Business news from Ukraine

UKRAINIAN ECONOMY MINISTRY SETS MAXIMUM VOLUME OF WHEAT EXPORTS FOR CURRENT SEASON AT 17.5 MLN TONNES

The Ministry of Economic Development, Trade and Agriculture of Ukraine on August 17 signed an annex to the grain memorandum with grain market participants and agreed on the maximum grain export volume in the 2020/2021 marketing year (MY, July-June) at the level of 17.5 million tonnes of wheat and 1,000 tonnes of rye.
“The grain memorandum is a good example of the ability to negotiate and make balanced decisions. In our common opinion, the export of 17.5 million tonnes of wheat and 1,000 tonnes of rye for this marketing year is the benchmark that will preserve our internal food security. In addition, taking into account the coronavirus crisis, in the forecast balance, we have increased the volume of carry overs by half a million tonnes, to 1.7 million tonnes,” Minister of Economic Development, Trade and Agriculture of Ukraine Ihor Petrashko is quoted as saying.
In addition, depending on weather conditions and the final data on wheat production from the State Statistics Service, the forecast grain market balances may be revised by the signatories of the memorandum in the fourth quarter.
Now the Ministry of Economy predicts the grain harvest in Ukraine this year at 72.1 million tonnes.
The ministry clarified that the grain memorandum has been signed annually since 2011. The document provides for interaction of grain market participants, exchange of information, monitoring the grain market.

, , ,

FARMAK PHARMACEUTICAL COMPANY EXPORTS TO EU MEDICATION FOR ARTIFICIAL LUNG VENTILATION OF COVID-19 PATIENTS

PJSC Farmak pharmaceutical company (Kyiv) in April-July exported to the EU propofol, a medication that is used for artificial lung ventilation of patients with coronavirus (COVID-19), worth more than $635,000,
The company told Interfax-Ukraine that due to the shortage of this medication in the EU and its active use for treatment of COVID-19 patients the supplies of the medication were carried out without its registration at the EU’s profile agency, which is a mandatory condition for sale of drugs in Europe.
“Such an exclusion is connected with the crisis, and at the same time it shows the level of confidence in Ukrainian manufacturers and quality of their products,” the company said.

, , , , ,

UKRAINE EXPORTS 20.5 MLN TONNES OF WHEAT AND 30.3 MLN TONNES OF CORN THIS YEAR

Ukraine exported more than 20.5 million tonnes of wheat and 30.3 million tonnes of corn in the 2019/2020 agricultural year (July-June), President of the Ukrainian Grain Association (UGA) Mykola Horbachev has said. “The 2019-2020 grain season was successful. We produced a record number of grains and oilseeds. The grain and oilseeds harvest was a little over 98 million tonnes, which is an absolute record for Ukraine. A record amount of wheat was grown – more than 28 million tonnes. Wheat exports amounted to more than 20 million tonnes. Corn export exceeded all expectations. We exported more than 30 million tonnes. This year was successful,” he said at a press conference in Kyiv on Thursday.
The head of the UGA predicted that by 2026 Ukraine will produce 113 million tonnes of grain and oilseeds a year and export 70 million tonnes.
According to the UGA, export of grain and oilseeds in the 2020/21 season will be some 58.8 million tonnes.

, ,

UKRAINE REDUCES SCRAP METAL EXPORTS BY 55%

Ukrainian enterprises in January-May of this year reduced export of scrap metal by 54.8% compared to the same period last year, to 16,489 tonnes (36,515 tonnes were exported in January-May 2019).
According to statistics released by the State Customs Service, in terms of money, scrap exports fell by 58.1%, to $4.181 million.
In January, 2,865 tonnes of scrap metal were exported, in February some 8,014 tonnes, in March 493 tonnes, in April 256 tonnes, and in May 4,861 tonnes.
At the same time, in January-May of this year, the country reduced imports of scrap metal in natural terms by 76.2% compared to the same period last year, to 6,841 tonnes. In monetary terms, this indicator decreased by 49.9%, to $7.411 million.
Scrap metal was imported mainly from Turkey (65.46% of supplies in monetary terms), the Russian Federation (26.52%) and the Netherlands (5.07%), exports were made to Turkey (78.41%), the Netherlands (11.29%), and Germany (7.22%).
In addition, the metal enterprises of Ukraine in January-May 2020 imported 1,602 tonnes of products of direct reduction of iron from ore according to code 7203 (hot briquetted iron), which is a substitute for cast iron and scrap metal, in the amount of $481,000, whereas in January-May 2019 they did not import this product from the Russian Federation and did not export it.

, ,

UKRAINE INCREASES ELECTRICITY EXPORTS BY 15% IN JAN-APRIL

Ukraine increased electricity exports by 15% (by 319.4 million kWh) in January-April 2020 compared to the same period in 2019, to 2.449 billion kWh, the Ministry of Energy and Environment Protection has told Interfax-Ukraine. Electricity supplies from the Burshtyn thermal power plant (TPP) energy island to Hungary, Slovakia and Romania increased by 24.7% (by 351.2 million kWh), to 1.772 billion kWh.
Electricity supplies to Poland increased by 24.2% (by 106.4 million kWh), to 546.7 million kWh.
Electricity supplies to Moldova amounted to 130.3 million kWh, which is 51.5% (138.2 million kWh) less than in January-April 2019.
Ukrainian electricity was not exported to Belarus and Russia.
However, electricity exports fell by 60% in April 2020 compared with April 2019 (by 355 million kWh), to 237.9 million kWh.
Thus, Ukraine imported 1.705 billion kWh of electricity, in particular 1.012 billion kWh was supplied from Slovakia, some 408.6 million kWh from Hungary, some 152.3 million kWh from Belarus, some 78.3 million kWh from Romania and some 53.4 million kWh from Russia over the first four months.
In addition, under technological flows related to interconnected operation of the United Energy System of Ukraine with the energy systems of neighboring countries (taken into account under the contracts of state-owned enterprise Energomarket) some 19.25 million kWh of electricity were imported from Russia and some 250,000 million kWh were imported from Belarus over four months of 2020.

,

UKRAINIAN MANUFACTURER STARTS PET FEED EXPORTS TO NORWAY

Kormotech LLC (Lviv region), a large Ukrainian manufacturer of cat and dog feed, has signed a three-year contract with the Norwegian online store Dyrekassen on the supply of a pet ration. According to a press release of Kormotech, through the Dyrekassen online store, an exclusive distributor, the company plans to sell 18 tonnes of feed by the end of 2020. It is planned to sell another 100 tonnes of products over the next two years.
Together with a new partner, Kormotech is also working to ensure that after lockdown Optimeal rations are sold in garden centers in Norway and Sweden. This is about 220 stores.
The company said that these are dry and wet rations for cats and dogs under the Optimeal brand in the super premium segment. They are made according to the Swiss fresh meat technology.
Kormotech said that Norway has become the 29th pet export country.
“We are actively working to enter export markets throughout Scandinavia. These are countries with very high quality requirements for products. We have overcome similar complexity procedures to enter the U.S. and UK markets. Kormotech is on the way to getting into the top five world manufacturers of pet feed,” the company said, citing CEO of Kormotech Rostyslav Vovk.
Kormotech LLC is the leading Ukrainian producer of feed for cats and dogs. The company exports products to 29 countries, including the United States, Great Britain, Germany, France, Finland, Sweden, the Netherlands, Spain, Italy, Poland, Turkey, Iran and Chile.
The ultimate beneficiaries of Kormotech are Olena and Rostyslav Vovk.

, ,