Iraq is forming a new package of cooperation with American energy companies that is expected to increase oil and gas production, accelerate the processing of associated gas, and attract private capital to modernize the country’s oil and gas infrastructure.
Iraq’s Oil Minister Basim Mohammed estimated the total value of agreements between the Iraqi oil ministry and U.S. companies at approximately $200 billion. According to him, the projects should significantly expand production capacity and increase investment in the use of associated gas. Iraq’s current oil production capacity is estimated at about 4.8 million barrels per day.
At the same time, the declared $200 billion should not be viewed exclusively as the volume of already financed projects. The package includes contracts, preliminary agreements, memorandums, technical studies, and potential investment programs, the final parameters of which will be determined following negotiations.
During the visit of Iraqi Prime Minister Ali Faleh al-Zaidi to the United States, the Iraqi delegation held talks with representatives of Halliburton, Shell, Honeywell, Weatherford, and Baker Hughes. The parties discussed the development of oil and gas fields, the introduction of modern technologies, and increasing the efficiency of the energy sector.
Separate talks were held with Chevron. Iraq proposed that the company expand its activities in the southern fields and participate in oil refining, petrochemical, and gas infrastructure projects.
Chevron, for its part, expressed interest in developing the southern fields, laying pipelines to regional ports, and creating oil storage facilities. Iraqi authorities stated their readiness to speed up the allocation of land plots, the issuance of permits, and the creation of the necessary infrastructure.
Halliburton received a contract from Basra Oil Company to provide integrated management services for the Bin Omar and Sindbad fields in southern Iraq. The agreement provides for integrated asset development management, as well as support for the design, procurement, and construction of infrastructure.
In fact, Iraq is seeking to move from separate service contracts to a long-term presence of American companies in production, processing, oilfield services, digital field management, and the construction of export infrastructure.
For Baghdad, American capital is important not only as a source of financing. Large U.S. companies can provide access to enhanced oil recovery technologies, modern drilling and compressor equipment, automation of production processes, and international project management standards.
An additional task is the diversification of export routes. Iraq is interested in developing pipelines, oil storage facilities, and new outlets to regional ports in order to reduce dependence on a limited number of supply routes.
What opportunities are opening up for Ukraine
The scale of Iraqi projects creates opportunities not only for American operators. A significant part of the work will be carried out by international EPC contractors, oilfield service companies, and equipment suppliers that form their own global procurement chains.
For Ukrainian companies, the most realistic path is not the independent development of oil fields, but participation in the projects as suppliers, engineering partners, and subcontractors of American operators.
One of the main areas could be pipe and metallurgical products. Field development and export infrastructure construction projects will require casing, tubing, and trunk pipelines, sheet metal products, tanks, metal structures, and elements of industrial buildings.
Ukrainian manufacturers could also supply pumping and compressor equipment, shut-off valves, electric motors, transformers, cable products, switchgear, and modular substations.
A separate niche is connected with the processing of associated gas. Iraq needs gas gathering networks, compressor stations, gas purification and treatment units, small power plants, and electricity transmission equipment. American agreements provide for increased investment specifically in gas projects.
Ukrainian engineering companies can participate in the design of pipelines, tank farms, compressor and pumping stations, industrial facilities, and power supply systems.
There are also prospects for the IT sector. This concerns the implementation of SCADA systems, automated oil and gas metering, digital field modeling, equipment condition monitoring, and industrial cybersecurity.
Another area could be the technical diagnostics of pipelines, protection of metal from corrosion, inspection of existing infrastructure, and preparation of projects for its modernization.
The development of the oil and gas sector will also create demand in related industries. The construction of industrial facilities will require cement, road materials, specialized machinery, mobile buildings, warehouse equipment, water supply systems, and transport logistics.
Additional opportunities may arise for Ukrainian food producers. Large projects are accompanied by the creation of workers’ settlements, logistics centers, and new service enterprises, which increases demand for flour, vegetable oil, poultry meat, cereals, and ready-made food products.
A trilateral model could be optimal, in which an American company acts as the operator or general contractor, a Ukrainian enterprise supplies equipment, materials, or engineering solutions, and an Iraqi partner provides registration, local logistics, and interaction with government agencies.
Working through American operators and international EPC contractors allows Ukrainian enterprises to obtain more transparent technical requirements, safety standards, and quality control procedures.
At the same time, Ukrainian companies will need to undergo supplier prequalification, confirm that their products comply with API, ASTM, or the requirements of a specific customer, prepare English-language technical documentation, and provide after-sales service for the equipment.
For a systematic entry into the market, it would be advisable to form a separate catalog of Ukrainian manufacturers of oil and gas and energy equipment. It should specify production capacities, international certificates, experience in export deliveries, and readiness to work through American general contractors.
The next stage could be a trilateral business mission Ukraine–USA–Iraq with the participation of manufacturers of pipes, energy equipment, engineering, and digital companies.
The most logical venues for such events are Baghdad, Basra, and Houston, where Iraqi customers, oilfield service companies, and the main decision-making centers of the American energy industry are concentrated.
Maxim Urakin, founder of the Experts Club information and analytical center, commenting on the structure of Ukraine’s foreign trade, noted the need to move to a more complex export model.
“Ukraine needs to increase not only the physical volume of supplies, but also the share of products with high added value,” Urakin emphasized.
In his opinion, in order to reduce the trade deficit, Ukraine needs to develop processing industries, machine-building, the food industry, and technological exports.
Applied to Iraq, such a strategy means a transition from predominantly traditional commodity supplies to the export of pipes, metal structures, equipment, software solutions, and engineering services.
Iraq is already a profitable market for Ukraine with a large positive trade balance. However, participation in energy and infrastructure projects would make the relationship more long-term and increase the share of industrial products in Ukrainian exports.
According to the Experts Club information and analytical center, in January–June 2026 Iraq ranked 53rd among Ukraine’s largest trading partners.
Trade turnover between the countries amounted to $151.123 million. Ukraine exported goods to Iraq worth $151.051 million, while imports of Iraqi products amounted to only $72 thousand.
The positive trade balance for Ukraine reached $150.979 million. Thus, virtually the entire bilateral trade turnover was formed by Ukrainian exports. The data are presented in the table accompanying the Experts Club analysis published on July 16, 2026.
For comparison, at the end of 2025, Ukraine’s trade turnover with Iraq was estimated at $392.836 million. Ukrainian exports amounted to $392.513 million, imports to $323 thousand, and the positive balance reached $392.190 million.
The trade figures confirm that Iraq remains a profitable sales market for Ukrainian companies. At the same time, the almost one-sided trade structure indicates a low level of mutual investment and industrial cooperation.
Iraq’s new agreements with the United States may become an opportunity to change this model. Even limited participation of Ukrainian enterprises in energy projects with a total declared value of up to $200 billion can significantly increase exports of high value-added products.
With the proper organization of trilateral cooperation, Iraq can gradually turn from a predominantly commodity market into a long-term industrial, energy, and infrastructure partner of Ukraine.
The “Yarich” confectionery group has raised $10 million from the Norwegian state investment fund Norfund, which it will use to modernize production and further develop the business, Norfund announced,
“Yarich’s impressive growth in recent years, despite the war, reflects the strength and dedication of its management and owners. Supporting strong teams and helping reliable companies achieve further growth is a key part of Norfund’s investment approach,” said Norfund Project Manager Anastasia Andriyevska.
According to the fund, the funds will be used to modernize production facilities, specifically to install a new pretzel production line, which will enable the company to expand its product range and enter new market segments.
“This investment is a strong signal of confidence in Ukrainian business and the resilience of our team. It will facilitate further expansion into new product categories and continued growth in both the Ukrainian and export markets,” said Tetyana Shermolovych, the company’s CEO.
Norfund noted that Yarych’s production site in the Lviv region, which employs about 500 people, is a key hub for export development. In recent years, the company has significantly increased its exports, primarily to Poland.
Yarych Holdings Limited is the parent company of the “Yarych” confectionery group, whose production facilities are located in the village of Staryi Yarychiv in the Lviv region. The group specializes in the production of long-lasting cookies and crackers under the Yarych brand. The holding company directly owns 84.94% of Yarych Confectionery Factory LLC, while another 15.06% is owned by Yarychiv LLC.
Norfund is Norway’s state-owned investment fund, which finances private companies and projects in developing countries with the aim of creating jobs and supporting sustainable economic development. In Ukraine, the fund operates through the Investment Fund for Ukraine, established in late 2024 to support Ukrainian businesses and attract private capital.
As previously reported, the Norwegian government allocated 250 million Norwegian kroner for Norfund’s investments in Ukraine as part of the Nansen Support Program.
In late 2025, the fund also invested $15 million in the Rebuild Ukraine Fund (REBUF), managed by Dragon Capital, and approximately EUR8.5 million in the expansion of the M10 industrial park in the Lviv region.
BUSINESS, confectionery industry, EXPORTS, INVESTMENTS, MODERNIZATION, Norfund, PRODUCTION, YARYCH
On July 6, the Chambers of Commerce and Industry of Ukraine and Kuwait held an online conference with the support of the Embassy of Ukraine in the State of Kuwait, attended by approximately 50 business representatives from both countries.
The event was co-chaired by Gennadiy Chizhikov, President of the Ukrainian Chamber of Commerce and Industry, and Firas Al-Oda, Acting Director General of the Kuwaiti Chamber of Commerce and Industry. The meeting marked the first practical event of this kind between the chambers after a hiatus of more than six years.
The main goal of the event was to establish direct contacts between Ukrainian and Kuwaiti entrepreneurs. The parties presented current trade and investment opportunities and identified promising areas for cooperation.
In his remarks, Maxim Subkh, Ukraine’s Ambassador to Kuwait, emphasized the importance of revitalizing the business component of bilateral relations, particularly in the context of involving Kuwaiti businesses in Ukraine’s post-war reconstruction projects.
Gennadiy Chizhikov, President of the Ukrainian Chamber of Commerce and Industry, urged Kuwaiti businesses to view Ukraine not only through the lens of the war, but first and foremost as a country of opportunities and a future member of the European Union.
Conference participants discussed the possibility of systematic cooperation through working groups in priority sectors, including agriculture, the food industry, construction, energy, IT, and logistics. The parties also exchanged contact information, presentations, and commercial proposals.
According to the data provided, trade between Ukraine and Kuwait amounted to $336.6 million in 2024 and $90.8 million in 2025. In the first five months of 2026, bilateral trade had already reached $102 million, exceeding the figure for the entire year of 2025.
BUSINESS, INTERNATIONAL TRADE, INVESTMENTS, KUWAIT, UCCI, ЧИЖИКОВ
The cow herd in Ukraine will continue to shrink and, as of January 1, 2028, could fall to 917,000 head, compared to an estimated 1.055 million head at the beginning of 2026, while milk production, after many years of decline, will stabilize at around 6.7 million metric tons per year, according to the study “The Dairy Industry of Ukraine in the Context of European Integration.”
Vadym Chagarovsky, Chairman of the Ukrainian Dairy Enterprises Association, noted during the study’s presentation at Agro Ukraine Week 2026 that despite the steady decline in the cow herd in Ukraine, productivity is rising and the volume of milk sent for processing is increasing.
According to the study, the total dairy cow herd across all farm categories decreased from 2.018 million head in 2018 to 1.055 million head in 2026, a decline of 48%.
The largest decline is occurring on private farms, where the herd size decreased by 55% between 2018 and 2026—to 660 thousand head—and may fall to 500 thousand head by 2028.
At the same time, following a prolonged decline, the herd size at agricultural enterprises is projected to grow from 395 thousand head in 2026 to 417 thousand head in 2028.
Milk production in Ukraine has also declined in recent years—from 10.2 million metric tons in 2017 to 6.9 million metric tons in 2025, or by 33%.
At the same time, the study’s authors predict that the long-standing decline in milk production will come to an end and that production will stabilize at 6.7 million metric tons in 2026–2027.
Milk production at agricultural enterprises will continue to grow—from 3.4 million metric tons in 2026 to 3.7 million metric tons in 2027—while production on private farms will decrease from 3.3 million metric tons to 3 million metric tons, respectively. The share of industrial milk production is forecast to increase from 46% in 2025 to 55% in 2027.
Chagarovsky also emphasized that the Ukrainian dairy industry retains its potential for growth thanks to industrial production and the modernization of enterprises.
According to the study, Ukraine’s dairy industry currently produces 6.9 million metric tons of milk per year, accounts for about 0.25% of GDP, and generates 124 billion hryvnia in output. Ukraine’s share of global milk production stands at 0.7%.
To transition to an industrial model of sector development and increase production to 10 million metric tons of milk per year, investments totaling EUR9 billion are needed to establish a raw material base. Specifically, this includes increasing the herd by 750,000 cows and constructing approximately 700 industrial dairy farms. According to the study’s authors, an additional EUR6 billion needs to be allocated to modernizing and expanding processing capacities.
The study “Ukraine’s Dairy Industry in the Context of European Integration” was prepared by the Ukrainian Dairy Industry Association.
Cow, dairy industry, EUROPEAN INTEGRATION, INVESTMENTS, MILK, PRODUCTION
The biopharmaceutical company Biopharma plans to launch a plant in Arad, Romania, in late 2027, with an initial investment of EUR85 million, company president Kostyantyn Yefimenko told the Interfax-Ukraine news agency.
“We have already completed construction of the building and will finish installing all utility lines by September 1. We have already ordered the filling line. By the end of June, we will have contracted for the reactor equipment and all other process equipment. We will begin operations in December 2027,” Yefimenko said.
The initial investment in the plant in Arad is EUR85 million; the Romanian project as a whole will consist of four phases of varying sizes. Total investment in the plants in Uzhhorod and Arad is approximately $500 million.
He noted that the company’s development is not focused on a single project.
“Bila Tserkva is our flagship plant. We’re not shifting our focus; we’re developing all of them—Uzhhorod and Arad—and we’ll continue to build in Latin America,” Yefimenko said.
As previously reported, Biopharma plans to launch the first phase of its plant for the production of pharmaceutical products and immunobiological preparations in Uzhhorod in September 2026, which will provide a full cycle of blood plasma processing. The company has already invested EUR67 million in construction; the total cost of the first phase is EUR75 million. According to the plan, the volume of blood plasma-derived drug production in Uzhhorod will be twice that of production in Bila Tserkva, amounting to up to 1.5 million liters of blood plasma per year; the project in Romania is twice as large.
During the “Industrial Evolution: Manufacturing Drives the Economy” forum in Bila Tserkva, Yefimenko also announced that Biopharma had registered its albumin product in Brazil.
Biopharma exports its products to dozens of countries and plans to expand its presence in Europe, the Middle East, and Latin America while continuing to increase its production capacity.
To achieve climate neutrality by 2050, Ukraine needs to attract approximately EUR550 billion in additional investment beyond what it is currently investing in decarbonization.
This was reported in a press release by the DIXI Group think tank, citing new data from the Climate Neutrality Tool, developed by the Stockholm Environment Institute (SEI) specifically for Ukraine as part of the “Green Agenda for Armenia, Moldova, and Ukraine” project with support from the Swedish International Development Cooperation Agency (Sida).
“According to new data from the Climate Neutrality Tool—a model developed by SEI specifically for Ukraine—achieving climate neutrality by 2050 is both realistic and feasible,” the center noted.
As stated in the press release, SEI analyzed the sectors that have the greatest impact on greenhouse gas emissions in Ukraine and assessed their potential for transitioning to a clean economy. In particular, the energy sector has the greatest investment needs: approximately EUR 311 billion. This is followed by transportation—approximately EUR133 billion—and industry—EUR90 billion. Funding will not come solely from the public sector but will be shared between public and private entities.
SEI transferred the Climate Neutrality Tool to the Green Transition Office and, in May, conducted training for government officials on its use. Ukrainian government representatives gained the analytical capabilities and expert knowledge needed to assess decarbonization pathways, plan for green reconstruction, and support both Ukraine’s National Energy and Climate Plan (NECP) and its Low-Carbon Development Strategy through 2050.
SEI’s main partner in Ukraine is the Green Transition Office, an independent advisory body under the Ministry of Economy, Environment, and Agriculture of Ukraine.
The project is funded by the Swedish International Development Cooperation Agency (Sida). The tool covers 55 measures identified as the most effective for reducing emissions in Ukraine and enables policymakers and experts to create and compare various scenarios regarding emissions reductions, investment needs, GDP growth, and new jobs.
“We have developed a practical tool that allows Ukraine to continuously analyze and update its transition path to a clean economy. As new data becomes available and political priorities shift, the government can easily rerun the model and make informed decisions based on the latest data,” said Gotham Mutkumaran, an expert in energy system modeling at SEI Tallinn.
CLIMATE NEUTRALITY, DECARBONIZATION, DIXI Group, INVESTMENTS, SEI
