Cyprus-based International Distribution Systems Limited, the owner of Ukraine’s largest mineral water producer IDS Ukraine, has been subject to Ukrainian sanctions: asset freezes, prevention of capital outflows abroad, and a ban on increasing the authorized capital of related Ukrainian companies.
President Volodymyr Zelenskyy’s Decree No. 739 of November 7 on the implementation of the sanctions adopted by the National Security and Defense Council on the same day was published on the President’s website.
The decree imposes similar sanctions on eight more companies: four – Sogeral Foundation, Haberfield Limited, Slavisilla Holdings Limited, and Dendar Investment Fund Limited (all based in Cyprus) – for a period of 10 years, while IDS Limited and four others are subject to two-year sanctions.
The latter also include Alfa Finance Holdings Limited, Erasmony Limited, Rissa Investments Limited and CTF Holdings S.A.
Most of these companies are associated with Mikhail Fridman and other co-owners of the so-called Alfa Group, as evidenced, in particular, by the data disclosed earlier in Russia on the scheme of interaction between the participants of the management company Alfa Capital Management Company LLC, under whose control or significant influence this management company was. The list includes Peter Aven, German Khan, Andrei Kosogov, Alexei Kuzmichev and the former minority shareholder of Sense Bank, The Mark Foundation for Cancer Research. Friedman and his partners were previously included in the Ukrainian sanctions list.
As reported, the Ukrainian legislation adopted during the war allows the High Anti-Corruption Court to seize the assets of sanctioned persons to the state revenue.
The access of producers of mineral and mountain water to glass bottles for bottling water has become much more difficult due to the shortage of glass containers throughout Europe, it was caused by the full-scale invasion of the Russian Federation into Ukraine and the subsequent reduction in its production in both countries.
In this situation, AT Market LLC (Kyiv), which is engaged in bottling high-mountain Carpathian water under the Voda UA brand, plans to start producing water in Tetrapak packaging next month, the owner and founder of the company, Dmitry Nikiforov, told Interfax-Ukraine on Tuesday.
“Now all the factories are standing, so many of our and some European manufacturers have stopped producing water in “glass”, and are limited only to plastic. We, for our part, understand that all our manufacturers will run out of bottles in the foreseeable future, and in early August we will offer the market an alternative to glass is Tetrapak eco-packaging with a volume of 0.33 liters,” Nikiforov said.
He recalled that the situation with the availability of glass containers for producers of mineral and high mountain waters remains difficult throughout Europe, because a significant part of the bottles were produced in Ukraine and Russia.
Earlier, Nikiforov said in an interview with the agency that AT Market can produce glass containers for bottling water under the Voda UA trademark only at the Vetropack plant in Gostomel (Kyiv region), since the necessary presses remained at the plant that was under Russian occupation for some time -forms. In May, the head of the company noted that the batch of bottles produced before the war on the order of AT Market was not damaged, and it could be picked up within a month.
“Unfortunately, the plant will not be launched in Gostomel. We bought the remaining bottles that survived, and that’s all for now,” Nikiforov stated.
At the same time, he stressed that the AT Market water bottling plant, located in the Ivano-Frankivsk region, is now working in two shifts.
Voda UA is a group of companies engaged in the extraction of Carpathian high-mountain waters under the trademarks Voda UA, “Goryanka”, “Karpatskaya dzherelna vysokogirna”.
DRINKING WATER, HORECA, MINERAL WATER, TETRAPAK, VODA UA, НИКИФОРОВ
Yoghurt, kefir, mineral water, raw tobacco, salt, hydrogen, photographic plates and film, doors, windows and their frames, cigarette paper, cotton wool, tights, socks and bras, bags and packaging bags are new items included in the list goods of critical import of Ukraine.
According to government resolution No. 266 of March 13, which was published on its website, the list is also replenished with glass and mirrors, silver, various types of metal products, aluminum metal structures, pumps, printed circuits, trailers and semi-trailers.
As reported, after the start of Russia’s military aggression on February 24, the government on the same day by resolution No. 153 determined a list of critical import goods, for the purchase of which the National Bank of Ukraine allows buying foreign currency. This is the tenth expansion of this list since it was originally approved.
BAGS, BRAS, COTTON WOOL, DOORS, FRAMES, IMPORT, MINERAL WATER, RAW TOBACCO, SALT, SOCKS, WINDOWS, YOGHURT
Carpathian Mineral Waters LLC (Kyiv, Karpatska Dzherelna trademark) plans to increase production volumes threefold by investing EUR 20 million in the construction of a new plant in Lviv region, the Lviv Regional State Administration has reported on its website. According to the administration, the company plans to create about 200 new jobs and increase the capacity of the new plant three times compared to the existing ones.In addition, the investor plans to restore the Sokol camp (Sasiv village, Lviv region) to improve the health of children of different social groups.In 2020, the company reduced its net profit by 56.5%, to UAH 14.02 million with revenue growth by 9.1%, to UAH 101.9 million.According to the unified public register of legal entities and sole proprietors, Carpathian Mineral Waters LLC with a charter capital of UAH 154 million belongs to Serhiy Ustenko (Kyiv region) through Dynalum Finance Ltd. (Cyprus).The production complex of Carpathian Mineral Waters LLC is located in Zolochevsk district of Lviv region, at the Strutynsky deposit of underground fresh water.The enterprise produces mineral water under the trademarks Karpatska Dzherelna and Dzhereltse, and also produces soft drinks under the trademarks Sokovynka, Frudji and Dragon.
The Ministry for Development of Economy, Trade and Agriculture of Ukraine has approved the hygiene requirements for the production and circulation of mineral and spring waters that meet the requirements of EU legislation on their exploitation and marketing, the ministry said in a press release on Tuesday. According to the report, order No. 741 was signed by Minister Ihor Petrashko on April 13.
The document also defines the methods of processing mineral and mine waters and the requirements for the equipment used in their production.
The order, in particular, regulates the labeling of mineral waters and, among other things, prohibits the use of the indication on the labelling attributing prophylactic or medicinal properties to water. These requirements shall not apply to waters which are medicinal products, as well as to waters consumed by people at source or natural exit to the surface.
According to the Economy Ministry, the order meets the requirements of Directive 2009/54/EC of the European Parliament and of the Council of 18 June 2009 on the exploitation and marketing of natural mineral waters and will enter into force three months after the date of its official publication.
According to an explanatory note to the document, the implementation of the order will create uniform requirements for the production and circulation of natural mineral and spring waters, will have a positive impact on the health of the population and on the market environment in the circulation of this product.
“The order will introduce European requirements for natural mineral waters, remove barriers to investment in the production of such waters in Ukraine and create conditions for fair competition in the market,” Deputy Minister Serhiy Hluschenko said.
Kyiv’s businessman Dmytro Nikiforov has built up 100% of corporate rights in a group of companies owning the Mizun mineral water plant (Ivano-Frankivsk region), producing water under the VODA UA trademark. According to the information on the website of InVenture, the group of companies includes Mizun LLC, Astreya LLC and Karpaty Mineral Waters LLC. Mizun deposit of table and medicinal waters is the largest in Ukraine with a confirmed debit of 1 million liters per day. The plant produces 19 SKU of natural table water under three trademarks (VODA UA, Horianka, Karpatska Vysokohirna), as well as mineral medicinal water. The total capacity allows bottling 150,000 liters per shift.
According to InVenture, the new owner of the plant seeks to invest $2.4 million in the modernization and expansion of production, and in the two-year term – to enter the top 10 Ukrainian bottled water producers.
“According to experts, the purchase of the plant could cost the businessman $1.5-2 million. The flagship brand of the VODA UA group was created about three years ago and demonstrates strong growth, primarily in the HoReCa segment,” InVenture said.
According to the public register of Legal Entities and individual entrepreneurs, Nikiforov also co-owns several enterprises registered in Kyiv and is engaged in trade, consulting services, and other services.
