Commodity output of Kyiv Cardboard and Paper Mill (Kyiv CPM, Obukhiv, Kyiv region), the leader of Ukrainian industry according to this indicator in January-April 2023 amounted to 2 billion 457.5 million UAH, which is 21.7% more than the same indicator of the first quarter of 2022.
According to statistics from UkrPapir association, provided to Interfax-Ukraine news agency, the plant has slowed down a little bit the growth rate of this index compared to the same period last year (in January-March the increase exceeded 27%).
In terms of volume production of corrugated boxes at the plant increased by 47.8% – to 70.06 million square meters. Production of cardboard increased by 26.3% to 55.37 thousand tons, due to the growth of containerboard output by 55.2% to 36.38 thousand tons, while the production of cardboard boxes decreased by 34% to 7.54 thousand tons.
At the same time, the output of backing paper for the manufacture of sanitary and hygiene products retains the negative trend, although slowed down – in January-April it fell by 27% to 14.29 thousand tons, while the production of toilet paper rolls fell by 29.6% to 78 million pieces.
Combine, despite the reduction in production of toilet paper, retains leadership in the production of toilet paper in Ukraine: a total of 180.9 million rolls (9% less) were produced by the main companies in the industry over four months.
According to the profile association, received from the major enterprises of the industry, a total of 172.76 tons of paper and cardboard (almost 14% more), and 155.30 million square meters of cardboard boxes (+26.3%) were produced in Ukraine in January-April 2023.
At the same time, the increase in these figures compared with the same period last year is largely due to the low comparative base of March 2022 – the first full month of full-scale invasion by Russia, when many companies have suspended their work.
Interfax-Ukraine Agency in the press-service of the plant, describing the current situation in the markets of branch products, explained that the market of corrugated products has decreased by 35-40%, taking into account the fall in demand for it in conditions of war.
“The situation with sanitary products is similar. In addition, in addition to the overall level of the economy, its demand is influenced by the number of people – the main consumer. Today, a large number of people have left Ukraine, many remain in the occupied territories, therefore, accordingly, the market has also decreased. The reduction in market volume is, depending on the segment from 18 to 35%,” – the company said.
In addition, there is a redistribution of demand in the segments of these products – the consumer saves money, so it reduces costs in the non-basic categories (napkins, towels) and focuses on the main – toilet paper.
“It has become much more difficult to export products: high logistics costs virtually eliminate the possibility of selling to the Middle East and North Africa. It is difficult to compete in Europe, because the cost of logistics “eats up” the possible earnings. In addition, because of the war, few companies are ready to sign long-term contracts, because because of all the possible risks it is difficult to guarantee a regular supply from Ukraine,” says the company.
At the same time, the plant is active in humanitarian work, including the allocation of more than UAH 0.5 million monthly in support of medical and educational institutions, public and volunteer organizations. Earlier it provided thousands of mobile corrugated beds and corrugated stools for the displaced people in Cherkasy, Znamenka, equipped hospital shelters and, in particular, the Kharkiv metro.
Among recent initiatives is the purchase of warm kits for children in the territories of active fighting and a humanitarian mission to deliver food kits to the liberated Izyum.
Besides, according to the press service, despite the cancellation of the employer’s guarantee for the average wage in July last year, the plant continued paying the mobilized employees, which is the 10th part of the whole workforce.
Kiev KBC is one of Europe’s largest cardboard and paper companies, employing over 2.5 thousand people.
As it was reported, in 2022 the mill produced 7 billion 432 million UAH, which is 3.5% less than in 2021.
Pulp Mill Holding (Austria) owns 100% of shares of KKBK PJSC.
Beer production in Ukraine (except for non-alcoholic with alcohol content up to 0.5% vol.) increased by 35.3% in January-April 2023 compared to the same period of 2022 – up to 38.1 million dal, according to the website of the brewers’ organization Ukrpivo.
It is also specified that during the first four months of 2023 in Ukraine 85.85 thousand tons of malt was produced, which is 2.3 times more than during the same period of 2022.
As reported, beer production in Ukraine in 2022 decreased by 27.9% compared to 2021 – up to 122.8 million dal.
“Ukrpivo” pointed out that by the end of 2022, the brewing industry has partially recovered after a 50% drop in the first quarter due to the Russian invasion and the shutdown of some breweries. Thus, at the end of the first four months of 2022 the decline was 42.8% against the same period of 2021, at the end of the first half – 32%, and for the first nine months – 30.5%.
Ukrainian metallurgical enterprises in January-April this year reduced the production of total rolled steel, according to operational data, by 56% compared with the same period last year – to 1.512 million tons.
According to the association “Ukrmetallurgprom” on Tuesday, in the first four months of this year, steel production fell by 54% compared with January-April 2022 – to 1.809 million tons.
Iron smelting for this period decreased by 54% to 1.747 million tons.
As reported, in 2022, Ukraine reduced the production of general products by 72% compared to the previous year – up to 5.350 million tons, steel – by 70.7% – to 6.263 million tons, cast iron – by 69.8% – to 6.391 million tons.
In 2021, the company produced 21.165 million tons of cast iron (103.6% by 2020), 21.366 million tons of steel (103.6%), 19.079 million tons of rolled steel (103.5%).
Krivoy Rog Iron Ore Deposits Plant (KZHRK) in January-April of this year reduced the production of marketable iron ore by 31.4% as compared to the same period last year – up to 805 thousand tons.
According to the company, in April, the mine “Pokrovskaya” produced 60 thousand tons of ore, “Krivoy Rog” – 70 thousand tons, “Kozatska” – 55 thousand tons and “Ternovskaya” also 55 thousand tons, the total for the combine in April – 240 thousand tons.
As Ukrainian News earlier reported, in the first quarter of 2023 KZHRK reduced the production of marketable iron ore from underground mining by 36.4% y-o-y, to 565 thousand tons.
Pokrovskaya Mine produced 55 thousand tons of ore, Krivoy Rog also 55 thousand tons, Kozatska – 60 thousand tons, and Ternovskaya Mine also 60 thousand tons. The total output of the combine in March was 230 thousand tons.
In February, all four mines produced 50 thousand tons of ore each, totaling 200 thousand tons per month.
In January 2023 mine “Pokrovska” produced 25 thousand tons of ore, “Kryvorizka” – 40 thousand tons, “Kozatska” – also 40 thousand tons, and “Ternivska” – 30 thousand tons, the total output of the combine in January – 135 tons.
In 2022, KZHRK reduced the production of marketable iron ore from underground mining by 32.8% versus the previous year, to 2.888 million tons.
KZHRK specializes in underground mining of iron ore. KZHRK has four mines: “Pokrovska” (formerly “October”), mine “Krivorozhskaya” (“Rodina”), “Kozatska” (formerly “Gvardeyskaya”) and “Ternovskaya” (formerly the Ordzhonikidze mine, then named after Lenin).
Starmill Limited owns 99.88% stake in the company.
As previously reported, SCM Group owns a certain stake in KZHRK, while Metinvest Group is not related to KZHRK. At the same time, SCM Group is only an investor, while Privat Group exercises operational control over the plant.
Ostchem’s nitrogen holding plants produced 515.5 thousand tons of mineral fertilizers in the first quarter of 2023, up 36.2% year-on-year, Group DF said in a statement on Friday.
According to it, Cherkasy Azot produced 387.4 thousand tons and Rivneazot produced 128 thousand tons, while Azot produced 137.8 thousand tons in March, the maximum since the beginning of the full-scale war.
“Lower gas prices have reduced the selling prices of mineral fertilizers. As fertilizers became more affordable, we started selling more and showed very good results. This spring, the high utilization of enterprises lasts longer than usual,” a comment by Oleg Arestarhov, head of Group DF’s corporate communications department, is quoted in the report.
It is pointed out that the key products produced by Ostchem plants were urea, UAN (Urea Ammonium Nitrate Network), ammonium nitrate, and lime ammonium nitrate (LAN). Urea output in the first quarter increased 4.7 times, to 106,500 tonnes, and UAN output 2.1 times, to 108,500 tonnes.
Production of ammonium nitrate increased from 217.1 thousand tons to 255.4 thousand tons, while UAN production fell from 62.3 thousand tons to 10.6 thousand tons.
“The structure of production corresponds to the structure of demand. The further demand will determine the production load of the plants, the terms of the repair campaign,” Arestarhov pointed out.
Among the new market trends the company highlighted the active supply of fertilizers in the de-occupied territories (Kherson, Nikolaev, Chernigov and Sumy regions). And among the factors constraining the growth of the fertilizer market, it noted an increase of marketing and logistics risks of agribusiness, such as the uncertainty of the prospects for a grain agreement, and restrictions on imports of Ukrainian grain, introduced in April 2023 by some EU countries.
As reported in early February, Group DF’s nitrogen holding Ostchem reported on the planned increase of its capacity utilization for the production of mineral fertilizers at Cherkasy Azot from 30% to 70%, and Rivneazot – up to 50% due to the seasonal increase in demand
Group DF earlier estimated the volume of consumption of ammonium nitrate by the Ukrainian market in 2022 at 1 million tons (import – 330 thousand tons); urea – 410 thousand tons (import – 225 thousand tons); UAN – 580 thousand tons (import – 190 thousand tons), stating that the expected increase in fertilizer consumption in 2023 by 15-20%.
“AT Market” LLC (Kiev), specializing in bottling Carpathian highland water under Voda UA trademark, has invested $600 000 to expand its product line and launched production of a beverage made from the tea mushroom – kombucha.
“We built a factory in Irpen before the war. During occupation of Irpen the plant suffered, but it was quickly restored”, – said the owner and founder of the company Dmitry Nikiforov to the agency “Interfax-Ukraine”.
According to him, while making decision about investments the company was guided by the absence of real kombucha on Ukrainian market. “There are some surrogates and tea-based lemonades,” Nikiforov claims.
He noted that the company has decided to produce “the right product”, that is why the process is managed by a “super technologist” and everything is done technologically very right.
According to his information the plant may produce 2 tons of kombucha per day, which will be sold in 0.33 glass bottles under Kombucha uno trademark. It is planned to involve 800-850 HORECA outlets, as well as 5-6 retail chains. In May 2023 the producer plans to start producing flavored Kombucha with 5-6 different flavors.
Nikiforov indicated that he expects the popularity of kombucha to grow in Ukraine following the world as “a healthy alternative to various kvasses and lemonades.
In Ukraine, the market for this drink has been doubling annually since 2019. In the military year 2022, the market capacity was estimated at 120 million bottles. In 2023, consumption is expected to increase by 150%, the company expects.
Voda UA also produces waters under trademarks Goryanka and Karpatska dzherelna visokogirna.
According to opendatabot, the revenues of AT Market in 2022 decreased by 5.9% – to 26.78 million UAH, while net profit increased by 31% – to 0.58 million UAH.
