Metal companies of Ukraine plan in October 2019 to boost steel smelting by 5.4% compared with the forecast for September, to 1.95 million tonnes from 1.85 million tonnes. According to the Ukrmetallurgprom association, the plan for October foresees growth in production of pig iron by 5.7%, to 1.85 million tonnes from 1.75 million tonnes, and growth in production of rolled steel by 3% compared with the forecast for September, to 1.7 million tonnes from 1.65 million tonnes.
The association said that 42.44 million tonnes of iron ore concentrate were produced in January-August (106% compared to the same period in 2018), 21.11 million tonnes of sinter (102%), 14.76 million tonnes of pellets (103%), 6.87 million tonnes of gross coke (96%), 13.73 million tonnes of pig iron (101%), 14.66 million tonnes of steel (105%), 12.52 million tonnes of rolled products (102%), 740,000 tonnes of pipe products (101%).
In August, 1.83 million tonnes of pig iron were produced (111% compared to July 2019), 1.94 million tonnes of steel (109%), 1.54 million tonnes of rolled metal (102%).
As of September 10, 2019, of the main existing production facilities in operation are: 18 of 21 blast furnaces, eight of nine open-hearth furnaces, 14 of 16 converters, 5 of 15 electric furnaces and 15 of 15 continuous casting machines (CCM).
In August 2019, about 2.4 million tonnes of iron ore raw materials were delivered to metal enterprises (100% compared to July 2019). There was no import of iron ore in August.
Milk production in Ukraine in January-August 2019 decreased by 3.5% compared to the same period in 2018, to 6.74 million tonnes.
According to the State Statistics Service, in January-August 2019, farmers produced 2.15 million tonnes of meat (live weight), which is 6.5% more than in the same period of 2018.
Egg production grew by 5.2%, to 11.64 billion units.
Production of natural gas in Ukraine in January-August 2019 increased, according to recent data, by 0.9% (by 130 million cubic meters) compared to the same period in 2018, to 13.882 billion cubic meters, according to data from JSC Ukrtransgaz.
According to the calculations of the Interfax-Ukraine agency, gas production by Ukrgazvydobuvannia amounted to 10.073 billion cubic meters (0.6% less compared to January-August 2018), by PJSC Ukrnafta to 773.6 million cubic meters (9.9% more), and other companies to 3.036 billion cubic meters (4.3% up).
In August 2019, gas production amounted to 1.694 billion cubic meters (4.8% less compared to August 2018), in particular by extraction by Ukrgazvydobuvannia totaled 1.205 billion cubic meters (7.2% less), Ukrnafta some 100.9 million cubic meters (7.6% more), and other companies some 387.9 million cubic meters (down by 0.01%).
Ukraine officially opened a new sugar production season on September 1 with the production of sugar beet at Radekhivsky Tsukor LLC, the National Association of Sugar Producers Ukrtsukor has said. According to its website, this year the most part of sugar plants of Ukraine postponed a start of new season of beet refining for later terms.
“The reason is unfavorable weather conditions, because in most regions of Ukraine, soil crust has formed due to hot and dry weather, which complicates the technological process of harvesting. In other parts of the country, due to heavy rains, the sugar content of root crops decreased, so the farmers stopped field works, expecting higher quality indicators of the crops. These very factors influence the reduction of sugar beet digging,” the association quotes its deputy board chairman Ruslan Yanenko as saying.
Besides, Ukrtsukor expects better situation on the fields, and the most number of plants will start operating in the end of September. In total, 32 sugar plants will work in new season.
As reported, the production of sugar in the 2018/2019 marketing year decreased by 15%, to 1.82 million tonnes. Some 42 sugar refineries operated during that season.
According to estimates of Ukrtsukor, the number of operating sugar plants in 2019/2020 will drop from 42 to 32, when sugar production is predicted on the level of 1.1-1.2 million tonnes.
Feednova LLC, which is a part of Effective Investments Group of Companies, plans to launch in May 2020 a first phase of production of animal fats and feed additives for farm animals and pets in Busk of Lviv region worth $12 million.
As the company’s press service told Interfax-Ukraine, refinery capacity of the first phase will total 130,000 tonnes of raw materials per day. The first phase of the plant will include two production lines.
The launch of the second phase scheduled for February 2021. It will consist of three lines processing 90 tonnes of raw materials per day.
The total capacity of the plant will allow producing 100 tonnes of ready products per day. Investments in two phases are estimated at $20 million.
FeedNova is a modern enterprise that produces feed additives for farm animals and pets.
FeedNova provides services on the collection, transport, preparation and processing of material of animal by-products, which can no longer be used as food for humans.
Effective Investments Group of Companies was founded in 2007. It manages business projects in Ukraine.
Ukrainian businessman Ihor Kolomoisky has proposed to increase the iron ore production royalty from 8.8% to 75%. “… If you export raw materials [from the country], then give back at least 75% from $80 per tonne – this is $60, and keep $20,” Kolomoisky said in an interview with the Censor.net ezine.
According to the businessman, these current royalty rates stimulate the export of raw materials.
“However, there is a second option – don’t sell ore right away!.. Produce steel – you have capacities, and instead of loading enterprises you reduce capacities, because now it is easier for you to sell ore, and not engage in production,” Kolomoisky said.
In addition, he stated the need for nationalization of the largest enterprises and the development of mineral resources.
“For the salvation of Ukraine, the universal nationalization of large state-forming enterprises plus the nationalization of the deposit development, that is, in several sectors, we need state capitalism,” the businessman said.
