9% in 2015 to 100% in 2016), poultry (an additional quota, from 22.5% in 2015 to 43% in 2016), bran (from 22.7% to 42.8%), starch (from 9.6% to 18.8%).

In 2016 Ukraine started using quotas for duty-free exports of processed dairy goods (24.4% of the quota used), processed cereals (2.7% of the quota) and mushrooms (0.1%). In particular, Ukraine started exporting milk powder (30%) and butter (46%).

OKKO INCREASES NUMBER OF GAS SKIDS AT FILLING STATIONS BY ALMOST ONE THIRD IN 2016

KYIV. Jan 18 (Interfax-Ukraine) – The OKKO filling station chain increased the number of gas skids at its operating or new filling stations by almost one third (50 units), to 210 units.

The chain’s press service reported that in December 11 new gas skids were launched. Last year three autonomous gas filling stations started operating last year.

OKKO invested over UAH 100 million in expansion of its gas skid chain in 2016.

“In volumes of gas consumption by vehicles Ukraine is one of the leaders in Ukraine. This gas market continues quickly growing and requires new infrastructure and new outlets. Judging by demand of clients our chain creates as best opportunities for drivers as possible to allow each driver to get gas quickly, safely and on the convenient route,” Head of OKKO chain development department Nazar Turkhan said.

Galnaftogaz Concern manages a large filling station in Ukraine. It consists of around 400 filling stations under the OKKO brand.

The majority shareholder of the concern is Vitaliy Antonov. The European Bank for Reconstruction and Development (EBRD) is among minority shareholders.

GOVERNMENT APPROVES INTRODUCTION OF IOT, QUANTUM COMPUTING, 3D PROTOTYPING AS PRIORITIES IN INNOVATION WORK FOR 2017-2021

KYIV. Jan 18 (Interfax-Ukraine) – Ukraine’s Cabinet of Ministers has approved a list of medium-term top priority directions in innovation work at the national level for 2017-2021.

According to an attachment to government resolution No. 1056 dated December 28, 2016, its approval would provide for the implementation of innovation activities and create he basis for drawing up medium-term top priorities in the sectors.

The document envisages various directions of innovative activities. This is new solutions for transmitting and transporting energy, introduction of energy efficient and resource saving technologies and use of alternative source of energy.

Designing of next generation aggregates and systems for high-speed railway transport, creation of next generation facilities and technologies in aircraft, ship building and aerospace sector, as well as development of navigation systems and aircraft, ship and missile control systems are among the top priorities.

It is planned to start using new technologies for production of materials, their processing and combination, create nanoscale materials and nanoscale technologies industry.

The government also proposes to pay attention to environment protection. It is planned to apply the closed cycle technologies, purification, recycling of industrial and solid household waste.

It is planned to introduce newest technologies in information protection in telecom and IT systems, draw up and standardize 5G technologies and focus on development and introduction of artificial intelligence systems.