Business news from Ukraine

Business news from Ukraine

PM OF UKRAINE WARNS FUEL BUSINESS AGAINST ABUSE

Prime Minister Denys Shmyhal warns representatives of the fuel business against abuses in the market.
“Denis Shmihal stressed that due to the destruction of the oil refining infrastructure and oil storage facilities by the Russian aggressor, a shortage of fuel arose in Ukraine. The authorities represented by the Cabinet of Ministers, all central executive authorities, customs and border services fully support and help businesses to overcome this crisis in the fuel market. In particular, the state has already reduced VAT from 20% to 7% on gasoline, diesel fuel and liquefied gas and agreed on a zero excise rate for these items,” the government’s press service said following an online meeting between the prime minister and representatives of the fuel business.
Schmihal also said that he had negotiations on the liberalization of logistics routes with the President of the European Council, Charles Michel, and the President of the European Commission, Ursula von der Leyen.
“The European Union has introduced the so-called “corridors of solidarity” for Ukraine. A similar tool worked during a pandemic inside Europe, when vaccines and medicines were delivered. The authorities are doing and are ready to do everything necessary to give businesses the opportunity to import fuel into the country. At checkpoints, automobile and rail transport with fuel is given absolute priority. We are also negotiating other supply routes to expand our logistical capabilities,” the prime minister added.
The State Border Service also noted that vehicles with fuel pass the border from the Ukrainian side without queues.
Also, First Vice Prime Minister Yulia Sviridenko noted that the number of fuel trucks crossing the border every day has grown by almost a third compared to the beginning of May.
“Representatives of the fuel business, for their part, noted the high level of cooperation with the government and noted the importance of joint communication on the situation that is currently happening on the market,” the message says.
During a conversation with market participants, the head of government stressed that the main task is for people to have fuel and for there to be no abuses in the market. According to him, the state will respond to such manifestations in wartime.
Following the meeting, Shmyhal gave the task to the Ministry of Economy, together with the Ministry of Energy and the relevant association, to work out proposals to overcome the crisis in the oil market and eliminate the shortage of fuel.

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