Business news from Ukraine

Business news from Ukraine

GOVERNMENT APPROVES CREATION OF REGISTER OF ORGANIC FOOD PRODUCERS

KYIV. Aug 9 (Interfax-Ukraine) – Ukraine’s Cabinet of Ministers at a Monday meeting approved a resolution on the creation of a register of organic food producers.

“Why do we need this register? The need in organic food is growing. There are more and more companies that are ready to sell this food. We are introducing the relevant register to protect the interests of Ukrainian citizens and foreign investors,” Ukrainian Agricultural Policy and Food Minister Taras Kutoviy said at the government meeting.

He said that the register will be published on the website of the State Service for Food Safety and Consumers’ Rights Protection of Ukraine. A copy of the organic production certificate is required to add information to the register.

“Information is added to the register within five working days after submitting a copy of the certificate to the State Service for Food Safety and Consumers’ Rights Protection,” the minister said.

He said that the creation of the register would stir up the organic food sector.

GROYSMAN CALLS ON BALCEROWICZ, MIKLOS TO JOIN DRAFTING BILLS AIMED AT STEPPING UP ECONOMIC GROWTH

KYIV. Aug 9 (Interfax-Ukraine) – Ukrainian Prime Minister Volodymyr Groysman has called co-chairmen of the Group of Strategic Advisers on the Support for Reforms in Ukraine Leszek Balcerowicz and Ivan Miklos to take part in drafting a government package of bills to be ready for the start of the new session of Ukrainian parliament and aimed at stepping up the country’s economic growth.

“I asked our strategic advisors – Mr. Balcerowicz and Mr. Miklos – to join this work and make initiatives and proposals regarding required legislative changes that could be part of the government package to be ready for the start of the operation of Ukrainian parliament,” the press service of the Ukrainian government reported, referring to Groysman.

The prime minister said that the government is drafting a package of legislative initiatives aimed at stepping up economic growth in the country.

He said that small positive signals are seen in the Ukrainian economy, but this growth is not enough.

He also called on ministers to participate in drawing up the bill package jointly with the Group of Strategic Advisers on the Support for Reforms in Ukraine.

UKRENERGO SEES UAH 1.1 BLN NET PROFIT IN H1, 2016

KYIV. Aug 8 (Interfax-Ukraine) – Ukrenergo in January-June 2016 saw a net profit of UAH 1.052 billion against UAH 523.215 million in net loss a year earlier.

According to the report, posted on the website of Ukrenergo, its net income during the period under review grew by 51.3% (UAH 962.578 million), to UAH 2.841 billion and gross profit increased by 90.5% (by UAH 881.107 million), to UAH 1.854 billion.

As reported, Ukrenergo operates trunk and interstate power grids, as well as performs the centralized dispatching of the united energy system in the country. The company is a state enterprise, and it is subordinate to the Ministry of Energy and Coal Industry.

SPF SETS STARTING PRICE FOR 65% OF KHARKIVOBLENERGO AT $73 MLN – OFFICIAL

KYIV. Aug 8 (Interfax-Ukraine) – The State Property Fund of Ukraine (SPF) has prepared the terms of privatization of power supply company PJSC Kharkivoblenergo, First Deputy Minister of Economic Development and Trade Yulia Kovaliv has said.

“A 65% stake in the company will be auctioned. The starting price is about $73 million,” she wrote on her Twitter page.

As reported, the state in the person of the SPF owns 65% of shares in Kharkivoblenergo, while another 29.8% stake in the company belongs to Garensia Enterprises Limited (Cyprus), associated with Konstantin Grigorishin’s Energy Standard Group.

Kharkivoblenergo owns distribution power grids located in the territory of Kharkiv region, serves them and supplies electricity to ultimate customers in the region.

SALES OF BUSES IN UKRAINE GROW IN JULY

KYIV. Aug 8 (Interfax-Ukraine) – The new bus market in Ukraine in July 2016 totaled 98 buses, which is almost twice up year-over-year and 66% up on June 2016, according to the Ukrautoprom association.

The leader is Ataman bus made by Cherkasy Bus: 27 buses were sold compared to 10 in July 2015 (no bus was sold in June).

PAZ buses are second (25 buses sold compared to one bus sold in July 2015 and 14 in June 2016).

Ruta buses sales (on the basis of Russia’s GAZel) made by Chasiv Yar Bus Plant (Dontesk region) decreased by three compared to July 2015, to 13.

Sales of Etalon fell by three to seven and sales of IVAN (made by ZAZ) buses to six.

Electron Corporation appeared on the bus market in Ukraine in July (Lviv). The corporation made 11 Electron buses for Lviv.

The association said that four Ford and two MAZ buses were sold in July, as well as three buses of other manufacturers.

According to Auto-Consulting Group, in July 2016 bus sales in Ukraine more than doubled, and in January-July 2016 some 405 buses were sold, which is 2.2 times up year-over-year.

INDONESIA INTERESTED IN UKRAINIAN TURBINES FOR GENERATING ELECTRICITY – INDONESIAN PRESIDENT

JAKARTA. Aug 8 (Interfax-Ukraine) – Indonesian President Joko Widodo says his country is interested in cooperation with Ukraine, namely in the manufacture of turbines that generate electricity.

“We have considered the issue of cooperation of Indonesia with Ukraine in the areas of the manufacture of turbines for power generation,” he told reporters after talks with Ukrainian President Petro Poroshenko.

The Ukrainian president said, in turn, that the question of cooperation in the supply of power generating equipment had been discussed at the meeting.

“Ukraine is a strong producer and reliable supplier of energy equipment to over 40 countries. We see active participation of Ukraine in the implementation of ’35 Thousand Megawatts’ project initiated by Mr. President [Joko Widodo],” Poroshenko said, saying that it was discussed in detail at meetings with his Indonesian counterpart.