Port of Reni for the first time since the independence of Ukraine has attracted a new cargo flow – citrus fruits from Egypt, which in peacetime went through the larger ports of “Big Odessa”, the Administration of Sea Ports of Ukraine (AMPU) reported on Facebook.
“Last week a refrigerated vessel “ZEINAB”, equipped with enhanced ventilation and refrigeration units for the transportation of perishable goods, arrived at the port of Reni,” AMPU said in a statement.
In particular, 519.9 tons of fruit were delivered from Egypt: 150.3 tons of oranges, 169.4 tons of pomegranates, 31.05 tons of lemons and 169 tons of tangerines.
AMPU specified that citrus fruits were traditionally transshipped by Chornomorsk and Odessa ports.
The leader among them was the port “Chernomorsk”, which transshipped 253 thousand tons of citrus in the last five years: in 2018 – 83.6 thousand tons, in 2019 – 74.1 thousand tons, in 2020 – 43 thousand tons, in 2021 – 35.5 thousand tons and in 2022 – 16.8 thousand tons.
Port “Odessa” during the same period transshipped 134.2 thousand tons of citrus: in 2018 – 45.4 thousand tons, in 2019 – 40.4 thousand tons, in 2020 – 26.5 thousand tons, in 2021 – 14.3 thousand tons and in 2022 – 7.6 thousand tons.
AMPU reminded that now the ports of Greater Odessa work only within the framework of the “grain initiative”, so the cargo owners are forced to seek other ways to deliver citrus to consumers.
Earlier analytical project “Club of Experts” analyzed in detail the trade and economic cooperation between Ukraine and Egypt, see in detail in the video:
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In the next video YouTube-channel of the analytical center “Club of experts” the prospects of trade and economic relations between Ukraine and Egypt were considered.
As the founder of the Club of Experts Maxim Urakin emphasized, before the war Egypt was the most favorable trade partner for Ukraine, the trade surplus with which amounted to almost 2 billion U.S. dollars. Grain and metallurgical products were the main Ukrainian goods at the Egyptian market.
At the same time, in the first months of the war, the Russian blockade of maritime communications in the Black Sea limited Ukrainian exports to Africa and, above all, to Egypt. The grain agreement improved the situation, but only with regard to agricultural exports. In order not to lose the Egyptian market, the Ukrainian companies have to adapt to the current situation now in order not to make additional efforts after the war.
According to the President of the Ukrainian Exporters Club Eugenia Litvinova, the Ukrainian producers should pay attention to the Egyptian market of dairy products in the first place. In this case, it is necessary to take into account the separation of Egyptian groups of goods for wholesale and retail trade while creating favorable conditions for imports. Also, according to her, the demand in Egypt is for canned and dried fruits, confectionery, chocolate, oils, fats, mineral water, as well as crockery, various cutlery, baths, showers, sinks, building materials and other goods for the retail trade.
“I want to draw attention to the fact that all Ukrainian exporters who want to trade with Egypt, must be registered in the general administration to control exports and imports. After that it is possible to establish logistics through rail and road ways, taking into account the temporary inaccessibility of the port of Odessa”, – she explained.
Besides, Yevgeniya Litvinova noticed that since March of the last year, Egypt obliged Ukraine to use the letter of credit for many groups of goods that leads to rise in price of transactions from 0,2 to 0,5%. This factor, according to the expert, will also directly affect trade and its final results.
“If we talk about advice to our small and medium-sized businesses when entering the Egyptian market, first you need to understand what exports are, if you have not previously been involved in this process. Then you should analyze in which cases it is profitable to open a Ukrainian enterprise in Egypt to work, and in which cases you do not always need to do it and not always profitable. Finally, the third tip – go through the registration. At least look at how to pass authorization, registration through a single window in Egypt. I draw your attention to the fact that your brand should be registered at least in Ukraine before you start to pass this registration in Egypt, “- summed up Eugenia.
In turn, the head of the Egyptian diaspora in Ukraine, Dr. Atia Walid noticed that in recent years Egyptian-Ukrainian trade relations have been intensively developed and our country has been invited to participate in major infrastructure projects, which are now being implemented by the Egyptian authorities.
“Back in 2021 Egypt discussed with the Ukrainian government investment in the special economic zone of the Suez Canal. That is, the Egyptian economic policy is primarily aimed at encouraging investment in the country’s economy. Egypt, of course, is interested in cooperation with Ukrainian companies from the point of view of opening joint ventures on its territory, which can well be realized today, despite the war. I think it is quite realistic for Ukrainian companies to open branches there, if they are interested in the sales market. Egypt is ready to facilitate this,” stressed the representative of Egypt.
In his opinion, our suppliers should work more actively both with the Egyptian embassy in Kiev and the Ukrainian embassy in Cairo. This will facilitate the passage of bureaucratic procedures and reduce the likelihood of becoming victims of fraud.
“Ukrainian businessmen should check with the Egyptian embassy or the Chamber of Commerce the authenticity of the documents of those organizations with which they cooperate. And only after that, conclude a contract according to all international rules. You should not believe the promises and pretty eyes, and do not forget the basics of doing business in the field of export-import. I wish all businessmen in Egypt and in Ukraine only success,” said Dr. Atia Walid.
See more details in the video:
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Ukrainian President Vladimir Zelensky congratulated Petr Pavel on his victory in the Czech presidential election and invited him to visit Ukraine.
“Congratulated Petr Pavel on his victory in the Czech presidential election. Thanked him and the Czech people for their unwavering support. Invited him to visit Ukraine,” Zelensky wrote in his Telegram channel on Sunday.
Earlier it was reported that the former chairman of the NATO Military Committee Petr Pavel on Saturday won the second round of the presidential elections in the Czech Republic. After all ballots were counted, he received more than 58.3 percent of the vote. The inauguration is scheduled for March 9.
Ukraine last year exported, according to preliminary data, 99.8 million tons of products and goods of all kinds for a total of $44.1 billion, which is respectively 38.4% and 35% less than in 2021.
“Nevertheless, in war conditions it is a feat: to export almost 100 million tons of products (of which 16.3 million tons through the grain corridor) under conditions of the blockade of ports and constant attacks on the infrastructure. This is the first year that export volume and logistics have come to the fore,” Taras Kachka, deputy minister of economy and trade representative of Ukraine, wrote on Facebook on Wednesday.
According to his data, exports of 24.99 million tons of corn last year brought Ukraine $5.94 billion (+1% by 2021), revenue from foreign shipments of 4.29 million tons of sunflower oil (-16, 3%) was $5.46 billion (-14.4%), from 23.9 million tons of iron ore (-45.9%) – $2.9 billion (-57.8%), from exports of 11.2 million tons of wheat (-44.1%) – $2.6 billion (-44.7%), and from exports of 3.12 million tons of rape (+17%) – $1.54 billion (-8.6%).
“Sunflower seed made its way into the top 10 exports. We exported it 2.7 million tons worth $1.26 billion, 33 times more than last year. This is the volume that the oil extraction plants could not process. I hope that in 2023 we will have a reverse flow, when seed exports will decrease and oil exports will increase proportionally,” Kachka said in a statement.
According to his data, the export of one of the traditional leaders of industrial exports – 65.9 thousand tons of insulated wires brought Ukraine last year $1.32 billion, which is 16.4% less than in 2021. This reduction was caused by a 13.6% drop in wire exports.
“Next in the ranking – semi-finished steel products and hot-rolled steel – illuminate the whole tragedy of the Ukrainian metallurgy. The drop in volume for the year is -72%. Total exports of semi-finished steel 1.9 million tons worth $1.1 billion, and hot-rolled steel 1.3 million tons worth $1 billion. But even more vividly compare January and December. In January there were 404 thousand tons, in December – 31 thousand tons,” emphasized the trade representative.
Kachka specified that foreign sales of soybeans in 2022 was a rare case of significant growth in spite of the war: physical volume of export increased 81.6% up to 1.99 million tons compared to 2021, while revenues increased by 43% up to $862 million.
In turn, poultry exports were down 10% by 2021 to 413,000 tons, but it brought in 19% more revenue – $852 million.
According to the trade representative, geographically 63% of exports were in the EU ($27.9 billion). Among the EU countries, last year Poland ($6.6 billion), Romania ($3.8 billion), Hungary ($2.27 billion), Germany ($2.23 billion), Italy and Spain ($1.5 billion) received the most.
Outside the EU, the largest export market is Turkey ($2.9 billion), which is ahead of China ($2.46 billion), although it is respectively 29% and 69% less than in 2021.
In addition, imports to Ukraine in 2022 in physical terms have almost halved (-48.1%), and in monetary terms – 19.6%. In 2021, Ukraine imported 35 million tons of products worth $58 billion.
“Of the 99.8 million tons by sea exported 53.8 million tons. This is 55% less than last year. By rail, 33.7 million tons were exported. “Iron” stability is +3.4% or +1.1 million tons compared to 2021. 12 million tons were exported by road, and that’s a fantastic 32.4% increase over 2021,” the trade representative summarized in a statement.
Ukrainian President Volodymyr Zelenskyy has held the first telephone conversation of the new year with European Commission President Ursula von der Leyen, the president’s press service has said.
“The interlocutors discussed the expected results of the next Ukraine-EU summit, which will take place in Kiev on February 3 this year, and agreed to intensify the preparatory work,” the statement said.
Ukrainian President Vladimir Zelensky has announced a message to the Verkhovna Rada on the external and internal situation of Ukraine
“Soon I will present my view on the implementation of these tasks in the annual message to the Verkhovna Rada on the external and internal situation of Ukraine. I want this message to be not a report, but our conversation with you about the next year,” he said in a video message on Tuesday.
According to him, “This week will be politically important for Ukraine. We’re going into next year and we have to maintain a common understanding of our national goals.”
“Of course, it is the liberation of our land from the enemy, as well as the reconstruction of Ukraine, the return of our people home, the further rapprochement of our state with key partners, the opening of new opportunities for Ukraine in the world – this is the task for the near future. And not only for the state, but also for each of us,” Zelensky said.
