Business news from Ukraine

UKRAINE PLANS TO BUILD 25 INDUSTRIAL PARKS

The government intends to build 25 new industrial parks over the next three years, Minister for Communities and Territories Development Oleksiy Chernyshov has stated.
“Over the next three years, the Ukrainian government intends to build 25 new industrial parks, creating conditions and investing public funds in the creation of such facilities,” the minister said during the Ukraine 30. Labor Force forum.
He clarified that among the current 50 industrial parks, in fact, about ten are working.
Chernyshov recalled that two bills with amendments to the Tax and Customs Codes, containing fiscal incentives for industrial parks, have been registered in the parliament. The bills provide for the opportunity for participants in industrial parks to obtain exemption from the payment of import duties on equipment, import VAT on equipment and income tax for 10 years. It is also proposed to provide local authorities with the right to establish local tax exemptions for industrial parks and their residents.
“They will be adopted in the fall,” he said.
The minister also added that a bill on the restart of industrial parks is awaiting the second reading.
As reported, the Verkhovna Rada at first reading adopted bill No. 4416-1 on restarting industrial parks. It provides, in particular, compensation for industrial park residents for the share of investments from 15% to 70% of capital expenditures in the first three years, depending on the volume of the company’s exports, compensation from 30% to 70% of interest payments on the loan, depending on the volume of exports, and 50% compensation for the cost of connecting to the power grid.

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MEXICAN GRUPO BIMBO PLANS TO BUILD BAKERY PLANT IN UKRAINE

Bimbo QSR Ukraine, part of the international bakery holding company Grupo Bimbo, is considering the possibility of building a plant in Fastiv (Kyiv region) to manufacture products for one of the world’s largest fast food chains.
As Head of the International Relations and Communications Department of the state-run investment company Ukraine Invest Olena Hitlianska wrote on Facebook, Bimbo QSR Ukraine on March 4, within the framework of the Industrial Relocation: Opportunities for Accelerated Development of Communities and Regions conference, will decide on the construction of a bakery plant on a land plot in Fastiv.
Hitlianska said that the government office of Ukraine Invest helps the Mexican investor, in particular, in finding a site for the construction of the plant.
She also said that within the framework of this conference, investment projects that will be implemented this year within the FastIV industrial and logistics cluster will also be presented.
According to the data of the unified public register of legal entities and private entrepreneurs, Bimbo QSR Ukraine was registered in 2000 by Dutch Bimbo QSR B.V. in Dnipro with a charter capital of UAH 297,000.
According to the website of Grupo Bimbo, it is represented in 33 countries, owns 196 factories, and the company has a worldwide network of 3 million points of sale. The bakery holding produces about 13,000 names of products under more than 100 brands.
As reported, Grupo Bimbo in October 2017 bought the East Bolt Ukraine bakery (Dnipro), which produced burger buns for the international fast food chain McDonald’s.

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ALTIS-CONSTRUCTION TO BUILD AIRFIELD IN DNIPRO

Altis-Construction LLC has won a tender for the purchase by the state-owned enterprise Financing of Infrastructure Projects (FinInPro), a new airfield construction at the international airport of the city of Dnipro, with an offer 30.6% lower than the expected cost.
According to the information on the tender page in the state electronic trading system ProZorro, Altis-Construction offered the final cost of the work in the amount of UAH 3.95 billion, which is 30.6% lower than the expected price (UAH 5.69 billion).
“Finally, the most expensive international tender in the history of airport construction took place, for the choice of the general contractor for the construction of the airfield of Dnipro international airport […] The path to this was not easy, but we coped, despite three rounds of appeals to the Antimonopoly Committee,” Head of State Agency for Infrastructure Projects of Ukraine (Ukrinfraproekt) Kyrylo Khomiakov wrote on his Telegram channel.
He said that seven companies took part in the auction, two of which are foreign (Turkey and Belarus).
According to Khomiakov, the contract with the winner will be signed in accordance with the law on public procurement.
The next step is to start construction work.
It is planned to build a runway with a length of 3.2 km at Dnipro airport. The cost of the project, according to the state examination report is UAH 6.23 billion.
The construction period is about three years.
This year the government has allocated UAH 1.4 billion for the construction of an airfield in Dnipro.

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UKRAINIAN RIVNE WIND PLANS TO BUILD WIND FARM

Rivne Wind LLC (Kyiv) intends to build a wind farm with a capacity of 74.4 MW (Volodymyrets district of Rivne region), according to a posting on the website of the Environmental Impact Assessment (EIA) register on Tuesday.
According to the report, under the project, it is planned to install up to 12 wind power turbines of both global and domestic manufacturers with a capacity of up to 6.2 MW each. Tower height is about 162 meters, and the rotor diameter is about 162 meters.
In addition, the project provides for the construction of a substation (SS) 35/110 kV.
According to the unified public register of legal entities, Rivne Wind LLC with a charter capital of UAH 7,000 belongs to Mykola Herasymenko.
As reported, in February 2020, Rivne Wind Energy announced its intention to build a 240 MW wind farm in Rivne region.

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OCEAN SHIPYARD FROM UKRAINE SIGNS MEMO WITH STATE DEFENSE CONCERN OF TURKEY TO BUILD CORVETTES

Ocean Shipyard (Mykolaiv) has signed a memorandum with the state defense concern of Turkey on joint activities to implement a project to build a series of corvette class ships for the Ukrainian Navy in pursuance of a framework military agreement signed in October this year during a meeting of the two presidents in Ankara, as well as a contract for building corvettes signed by the parties in Kyiv on December 14.
According to the company’s press release, in order to localize the corvette program, the state defense concern of Turkey conducted an audit of the technical capabilities of Ukrainian shipbuilding enterprises. Ocean shipyard was selected and included in the corvette program, taking into account the unique technical capabilities of the enterprise, the availability of professional personnel and the current program of modernization of production assets.
The memorandum provides for the conclusion of separate contracts between the parties within clearly agreed terms and specific steps of cooperation within the framework of the corvette program.
PJSC Mykolaiv Shipyard Ocean specialized in the building and repair of container ships, tankers, tugs, barges with a deadweight of up to 350,000 tonnes.

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UKRAINIAN RDS GROUP TO BUILD ROADS IN KHERSON REGION – OWNER

The RDS Group of road construction companies will repair a section of M-14 road in Kherson region, which will be the ninth region of Ukraine in which the company carries out works, the co-founder of RDS, Yevhen Konovalov, told Interfax-Ukraine.
“Our production will be based in Nova Kakhovka. The south, Kherson region are strategically important for the development of both passenger flow and trade infrastructure of our country,” he said.
According to Konovalov, the group plans to join projects in other regions of the country within the president’s Big Construction program by the end of this year.

According to the ProZorro system, Rostdorstroy LLC, which is a part of the RDS Group, won two lots in the tender for medium repairs of M-14 Odesa-Melitopol-Novoazovsk road in Kherson region worth UAH 22.998 million and UAH 46.98 million (PJSC Khmelnytsky Road Construction Department No. 56 won two other lots).
In addition, Rostdorstroy has passed prequalification along with Khmelnytsky Road Construction Department No. 56 and Avtomagistral-Pivden LLC in several more tenders for medium repairs of this road in Kherson region.
In 2020, the State Agency of Automobile Roads of Ukraine (Ukravtodor) plans to repair 177.5 kilometers of national roads in Kherson region for UAH 2.1 billion, including 36.1 kilometers of M-14 Odesa-Melitopol-Novoazovsk road.

RDS Group is included in the top three road construction companies of Ukraine. It includes Kyivshliakhbud and Rostdorstroy. The core business is construction, reconstruction and maintenance of roads and bridges, construction of airfield complexes.
The ultimate beneficial owners of RDS Group are Ukrainian citizens Yuriy Shumakher and Yevhen Konovalov.

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