Business news from Ukraine

BELAVIA (BELARUS) AIRLINES RANKS THIRD ON NUMBER OF FLIGHTS IN UKRAINE’S AIRSPACE

As of the end of May 2021, direct flights to and from Belarus to Ukraine are operated by Motor Sich (Ukraine) and Belavia (Belarus) airlines.
According to the data of the State Air Traffic Services Enterprise (UkSATSE), Belavia in 2020 was the third in terms of the number of flights operated in Ukraine’s airspace (10,644 flights) after the Turkish Türk Hava Yolları (14,623 flights) and Ukraine International Airlines (14,406 flights).
Belavia flies from Minsk to Kyiv, Lviv, Kharkiv, Zaporizhia, Odesa and Kherson.
Motor Sich operates flights on the Minsk-Zaporizhia route twice a week.

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UKRAINE STOPS AIR TRAFFIC WITH BELARUS AT 00:00 MAY 26

Ukraine stops air traffic with Belarus from May 26, the relevant decision was made at a government meeting on Tuesday, Prime Minister Denys Shmyhal said.
“From 00:00 on May 26, Ukraine will stop air traffic with Belarus,” Shmyhal wrote in the Telegram channel.
The prime minister said the government instructed the Infrastructure Ministry, the the State Air Traffic Services Enterprise (UkSATSE) to take the necessary measures for this.
In addition, Ukrainian airlines and aircraft will be prohibited from flying in the airspace of the Republic of Belarus.
The State Border Guard Service also received an order to stop the registration of passengers traveling from Belarus or to Belarus at the customs points of airports.
“The situation with the forced landing of Ryanair’s aircraft in Minsk is a violation of the Convention on International Civil Aviation. The decision of our government is aimed at ensuring the safety of flights and passengers,” Shmyhal said.

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UKRAINE INCREASES IMPORTS OF PETROLEUM IN JAN-MARCH FROM BELARUS WORTH $416 MLN AND RUSSIA WORTH $283

Ukraine in January-March 2021 imported 1.812 million tonnes of petroleum products (according to foreign economic activity code 2710: petrol, diesel fuel, fuel oil, jet fuel, etc.), which is 10.4% more year-over-year (1.642 million tonnes). According to the State Customs Service, petroleum products were imported to the tune of $894.99 million, which is 8.2% less than in January-March 2020 ($ 975.061 million).
Fuel was imported from Belarus for $416.163 million (the share is 46.5%), Russia for $283.626 million (31.69%), Lithuania for $85.767 million (9.58%), other countries for $109.434 million (12.23%).
In addition, Ukraine exported 113,426 tonnes (49.4% compared to January-March 2020) of petroleum products for a total of $53.49 million (17.4%). The cost of fuel delivered to counterparties from Turkey amounted to $12.338 million, the Czech Republic some $11.778 million, Latvia some $10.936 million and other countries to $18.438 million.

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UKRAINE LAUNCHES ANTI-DUMPING PROBE INTO IMPORT OF CHIPBOARD FROM BELARUS, RUSSIA

The Interdepartmental Commission on International Trade (ICIT) has initiated an anti-dumping investigation into the import of wood chipboard originating from the Republic of Belarus and the Russian Federation to Ukraine.
The decision of the commission made on February 16, 2021 on the initiation of an investigation comes into force from the moment of its publication, indicated in the report published in the Uriadovy Kurier newspaper dated February 20.
According to the report, the commission received a corresponding complaint from Svisspan Limited LLC (Kostopil, Rivne region)
According to the applicant, during the study period (H2 2017 – H1 2020), the share of dumped chipboard imports from Belarus and the Russian Federation exceeded half of the total imports, while the share of consumption ranged from 6.8% to 12.29% , in relation to production – from 5.03% to 11.72%. At the same time, the prices of dumped imports were significantly lower than the applicant’s price level for the entire study period and below the cost price level in H2 2019 – H1 2020.
Analysis of the dynamics of the main indicators of the applicant’s financial and economic activities during the study period showed a decrease in sales volumes, a loss of market share with an increase in consumption in the domestic market, a decrease in production volumes and deterioration in other financial indicators.
Having considered the complaint, the ICIT came to the conclusion that the import of chipboard from Belarus and the Russian Federation to Ukraine could be carried out at dumping prices and the level of the dumping margin cannot be considered minimal, and the volume of imports cannot be considered insignificant. The commission also said that the chipboard originating from these countries into Ukraine was imported in such volumes and on such conditions that it may harm the national manufacturer.
The investigation concerns wood chipboard, with the exception of chipboard panels covered with decorative laminated plastic, which are classified according to the Ukrainian Foreign Economic Activity Commodity Nomenclature as 4410 10 11 10 00, 4410 11 30 00 and 4410 11 90 00.
The Ministry for Development of Economy, Trade and Agriculture has been charged with carrying out the anti-dumping investigation. Interested parties are registered within 30 days.
Swisspan Limited is one of the leaders in the production of furniture boards in Ukraine, specializing in the production of sanded and laminated chipboards of its own trademark Swisspan by Sorbes. The company was founded in 2003 by the Swiss group Sorbes AG and, in addition to Swisspan Limited, owns LK Interplyt Nadvirna in Ivano-Frankivsk region, as well as the Repo Vabrikud plant in Estonia.

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UKRAINE IMPORTS ELECTRICITY FROM BELARUS AND SLOVAKIA SINCE EARLY 2021

The volume of electricity imports to the integrated power system (IPS) of Ukraine from Belarus since the beginning of the year amounted to 150 MWh, to the Burshtyn TPP Island from Slovakia it was 30 MWh, according to data on the website of the system operator NPC Ukrenergo as of Monday.
According to the NPC data, 133 MWh of electricity was exported to Hungary (93 MWh) and Romania (40 MWh).
According to the results of the daily auction on January 1, published on the NPC website, the interstate sections in the direction of Belarus-Ukraine were purchased by DE Trading LLC and Dniprostal-energo LLC – 1,200 MW (50 MW every hour) and 540 MW (60 MW in the first four hours and last five hours of the day), respectively.
The section in the direction of Slovakia-Ukraine was purchased by TAS Energy Country LLC (only 200 MW per day). The same company bought out 150 MW in the direction of Ukraine-Hungary.

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UKRAINE’S NEIGHBORING COUNTRIES REMAIN IN COVID-19 ‘RED’ ZONE, EXCEPT POLAND, BELARUS, RUSSIA

The neighboring countries of Ukraine, in addition to Poland, Belarus and the Russian Federation, are in the “red” zone for COVID-19, according to data published on the website of the Ministry of Health as of December 24.
The “red” zone includes countries with an incidence rate per 100,000 population over the past 14 days higher than in Ukraine (374). There are 45 countries in total.
Of the closest neighbors of Ukraine, the “red” zone includes Slovakia (634,900 cases of COVID-19 per 100,000 population), Moldova (460,400), Romania (400,300) and Hungary (521,700).
Lithuania, Georgia, Slovenia, U.S., Montenegro, Sweden, the Netherlands, Czech Republic, Switzerland, Great Britain, Turkey, Austria, Germany are also among the countries of the “red” zone.
The list of countries of the “green” zone includes, in particular, Italy, Israel, Belgium, France, Canada, Spain, Greece, Japan, India, and Egypt.
Of the closest neighbors of Ukraine, the “green” zone includes Belarus (279 cases per 100,000 of the population), the Russian Federation (206,900) and Poland (366,700).

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