State-owned enterprise Ukrspyrt has produced and supplied 3.3 million liters of raw materials for antiseptics to Ukrainian companies within three weeks from the start of production. “Over three weeks, Ukrspyrt delivered 3.3 million liters of disinfectant to manufacturers. If we mathematically transfer this to products, then approximately 85 million pocket sanitizers of 50 ml or 17 million of 250 ml can be made from raw materials sold by Ukrspyrt,” the state enterprise said.
Today, raw materials are shipped from 12 Ukrspyrt plants.
“For efficiency, over the past few weeks we have additionally launched two plants in Lviv and Cherkasy regions,” acting director of Ukrspyrt Serhiy Bleskun said.
According to him, now 36 Ukrainian producers of antiseptics are buying raw materials at Ukrspyrt.
As reported, on March 30, the Verkhovna Rada voted for bill No. 3275, which, among other things, allows the manufacture of disinfectants (raw materials for antiseptics) at Ukrspyrt factories, and the president signed the law on April 2.
State-owned enterprise Ukrspyrt has supplied Ukrainian producers of sanitizers with almost 300,000 liters of disinfectant on April 2-5. “Over a short term we have supplied producers of sanitizers with around 300,000 liters of disinfectant. We have relevant contracts with 32 Ukrainian companies,” the press service cited Acting Director General of Ukrspyrt Serhiy Bleskun.
He said that cooperation with producers of sanitizers and medical institutions is a priority task for the state enterprise in April, while other directions go next. On April 2-5, Ukrspyrt shipped 300,000 liters of disinfectant to the following companies: MDM LLC, Aqua Cosmetics Group LLC, BKHIM LLC, Advent Invest LLC, Ecoplant LLC, private company Alliance of Beauty, private company Pharmstandard, Astra-Cosmetic LLC, Win Stream LLC, Difrano Union LLC.
Bleskun said that Ukrspyrt provides producers of sanitizers, which have worked with retailers in the Ukrainian market before and have relevant production plans for the production of sanitizers in various volumes, with raw material.
As reported, on March 30, the Verkhovna Rada of Ukraine adopted bill No. 3275 amending some legal acts aimed at ensuring additional social and economic guarantees in connection with the spread of coronavirus (COVID-19), which, inter alia, permitted Ukrspyrt to produce disinfectant (raw material for sanitizers) at its plants.
Ukrspyrt will produce disinfectant at its enterprises until April 30.
State-owned enterprise (SOE) Ukrspyrt has relaxed the rules of buying spirit for the volume of up to 1,000 liters a quarter, and the rules will be in effect from March 20 until June 30.
“Almost everyone needs alcohol! Therefore, given the coronavirus disease COVID-19 pandemic and the increased demand for alcohol, we have simplified the process of its sale. The buyer needs to take three steps: conclude an agreement (simplified, we have one signatory), pay and come to get the products. The rules work, if you do not need more than 1,000 liters per quarter,” acting Director General of Ukrspyrt Serhiy Bleskun wrote on his page on the social network Facebook.
He said that alcohol can be bought by private entrepreneurs or legal entities. The rule is valid until June 30. Price for 1 liter is UAH 184 (inclusive of excise tax and VAT).
The press service of Ukrspyrt told Interfax-Ukraine that the number of signatories under a contract from a state-owned enterprise was reduced from nine to one, and the number of required documents from a buyer was reduced from nine to four.
As reported, Ukrspyrt suspended the shipment of alcohol for export and put four more distilleries into operation due to the increased demand for medical alcohol in Ukraine over the spread of COVID-19.
Ukrspyrt has suspended shipment of alcohol for export due to the increased demand for medical alcohol in Ukraine because of the spread of the coronavirus COVID-19, the company has said.
“We have taken the state’s position, first of all, to take care of Ukrainians. Due to the coronavirus pandemic, we are seeing an increased demand for medical alcohol not only domestically but also externally. Therefore, we decided to suspend export of alcohol. First we need to fully provide the Ukrainian market. We consider it is unacceptable if medical institutions turn to us with a request to sell alcohol, but we don’t have it. Therefore, we take care of the needs of our medical sector,” Ukrspyrt acting head Serhiy Bleskun said.
The company indicated that exports would be restored after the domestic market of Ukraine is fully provided.
As reported, Ukrspyrt in 2019 increased its net profit by 1.9 times compared to 2018, to UAH 40.3 million. Alcohol production fell by 5%, to 5.9 million decaliters.
State-owned enterprise Ukrspyrt is a large producer of alcohol and alcohol containing products in Ukraine. It is managed by the Ministry of Economic Development, Trade and Agriculture. Its total production capacity is more than 36 million deciliters per year. The work is provided by 41 production sites, while in March 2020 only ten are operating.
Now the company is being prepared for transfer to the State Property Fund for privatization
The strategy for the privatization of state-owned enterprise (SOE) Ukrspyrt envisages the transfer of property of the SOE as a pool of fixed assets of industrial sites to the State Property Fund of Ukraine (SPF) before June 1, 2020.
According to the presentation of Ukrspyrt, the necessary conditions for privatization are the completion of the registration of property of state-owned distilleries.
Now out of 41 Ukrspyrt’s industrial sites, 18 have all the property registered, another 18 have partially registered property, and five have been seized.
The main advantage of this privatization option for Ukrspyrt is the ability to transfer facilities for privatization before June 1, 2020.
Sales of spirit by state-owned enterprise (SOE) Ukrspyrt in January 2020 grew by 62% compared with the same period in 2019, to 412,000 decaliters.
“This is the result of the preparation of SOE Ukrspyrt for privatization and our common struggle with the Ministry of Economic Development, Trade and Agriculture, the State Tax Service and law enforcement authorities against the illegal spirit,” acting Director of Ukrspyrt Serhiy Bleskun said.
Last month, 11 Ukrspyrt distilleries were operating. “Last year, seven distilleries were operating at the same period, and sales amounted to 255,000 decaliters of ethyl spirit,” the enterprise said.
According to the company, in January 2019, the loss-making performance of Ukrspyrt amounted to UAH 5.5 million. In turn, the net profit of SOE in January 2020 reached UAH 2.6 million.
