Business news from Ukraine

UKRAINE COULD BOOST SUGAR EXPORTS BY DOZENS OF TIMES FROM 2016 – MINISTER

KYIV. Oct 1 (Interfax-Ukraine) – Fields sown with sugar beets in Ukraine could be increased in 2016, as if Asian markets are opened, exports will grow considerably, Agricultural Policy and Food Minister of Ukraine Oleksiy Pavlenko said at a briefing on Wednesday.

“We’ve raised the issue of foreign markets at a meeting of the Chinese commission and with several Asian countries. I think that next year it is better to sow more sugar beets. If we are able to open several markets in the next six months, we will be able to increase exports,” he said.

Pavlenko said that sugar beet exports could reach 1 million tonnes.

“The figure of 100,000 tonnes for export is not the limit. We can export dozens times more, and I don’t see any problem of exporting 1 million tonnes. Yes, refineries require modernization, but investment and foreign markets are required for this,” he said.

Pavlenko said that as of September 30, 2015, sugar beets were dug up from 34,000 hectares or 18% of fields with a yield of 388 centners per hectare. A total of 1.7 million tonnes of sugar beets have been dug up.

He said that the ministry has not changed its forecast for sugar production: 1.2-1.3 million tonnes in the current season (September-August).

CABINET REVOKES LICENSING OF SCRAP NON-FERROUS METAL UNDER ECONOMY MINISTRY’S INITIATIVE – OFFICIAL

KYIV. Oct 1 (Interfax-Ukraine) – The Cabinet of Ministers of Ukraine has stopped licensing foreign economic transactions on exports of scrap non-ferrous metals, Deputy Economic Development and Trade Minister of Ukraine Maksym Nefyodov said on Facebook.

“The resolution from the Economic Development and Trade Ministry of Ukraine on revoking licenses to export goods made of non-ferrous metals (the reduction of the list in supplement 5 to the annual resolution) has been passed… There will not be useless commissions, senseless licenses and money jobs,” he said.

Nefyodov said that this is not only about deregulation, but also anti-corruption, as the issue of these licenses using the principle of issuing the license to concrete persons and not issuing them to others initially included the temptation to abuse power.

UKRAINE’S MULTIMEDIA PLATFORM FOR FOREIGN BROADCASTING TO LAUNCH AT NOON ON OCT 1 – INFO MINISTER

KYIV. Sept 30 (Interfax-Ukraine) – Ukraine’s multimedia platform for foreign broadcasting will be launched on Thursday, October 1, Information Policy Minister Yuriy Stets has said.

“At 12:00 on October 1 we will launch the multimedia platform for Ukraine’s foreign broadcasting abroad. For this I thank the journalists of the Ukrainian National Channel, Ukrinform, BTB, and members of the government. Regardless of the fact of the so called “fifth column,” the followers of the Kremlin, so called our “allies” who put spokes in wheels, we continue with reforms,” he said at a meeting of the Cabinet of Ministers in Kyiv.

Stets expressed his belief that the broadcasting of this media platform “will be seen on every continent, in hundreds of countries around the world, by hundreds of millions of people.”

However, he said that to complete this process it is necessary to adopt a law on the system of foreign broadcasting in Ukraine.

CHINA PERMITS 18 UKRAINIAN ENTERPRISES TO EXPORT DAIRY PRODUCTS – YATSENIUK

KYIV. Sept 30 (Interfax-Ukraine) – Ukrainian companies have undergone veterinary certification by China’s controlling agencies and 18 of them have been permitted to export dairy products to the country.

“A Ukrainian delegation is returning from China with good news. China has decided to green-light [exports of] 18 Ukrainian dairy producers and suppliers,” Yatseniuk said at a government meeting on Wednesday.

He said that the list of the companies will be posted on the Chinese government’s website, and this is a serious step towards the diversification of sales markets for Ukrainian products.

“Russia has closed its market, but we do not stop increasing our capabilities in the sales of Ukrainian goods,” he stressed.

“China’s decision on opening its markets for Ukrainian companies is recognition of our efforts in the modernization of Ukrainian industry, processing and production. And this is another step in increasing both the volume of production and the number of jobs and revenues of our economy,” Yatseniuk said.

At the end of the current year, Kyiv will host a meeting of the intergovernmental commission of Ukraine and China. It is also expected the Ukrainian-Chinese business forum will also be held.

The list of dairy enterprises includes Prometei company, in particular its branches Mena Cheese and Slavuta Butter Factory, Ros enterprise, in particular, its branches Okhtyrka Cheese Plant, Myrhorod Cheese Factory, Romny Dairy Plant, Starokostiantyniv Dairy Plant, Elitmol, Tekhmolprom LLC, PJSC Zolotonosha Butter Factory, PJSC Bashtanka Cheese Plant, PJSC Ichnia Milk Powder and Butter Factory, PJSC Lytyn Dairy Plant, PJSC Bershadmoloko, PJSC Dubnemoloko, Cheese Club LLC, Terra Food LLC, PJSC Zhashkiv Creamery, and Khmelnytsky skimmed milk plant Milk Visit (Molochny Vizyt).

CREATION OF INTERNATIONAL GUARANTEE FUND WILL HELP ATTRACT INVESTORS TO UKRAINE – BNP PARIBAS

KYIV. Sept 30 (Interfax-Ukraine) – An international guarantee fund need to be created in Ukraine to attract investors, head of Paribas Representative Office in Ukraine Dominique Menu has said.

“We need to build an international fund of guarantees so that those who invest their money in Ukraine will be insured. We’re working on this idea, and I hope that in some weeks we’ll be able to approve it with international financial institutions [namely the European Bank for Reconstruction and Development and the International Finance Corporation],” he said at a Financial Club conference on collateral property in banking.

Currently, international financial organizations have offered new loans to repay old ones, Menu said. However, Ukraine should look for ways to finance new projects in real estate, infrastructure and logistics, so that the country’s economy can begin to develop rapidly, he said.

Menu also stressed the importance of legislative reform and change in the judicial system, and in particular, that changes in the judicial system are needed to regulate investment in bank collateral property.

“If we can not protect our right, we can not act. We are also waiting for a full-fledged cadastre to understand who a client is and where he has got the money,” he added.

NBU SAYS PAYMENTS VIA INTERNET IN Q2 HIT MORE THAN UAH 45 BLN

KYIV. Sept 30 (Interfax-Ukraine) –Online payments with bank debit cards in the second quarter of 2015 totaled UAH 45 billion, which was 1.6% up on the first quarter, the National Bank of Ukraine’s (NBU) press service has reported.

The NBU said that more than 111 million transactions worth almost UAH 43 billion occurred in Ukraine, while foreign online stores received UAH 2.5 billion in the equivalent, fewer than 2 million transactions.

In the first quarter of 2015 there were more than 91 million online transactions worth UAH 41.7 billion in Ukraine and 1.9 million online transactions worth UAH 2.6 billion abroad.

According to the NBU, the volume of online transactions in 2014 accounted for 44.2% of total non-cash debit card transactions.

In 2014, there were 249.8 million online transactions in Ukraine using debit cards worth UAH 105.4 billion, of which foreign online stores handled 6.6 million transactions worth UAH 7.3 billion in the equivalent.

From the beginning of 2015 to the end of August, the amount of cash in the economy decreased by 2.3%, to UAH 276.3 billion.

The NBU supports the further development of non-cash transactions and a reduction in the share of cash in the economy to 12% in 2020, which at the end of 2014 stood at 18%.