Business news from Ukraine

Business news from Ukraine

CHERKASY AZOT PROVIDES PRODUCTION OF ADBLUE ADDITIVE

Cherkasy Azot, part of Dmytro Firtash’s Group DF nitrogen business and primarily engaged in production of chemical fertilizers, has launched a project to launch the production of AdBlue, a special additive for diesel engines used to reduce NO (nitrogen oxide) emissions.
“We are entering a growing, marginal, but very competitive market. Completion of all preparatory work for the launch of the project is expected in the first half of 2022,” the company’s CEO, Vitaliy Skliarov, said in a release.
According to the report, the expected production volume of the reagent is 10,000 tonnes per year.
At the moment, Azot has carried out preparatory work for the installation of equipment. The production of the reagent will be organized on the basis of workshop K-4, where crystalline caprolactam was previously produced.
The volume of investments will be announced after the launch of the project and will include all the necessary certification procedures.
Skliarov added that negotiations are underway with the German Association of the Automotive Industry (VDA), which developed this technology, to conduct an audit and issue a license to use the AdBlue brand. According to him, the sale of these products is planned both in the domestic and foreign markets, it is possible to increase the capacity.
According to Group DF estimates, the volume of the market for AdBlue and its analogues in Ukraine is about 35,000-45,000 tonnes per year, while today more than 60% of the Ukrainian market is occupied by imports, and Cherkasy Azot will be able to gradually replace imported products.
“AdBlue is, in fact, an aqueous solution of urea, respectively, its largest producers worldwide are nitrogen plants. It is logical that in Ukraine we will have a price advantage over competitors … We will also have a price advantage in the European market,” Skliarov said.

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ILLICH STEEL WORKS RAISES UP PRODUCTION OF ROLLED PRODUCTS BY 12%

Mariupol-based Illich Iron and Steel Works (Donetsk region), part of Metinvest Group, increased the output of general rolled products in January 2022, according to recent data, by 9.6% compared to 2020, to 390,000 tonnes.
As the enterprise told Interfax-Ukraine, steel production during this period increased by 5.3%, to 380,000 tonnes, cast iron – by 0.6%, to 360,000 tonnes.
In December, Illich Steel Works produced about 340,000 tonnes of general rolled products, 360,000 tonnes of steel, and 420,000 tonnes of cast iron.
Illich Iron and Steel Works is part of Metinvest Group, the main shareholders of which are SCM Group (71.24%) and Smart Holding (23.76%), jointly managing the company.

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UKRAINE TO RAISE UP PRODUCTION OF AGRICULTURAL PRODUCTS BY 2030

Until 2030, Ukraine will increase the harvest and production of the main types of agricultural raw materials, which will allow the country to consolidate the status of a constantly growing producer and exporter of grains, oilseeds and sunflower oil, while a reduction is expected in production of sugar, milk and beef, the Ukrainian Agriculture Export Association (UAEA) reported.
As the UAEA told Interfax-Ukraine on Friday, the relevant data are contained in a joint report by the Food and Agriculture Organization of the United Nations (FAO) and the Organization for Economic Co-operation and Development (OECD), which compares the average annual production of the main types of agricultural products for 2018-2022 with projections in 2030.
Thus, the growth of the corn crop in Ukraine is projected from 33.99 million tonnes to 44.01 million tonnes (29.4% more), wheat – from 26.01 million tonnes to 35.86 million tonnes (37.8% more), and oilseeds – from 22.04 million tonnes to 26.29 million tonnes (19.3% more).
During the specified period, an increase in production of vegetable oil is also expected from 6.88 million tonnes to 8.4 million tonnes (22.1% more), poultry meat – from 1.15 million tonnes to 1.54 million tonnes (33.9% more), pork – from 0.71 million tonnes to 0.82 million tonnes (15.5% more), and fish and seafood – from 99,000 tonnes to 101,000 tonnes (2% more).
At the same time, Ukraine is projected to reduce milk production from 9.82 million tonnes to 8.93 million tonnes (9.1% less), sugar – from 1.38 million tonnes to 1.24 million tonnes (10.1% less) and beef – from 0.37 million tonnes to 0.33 million tonnes (10.8% less).
“The current forecasts of international organizations almost always consider Ukraine as a constantly growing producer and exporter of grains, oilseeds and sunflower oil, that is, our status as a supplier of raw materials to the world market will be strengthened,” the association summed up.

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TITANERA LAUNCHES FIRST 3D PRINTER FOR PRODUCTION OF TITANIUM PRODUCTS

TitanEra LLC (Dnipro), associated with the developer of titanium ores – Production and Commercial Company Velta LLC, has completed the 3D printing line and launched the first printer for the production of finished titanium products from powder using its own technology.
“Our pilot plant continues to receive new equipment, and we are starting to complete the 3D printing line. The first printer was launched the other day… We have not only printed a test sample, but also the first private order for medical equipment. We really hope to start to produce test samples for defense and space in the near future,” CEO and co-owner of Velta and TitanEra LLC Andriy Brodsky wrote on Facebook.
At the same time, he said that when choosing equipment, the choice fell on the Ukrainian manufacturer of printers. “Ukrainian final product from Ukrainian titanium powder according to Ukrainian technology, produced from Ukrainian raw materials, should definitely be printed using Ukrainian technology,” Brodsky said.
According to him, 3D printing has complemented the range of other powder pressing and rolling technologies used by the company.
“And I believe most of all in titanium 3D printing, despite the technological difficulties that the whole world, including our TitanEra, is now solving. By expanding the range of methods, we are expanding our sales market,” the CEO added.
As reported, TitanEra is a Ukrainian company based on 15 years of experience of the Velta team in the global titanium industry.

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PONINKA CARDBOARD MILL RAISES UP PRODUCTION BY 79% IN 2021

A large Ukrainian manufacturer of corrugated board – Poninka Cardboard and Paper Mill-Ukraine LLC – in 2021 produced goods worth UAH 2.308 billion, which is 79.3% more than in the same period of 2020.
According to the statistics of the Ukrpapir association provided to Interfax-Ukraine, the mill has thus accelerated the growth rate of this indicator over the same period last year – in January-September it was 75.2%.
In quantity terms, the mill increased production of containerboard (including corrugated paper) by 12.8%, to almost 93,000 tonnes, but reduced production of corrugated boxes from it by 6.5%, to 81.7 million square meters. In addition, paper production decreased by almost 44.5%, to 600 tonnes.
Poninka paper mill (formerly the Poninka Cardboard and Paper Mill), once the largest manufacturer of school exercise books, was founded in the village of Poninka more than 200 years ago. Currently, it has one main production – paper and cardboard, and produces mainly corrugated packaging, as well as wrapping, recycled paper.
In terms of production of corrugated packaging, the mill currently ranks third in Ukraine after the leading manufacturers – Rubizhne and Kyivsky cardboard mills.

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ZAPORIZHIA IRON ORE PLANT RAISES UP IRON ORE PRODUCTION BY 1.2% IN 2021

Zaporizhia Iron Ore Plant (Dniprorudne, Zaporizhia region) in 2021 increased iron ore production by 1.2% compared to 2020, to 4.620 million tonnes.
As the company told Interfax-Ukraine, during this period, 4.523 million tonnes of products were shipped to consumers.
At the same time, 263,900 tonnes of ore were mined in December, and 320,900 tonnes of products were shipped to consumers.
Zaporizhia Iron Ore Plant sells its products to metallurgical enterprises in Slovakia, the Czech Republic, Austria and Poland, as well as to Zaporizhstal metallurgical plant in Ukraine.
The main shareholders of the plant are Slovak company Minerfin, a.s. with 51.1697%, Zaporizhstal with 29.5193%, and Czech KSK Consulting, a.s. with 19.0632%.

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