KYIV. Dec 23 (Interfax-Ukraine) – The expansion of EU exports quotas for Ukrainian goods is a top priority for the Ukrainian government, Deputy Minister of Economic Development and Trade, Ukraine’s Trade Representative Natalia Mykolska has said.
“We are working with the European Parliament and EU member states to accelerate making the decision. We expect that in the near future when the European Parliament returns from holidays, committees will discuss it and then we will be able to say that the situation is moving… The government jointly with colleagues from profile Verkhovna Rada committees are working with European parliamentarians to make the decision a top priority of the agenda. We consider it as a top priority for us,” she said at a briefing in Kyiv.
She also positively assessed the adoption of bill No. 2142a dated June 22, 2015 on providing the aggressive exports expansion of Ukrainian manufacturers via insuring, guaranteeing and cheapening of exports crediting that envisages the creation of the export-credit agency in Ukraine.
“We had considerable frictions with the authors [of the bill], and the government did not support it. At the last stage, thanks to personal participation of Volodymyr Groysman and Stepan Kubiv, we reached some compromises with the authors… In general, the bill creates a good legislative base for the creation of the agency,” she said.
“The important moment that consultants, with whom we worked under the [export-credit agency] project – Germany’s KfW, are ready to work with us in the project in the future and help us to quickly finish everything,” she said.
KYIV. Dec 23 (Interfax-Ukraine) – Etalon Corporation seeks to start supplies of the Tulpan 10-meter buses meeting Euro 6 emission standards designed jointly with DAF to Eastern Europe in Q3 or Q4 2017, Corporation President Volodymyr Butko has said.
He said that the key event of this year for the corporation was the start of cooperation with DAF. Two models of 10-meter intercity buses – А08420 and А08430 (for the European market) with front engines meeting Euro 5 emission standards have been designed jointly with the company.
“We presented the bus at an exhibition in Hannover (Germany) in September 2016. The bus aroused the interest. We have contacts of representatives of several interested countries. We are not ready to supply them, as Euro-6 standard is in effect in Europe now. DAF has supplied Euro-6 chassis. We plan to design a first bus by next summer. We will test it and then certify to start supplies to the European market,” Corporation Vice President Valeriy Kuptsov said at a press conference in Kyiv on Thursday.
He also said that the interest to the bus was shown due to its competitive price (EUR 90,000, VAT not included), while the price of analogs on the Isuzu and Iveco base is EUR 130,000-140,000.
“DAF helps us. It gives us its dealers. The company also expressed desire to sell buses on the Ukrainian market. We understand that this could be only a ‘club’ bus in Ukraine. Companies can buy them to transport employees or sports teams. We do not consider them for transportation of passengers,” Butko said.
The buses could be exported to Baltic state, Poland, Slovakia, the Czech Republic and Romania.
KYIV. Dec 23 (Interfax-Ukraine) – PJSC Bilovodsky bakery (Sumy region) has opened the renovated grain drying complex, according to the website of Sumy Regional State Administration.
The total capacity of the complex is 17,000 tonnes, investment in its launch reached UAH 56 million.
The plant not only stores grain but also produces animal feed and flour.
According to the National Commission on Securities and the Stock Market, the owner of 91.1% of the bakery is Cypriot company Firstmed Management.
The net profit of the company for 2015 increased by 44.7%, to UAH 12.68 million, net income by 36.7%, to UAH 104 million.
KHARKIV. Dec 23 (Interfax-Ukraine) – Kharkiv City Council has approved the city budget for 2017, according to which it is planned to allocate UAH 250.8 million for building the third subway line from the Metrobudivelnykiv station to the Odeska station.
According to director of the budget and finance department Tetiana Taukesheva, the total revenues of the Kharkiv budget are set at UAH 10.994 billion, including own revenues in the amount of UAH 6.721 billion, transfers of UAH 4.272 billion.
“Part of the city’s financial resources is formed by the target transfers from the national budget to the budget of Kharkiv. Education (UAH 875.5 million) and medical (UAH 1.237 billion) subventions, as well as reversible grant in the amount of UAH 193 million are taken into account at the level of volume defined in the national budget for 2017,” she said.
In addition, the Kharkiv budget will receive subsidies in the amount of UAH 2.157 billion (including UAH 1.135 billion on the benefits and subsidies to the population) for implementation of state social programs.
KYIV. Dec 23 (Interfax-Ukraine) – The state should create conditions for development of the electric transport market in Ukraine and stimulate national production, Ukrainian Infrastructure Minister Volodymyr Omelyan has said.
“I am sure that with the current staff and technological resources, Ukraine must produce electric cars. Our ambitious goal is the arrival of at least three strategic investors from top ten manufacturers to the country,” the ministry’s press service reported, citing Omelyan.
The minister said that Ukraine’s goal is to have the share of electric car sales of total car sales of 15% in 2020 and own production of electric cars.
“I have a strong belief that this market segment exists, and this is the future. We have large chances to occupy own market share, as the starting conditions are equal for everyone. We have support of the Energy and Coal Industry and Ecology and Natural Resources Ministry. I think that the state would also support the development of electric transport in Ukraine,” he said.
According to the minister’s presentation posted by the press service, as of November 2016 a total of 1,630 electric cars were in Ukraine. Their annual growth is 13.2%, and their sales share is 0.7%.
Among obstacles for developing the electric car market is psychological (it is unclear where to charge, how to organize charging and fears to stay without power in a field), financial (expensive cars and repair), institutional (weak conditions for market development) and technological (small batch production and sophisticated technologies).
The minister proposes to exempt imports of electric cars from paying VAT until January 1, 2021. It would cut the price of electric cars by 16.8%, as well as to exempt from paying the registration fee to the Pension Fund for primary registrations until January 1, 2021 (minus 4.8% of the cost) and paying excise duty until January 1, 2021 (the cost of the car will fall by EUR 109).
The minister proposes tax benefits for profit tax and government grants to buy electric cars.
For production of Ukrainian electric cars it is proposed to exempt sale of electric cars from paying VAT until January 1, 2021, the registration fee to the Pension Fund, setting a zero duty on imports of spare parts to electric cars, setting a delay in paying VAT on imports of spare parts and the introduction of a beneficial rate for land tax for electric car manufacturers until January 1, 2028.
KYIV. Dec 22 (Interfax-Ukraine) – Industrial production in Ukraine in November 2016 increased by 3.7% compared to the same month of 2015, while in October it rose by 0.8%, in September by 2%, and in August by 3.4%, the State Statistics Service has reported.
According to a new formula of data provision, the agency said that adjusted for the effect of calendar days industrial production in November from November last year rose by 2.3% against 1.6% in October, 2.2% in September and 1.5% in August.
In general, for the 11 months of 2016 the growth in industry accelerated to 2.1% from 1.9% in the ten months and 2% for the first eight and nine months.
Industrial production in November compared to October this year increased by 0.8%, and taking into account the seasonal factor by 0.7%.
Industrial production in January-November 2015 from January-November 2014 fell by 14%, and in general over the past year industrial production in Ukraine declined by 13.4%, while in 2014 by 10.1%, in 2013 by 4.7%, and in 2012 by 0.5%.
