Business news from Ukraine

BELARUS PLANS TO RESUME EXPORTS OF OIL PRODUCTS TO UKRAINE

The Belarusian state petrochemical concern Belneftekhim intends to resume exports of oil products in January, Belneftekhim Deputy CEO Vladimir Sizov said.
“The resumption of [exports of oil products] is expected in January,” the state news agency BelTA quoted Sizov as saying on Saturday.
The resumption of exports “depends on how rhythmically and quickly the contracts are concluded,” he said.
“We expect that all possible restrictions will be lifted by the end of January – at least this is an optimistic scenario,” Sizov said.

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UKRAINE TO RETAIN LICENSING OF ANTHRACITE EXPORTS, ZERO QUOTAS FOR SILVER, GOLD EXPORT

Ukraine has retained the zero quotas for exports of unprocessed gold and silver (apart from banking metals) and scrap precious metals and extended the licensing of exports of anthracite for 2020.
The Cabinet of Ministers approved resolution No. 1109 on December 24 and posted it on its website on December 27.
In addition, according to the Montreal Protocol on Substances that Deplete the Ozone Layer, in 2020, exports and imports of the respective substances and goods will be licensed as previously.

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UKRAINE HALTS EXPORTS OF COGNAC AND CHAMPAGNE – CHAMBER OF COMMERCE AND INDUSTRY OF UKRAINE

The Chamber of Commerce and Industry of Ukraine stops issuing certificates for beverages named Cognac, Armagnac, Grappa, Brandy and Sherry as the transition period after the signing of the Deep and Comprehensive Free Trade Area (DCFTA) Agreement expired. According to Annex III of the Regulation of the European Parliament and the Council of Europe, the countries of origin that can use names Cognac, Armagnac, Grappa, Brandy and Sherry are only France, Italy and Spain.
“Given that Ukraine has passed the transition period after signing the DCFTA, the Ukrainian Chamber of Commerce and Industry stops issuing certificates for drinks called Cognac, Armagnac, Grappa, Brandy and Sherry,” First Vice President of the Ukrainian Chamber of Commerce and Industry Mykhailo Nepran said.
He said that from now on Ukraine will export sparkling wine and brandy, in accordance with the foreign activity codes.
As reported, the DCFTA trade area between Ukraine and the European Union began to operate on January 1, 2016.

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UKRAINE EXPORTS 29.4 MLN TONNES OF GRAIN

Ukraine since the beginning of the 2019/2020 marketing year (MY, July-June) and as of December 23, 2019 had exported 29.35 million tonnes of grain and leguminous plants, which is 35% more than on the same date of the previous MY.
According to the information and analytical portal of the agro-industrial complex of Ukraine, to date the country has exported 14.5 million tonnes of wheat, 10.9 million tonnes of corn, and 3.7 million tonnes of barley.
As of December 23 of this year, 182,400 tonnes of flour were also exported.
As reported, Ukraine in the 2018/2019 MY exported a record 50.4 million tonnes of grain, legumes and flour, which is 23% more than in the previous MY.
The U.S. Department of Agriculture (USDA) in November raised its forecast for grain exports for the 2019/2020 MY by 500,000 tonnes compared with the October forecast, to 54.94 million tonnes.

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IMPORT OF ELECTRICITY TO UKRAINE FIRST SINCE LAUNCH OF NEW MARKET EXCEEDS EXPORT

The total volume of imported electricity in November 2019 first since the launch of the new electricity market exceeded the total volume of exported electricity – by 5%, the press service of national energy company Ukrenergo has reported. At the same time, the total import volume amounted to 661,000 MWh, the total export volume reached 629,000 MWh, the company said. According to Ukrenergo, 370,600 MWh were imported into the Burshtyn TPP, and 290,400 MWh to the Integrated Power System (IPS) of Ukraine.
At the same time, Ukrenergo said that in order to ensure balance and operational security of the power grid, the company limited the planned import of electricity. As a result, in November, imports from Belarus were limited by 46% (from 294,700 MWh to 157,800 MWh), by 34% from Russia (from 201,500 0 MWh to 132,600 MWh), and by 1% from countries importing into the Burshtyn TPP (from 374,900 MWh to 370,600 MWh).
According to the company, in November 2019, imports increased by 10% compared with October (from 601,000 MWh to 661,000 MWh), compared to July – by 140% (from 274,600 MWh up to 661,000 MWh).
According to Ukenergo, the largest increase in electricity imports was recorded from Hungary – almost doubled. At the same time, imports from Slovakia increased by 8% and from Russia by 4%.
Electricity export from the Burshtyn TPP amounted to 483,700 MWh, while supplies to Romania almost tripled.
Exports from the IPS of Ukraine amounted to 145,200 MWh.
According to Ukrenergo, the IPS of Ukraine exported electricity to Poland and Moldova.

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U.S. DEPARTMENT OF AGRICULTURE RAISES FORECAST FOR EXPORT OF UKRAINIAN SUNFLOWER OIL

The U.S. Department of Agriculture (USDA) in December raised its forecast for the export of sunflower oil from Ukraine in the 2019/2020 marketing year (MY, September-August) by 200,000 tonnes compared to the November forecast, to 6.2 million tonnes, sunflower meal by 100,000 tonnes, to 4.85 million tonnes. According to a December report posted on the agency’s website, the forecast for sunflower exports from Ukraine this month is increased by 50,000 tonnes, to 150,000 tonnes.
In addition, in December the U.S. Department of Agriculture improved its forecast for a sunflower crop by 1 million tonnes, to 15.5 million tonnes, production of sunflower meal by 380,000 tonnes, to 6.28 million tonnes, sunflower oil by 390,000 tonnes, to 6.54 million tonnes.
In general, the forecast for export of oilseeds from Ukraine in December is increased by 20,000 tonnes compared to the forecast in November, to 4.85 million tonnes, oilseed processing by 900,000 tonnes, to 17.22 million tonnes, meal exports by 100,000 tonnes, to 5.8 million tonnes, export of vegetable oil by 200,000 tonnes, to 6.68 million tonnes.
As reported, with reference to the Ministry of Agrarian Policy and Food, in 2018 Ukraine harvested 13.7 million tonnes of sunflower, 4.4 million tonnes of soybeans, and 2.6 million tonnes of rapeseeds.

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